Wave Your Freak Flag!
Wave your freak flag! Escape the Commodity Trap by crafting a strong value proposition that reflects not only your capabilities but also the results you deliver and your unique approach to delivering them.
We are all special and unique, yet others don’t always see us that way. We all struggle with this invisible force called the Commodity Trap, where we lose our sense of identity and become just another face in the crowd. Businesses are prone to this just as individuals are, but when a business is perceived and treated as a commodity, it leads to more than just a personal insecurity…it is often a precursor to flat or declining profits…and possibly bankruptcy. For that reason, consultants and entrepreneurs need to take special care that they differentiate themselves and deliver a unique value to their clients.
How do you do that?
It starts by knowing what you're all about and having a well-defined value proposition. Your value prop is a statement of who you are and why your clients should care. It should go beyond stating what you do—your capabilities—and focus on the results you deliver for your clients and the unique approach you employ to do that (i.e., your special sauce).
To walk through an example of what I mean by a value proposition, check out the YouTube video below. It's an excerpt from an online course called Pricing Your Services.
Once you’ve created your value proposition, consider how you might tailor that to different target segments (or niches) with your client base. Clients in different roles, functions, and industries will likely have different priorities. A CEO of a manufacturing company is likely concerned with different business results than an HR manager at a hospital, for example, and yet the scope of your capabilities might be such that you can deliver great results for both of them. However, you’ll need to convey your value proposition differently to each segment.
Your value proposition isn’t just about communication and self-promotion. If you’re doing it right, your value proposition should be driving every decision you make about the services you provide and how you provide them. It drives your work processes, your tools, your hiring decisions, your training and development, how you spend your time and money, and how you manage your people.
When you’ve aligned every aspect of your business with your value proposition, you have a chance to do something very special. You become capable of delivering Disney-like service, McDonalds-like convenience, Four Seasons-like hospitality, and Apple-like innovation. Yes, even you, with your meager resources can run with the big dogs, if you find your unique niche and deliver unparalleled service that delights your clients.
So go on, as our Shrek on Broadway friends like to sing, let your Freak Flag fly!
Gus Prestera, PhD
If you're a business consultant or entrepreneur and are struggling with how to price your consulting services quickly and effectively, take a look at my Pricing Your Services program, an online course developed to help you scope, cost, and price your consulting projects. We are currently offering a ~1-hour Primer FREE of charge to help you get started on your journey. Go to https://academy.presterafx.com to learn more.
