Value Proposition

Chapter 1. What is Value Proposition ?

A value proposition refers to the value of an organisation, as AIESEC, and what it promises to deliver to the young people (customers). The main goal is that it tells why people should go in an exchange or choose one of our products (oGV, oGT or oGE).

A value proposition is also a declaration of intent or a statement that introduces a company's brand to consumers by telling them what the company stands for, how it operates, and why it deserves their business.

This statement, if worded right, convinces a potential consumer that one particular product or service the company offers will add more value or better solve a problem for them than other similar offerings will.

A successful brand shapes customers’ experiences by embedding the fundamental value proposition in offerings’ every feature. For BMW, “the Ultimate Driving Machine” is much more than a slogan; it informs the company’s manufacturing and design choices. In 2000, Mercedes-Benz introduced a system that automatically controls the distance between a Mercedes and the car in front. BMW would not consider developing such a feature unless it amplified rather than diminished the driving experience.

Key Takeaways

• A company's value proposition tells a customer the number one reason why a product or service is best suited for that particular customer.

• A successful value proposition should be communicated to customers directly, either via the company's web site or other marketing or advertising.

• Value propositions can follow different formats, as long as they are "on brand" and unique and specific to the company in question.