How to define my USP
Without a unique selling point (or proposition) your business is terminally ill. USP is a nasty little phrase coined in the 1940s by ad man extraordinaire Ted Bates. Bates must have known something about what he was doing, as his advertising agency billed $425 million when he died in 1972. So what actually is a USP, how do you define yours, then how do you show everyone what it is?
What is a USP
A unique selling point is a unique aspect or unique combination of aspects of your business that appeals directly to your potential market. It has to clearly show how your offering is better than your competition’s and offers aspects that are not available from them. Along with 4 (or is it now 6 or 25) blades, Gillette use the phrase “The best a man can get,” as part of their USP. They define the benefit a man gets from using their product as the ultimate shave, and judging by this advertisement they seem to be promising a whole lot more besides.
Do I need a USP?
You may not want your USP to be quite as dramatic as Gillette. Being the best hairdresser in your town might be enough of a USP for you. Or you could be happy with a USP showing you as the best technology company developing software for accountancy firms in the East of England, or the best Saab car dealership within 50 miles. And you can get along just fine without a USP. You can be a business like every other business in your market offering the same products or services in the same way. This works if you are the only business in your area doing what you do. But as soon as there is any competition, being just like every other business is likely to be the road to a long painful business death. If you are doing business tough economic times, and facing increasing competition a great USB can help you beat the pants off the competition and thrive while others are closing their doors.
How can I define my USP
The short answer is you cannot define your own USP. You are going to need input from current and/or potential customers. You can have ideas about what makes up your USP but as a small business owner it takes an outside perspective to really define what makes your business so special and unique.
Three tips for gathering intelligence on your USP
Ask every customer or prospect “why did you choose us?” They will soon start to tell you about why they think your business is unique.
Research your competition, find their USPs then better them. Sometimes just combining aspects of your competitors’ USPs can build something unique. If one offers free delivery and another offers a free 30 day trail, if you offer both, why would a potential customer chose either of your competitors over you?
Create a completely new way for customers to buy from you. You don’t have to invent a brand new product or service to create a unique advantage for your small business. Take a fresh look at your selling process, and find revolutionary ways for your customers to buy from you can be enough to set you ahead of your competition with a distinctive USP. See how BMW did this in our related small business article.
How do I tell everyone about my USP
If you have generated your great small business USP, the next thing you need to do is let everyone know about it. There’s no magic involved in this, you just have to promote your USP in every customer communication, on your website, through any advertising and actually on your product or through your service. But there is one word of caution. A USP is not just a slogan or tagline. Gillette’s “the best a man can get” works because they excel at developing cutting edge technology for shaving: if their product was mediocre their USP would just be hollow words.
Develop a perfect USP
If you want help to beat the pants off your competition with a perfect USP, grab your place on the Small Business Bootcamp by clicking the link.