How to Create Your "Unique Selling Proposition" (USP)
That Makes Your Marketing Generate More Results

Boost Your Sales And Profits By Positioning Your
Company As The Best Choice In The Market

What makes you more unique, more valuable, and more visible in the market?  You've heard the old saying "Differentiate or Die" right? In our highly competitive world, you have to be unique and fill a special niche to be successful in the marketplace. Yet one of the most harmful mistakes small businesses make is not being unique and positioning themselves as the best choice in the market. How do you show that your product or service is the best?

Use a Unique Selling Proposition or "USP". Having a USP will dramatically improve the positioning and marketability of your company and products by accomplishing 3 things for you:

1. Unique - It clearly sets you apart from your competition, positioning you the more logical choice.
    

2. Selling - It persuades another to exchange money for a product or service.
    

3. Proposition - It is a proposal or offer suggested for acceptance.

The Force That Drives Your Business And Sales Success

Your USP is the force that drives your business and success. It can also be used as a "branding" tool that deploys strategy with every tactical marketing effort you use such as an ad, a postcard, or web site. This allows you to build a lasting reputation while you're making sales. The ultimate goal of your USP and marketing is to have people say to you... "Oh, yes I've heard of you. You're the company who..." - And then respond by requesting more information or purchasing.

The Federal Express Example: 

Federal Express (FedEx) dominated the package shipping market with the following USP: "Federal Express: When it absolutely, positively has to be there overnight." The deployment of this USP allowed Federal Express to emerge as the dominant leader in the industry, taking market share rapidly, and also increasing its sales and profits.

In today's competitive market, your business cannot thrive if you are using the same old "me too" marketing that everyone else is using.  Your small business absolutely positively has to have a USP that "cuts through the clutter", separates you from the competition, and positions you as the best choice... the ONLY choice. 

Building your USP takes some effort, but it is absolutely worth it because of the added advantage you'll have in the market. Using a powerful USP will make your job of marketing and selling much easier, enabling you to more easily increase your sales and profits for the same budget.

Winning USP Examples

The following are 6 powerful USPs that alleviate the "pain" experienced by the consumers in their industries..

Example #1 - Package Shipping Industry

Pain - I have to get this package delivered quick!

USP - "When it absolutely, positively has to be there overnight." (Federal Express)

Example #2 - Food Industry

Pain - The kids are starving, but Mom and Dad are too tired to cook!

USP - "Pizza delivered in 30 minutes or it's free." (Dominos Pizza)
(This USP is worth $1 BILLION to Dominos Pizza)

Example #3 - Real Estate Industry

Pain - People want to sell their house fast without loosing money on the deal.

USP - "Our 20 Step Marketing System Will Sell Your House In Less Than 45 Days At Full Market Value"

Example #4 - Dental Industry

Pain - Many people don't like to go to the dentist because of the pain and long wait.

USP - "We guarantee that you will have a comfortable experience and never have to wait more than 15 minutes" or you will receive a free exam."

Example #5 - Cold Medicine Industry

Pain - You are sick, feel terrible, and can't sleep.

USP - "The nighttime, coughing, achy, sniffling, stuffy head, fever, so you can rest medicine." (Nyquil)

Example #6 - Jewelry Industry

Pain - The market hates paying huge 300% mark-ups for jewelry.

USP - "Don't pay 300% markups to a traditional jeweler for inferior diamonds! We guarantee that your loose diamond will appraise for at least 200% of the purchase price, or we'll buy it back."

How To Develop Your Unique Selling Proposition (USP)

Your USP is the very essence of what you are offering. Your USP needs to be so compelling that it can be used as a headline that sells your product or service. Therefore, since you want to optimize all your marketing materials for maximum results, create it before anything else (such as advertisements and marketing copy).

Print this article and jot down your ideas to construct a "Unique Selling Proposition" (USP) for your business.  Follow this easy 7-step process:

Step 1: Use Your Biggest Benefits:

Clearly describe the 3 biggest benefits of owning your product or service. Let me be blunt. Your prospect doesn't care if you offer the best quality, service, or price.  You have to explain exactly WHY that is important to them. Think in terms of what your business does for your customer and the end-result they desire from a product or service like yours.  So, what are the 3 biggest benefits you offer? Write them down on a piece of paper...

 1.

 2.

 3.

Step 2: Be Unique:

The key here is to be unique. Basically, your USP separates you from the competition, sets up a "buying criteria" that illustrates your company is the most logical choice, and makes your product or service the "gotta have" item. (Not your competitor's.) 

Write your USP so it creates desire and urgency. Your USP can be stated in your product itself, in your offer, or in your guarantee: 

• PRODUCT: "A unique baseball swing that will instantly force you to hit like a pro." 
   

• OFFER: "You can learn this simple technique that makes you hit like a pro in just 10 minutes of batting practice." 
   

• GUARANTEE: "If you don't hit like a pro baseball player the first time you use this new swing, we'll refund your money."

Write your ideas on paper now...

Step 3: Solve An Industry "Pain Point" Or "Performance Gap":

Identify which needs are going unfulfilled within either your industry or your local market. The need or "gap" that exists between the current situation and the desired objectives is sometimes termed a "performance gap". Many businesses that base their USP on industry performance gaps are successful.

For example, Dominos Pizza used the "Pizza delivered in 30 minutes or it's free" USP to become wildly successful. This worked because of the need or "gap" in the market - After a long day at work Mom and Dad are too tired to cook. But the kids are starving and don't want to wait an hour! They want pizza NOW. Call Domino's.

So, what are the most frustrating things your customer experiences when working with you or your industry in general? Alleviate that "PAIN" in your USP and make sure you deliver on your promises. Write your ideas on paper now...

Step 4: Be Specific And Offer Proof:

Consumers are skeptical of advertising claims companies make. So alleviate their skepticism by being specific and offering proof when possible. Write your ideas on paper now...

Step 5: Condense Into One Clear And Concise Sentence: 

The most powerful USPs are so perfectly written, you cannot change or move even a single word. Each word earns you money by selling your product or service. After you get your USP written, your advertising and marketing copy will practically write itself! 

Now take all the details about your product/service/offer from the steps above and sculpt them into one clear and concise sentence with compelling salesmanship fused into every single word. Write your ideas on paper now...  

Step 6: Integrate Your USP Into ALL Marketing Materials: 

Variations of your USP will be included in the ALL your marketing materials such as your...

• Advertising and sales copy headlines;

• Business cards, brochures, flyers, & signs;

• Your "elevator pitch", phone, and sales scripts;

• Letterhead, letters, & postcards;

• Website & Internet marketing.

Step 7: Deliver On Your USP's Promise 

Be bold when developing your USP but be careful to ensure that you can deliver. Your USP should have promises and guarantees that capture your audience's attention and compels them to respond to you. Having a strong USP can make your business a big success, or a big failure if you don't deliver on it thereby ruining your reputation. In the beginning, it was a challenge for Federal Express to absolutely, positively deliver overnight, but they developed the system that allowed them to deliver the promise consistently. 

Conclusion: 

Using a powerful USP is the driving force that builds your business success.  Build your USP and use it to optimize your marketing materials for maximum results.

Jay Abraham's Approach to USP: 

Even while you creatively imitate others, remember that it's also important to be different. Distinguish your business or practice from all the rest. Make your enterprise special in the eyes of your customer or client. That is the goal I want you to pursue.

How do you get your business differentiated? By creating a Unique Selling Proposition - or USP.

A USP is that distinct and appealing idea that sets you and your business, or practice, favorably apart from every other generic competitor. The long-term marketing and operational successes I help you achieve will, ultimately, be helped or hurt by the USP you decide upon.

The possibilities for building a USP are unlimited. It's best, however, to adopt a USP that dynamically addresses an obvious void in the marketplace that you can honestly fill. Beware: It's actually counter-productive to adopt a USP if you cannot fulfill the promise.

Most business owners don't have a USP, only a "me too," rudderless, nondescript, unappealing business that feeds solely upon the sheer momentum of the marketplace. There's nothing unique; there's nothing distinct. They promise no great value, benefit, or service -- just "buy from us" for no justifiable, rational reason.

It's no surprise then that most businesses, lacking a USP, merely get by. Their failure rate is high, their owners are apathetic, and they get only a small share of the potential business. But other than a possible convenient location, why should they get much patronage if they fail to offer any appealing promise, unique feature or special service?

Would you want to patronize a firm that's just "there," with no unique benefit, no incredible prices or selection, no especially comforting counsel, service or guarantee? Or would you prefer a firm that offers you the broadest selection in the country? Or one with every item marked up less than half the margin other competitors charge? Or one that sells the "Rolls Royce" of the industry's products?

Can you see what an appealing difference the USP makes in establishing a company's perceived image or posture to the customer? It's ludicrous to operate any business without carefully crafting a clear, strong, appealing USP into the very fabric of the daily existence of that business.

The point is to focus on the one niche, need or gap that is most sorely lacking, provided you can keep the promise you make.

You can even create hybrid USPs -- combinations that integrate one marketing gap with another. Before you decide on a USP, though, be sure you can always deliver that USP through your whole organization. You and your staff must consistently maintain high levels of quality or service.

If you decide your USP is that your company offers the broadest selection of products or services "instantly available" or "always in stock," but in reality you only stock six out of 25 items and only a few of each item, then you're falling down on the essence of your USP promise, and your marketing will probably fail. It is critical to always fulfill the "big promise" of your USP.

If you don't honestly believe you can deliver on your USP, pick another one to build your business on. Just be sure it's unique and that you can fulfill it.

Remember, the USP is the nucleus around which you will build your success, fame, and wealth, so you better be able to state it. If you can't state it, your prospects won't see it. Whenever a customers needs the type of product or service you sell, your USP should bring your company immediately to mind.

Clearly conveying the USP through both your marketing and your business performance will make your business great and success inevitable. But you must reduce your USP to its sinewy bare essence.

Try it. With paper and pen, prepare a one-paragraph statement of your new USP. At first, you will have trouble expressing it tightly and specifically. It may take two or three paragraphs or more. That's okay. Ruthlessly edit away the generalities, and tenaciously focus on the crispest, clearest, most specific promise you could possibly hold out. Then, rework it and hack away the excess verbiage or hazy statements until you have a clearly defined, clearly apparent Unique Selling Proposition a customer can immediately seize upon. And then, integrate your USP into every marketing aspect of your business, such as display advertising, direct mail and field selling.

Let's say you run display-type ads, and your USP is that you have better selection and follow-up service than any other competitor. There are several ways to integrate these qualities into your ads. For example: State the selection USP in the ad headline:

"We Always Have 168 different Widgets in No Less than 12 Different Sizes and 10 Desirable Colors, in price ranges from $6 to $600."

Or, if good service at an affordable price is your USP, use this as a model:

"ABC Tree Trimmers will trim and maintain your trees and shrubs six times a year, once every two months, and all it costs you is $16 a month, billed quarterly."

By now you should have the general idea that you should carefully integrate your newly adopted USP into the headline and body copy of every ad you run. And in every direct-mail piece you send out.

But integrating your USP into just your ads and mailing pieces isn't enough. You must integrate its positioning statement into every form of your marketing. When your salespeople call on prospects, everything they say should clearly reinforce your USP. They should explain the USP to the customer in a clear, concise statement. For example:

"Hello, Mr. Prospect. I know your time is short, so I'll get right to the point. Your company manufactures widgets. You buy steel and copper from a competitor. You're currently paying $100 a ton for steel and $75 a ton for copper, of which you waste roughly 25%. My firm will sell you a higher grade steel and a higher alloy copper for $95 and $69 a ton, respectively, freight prepaid, which saves you an extra $3 a ton. Plus, we'll guarantee our metal will produce a waste factor of 15% or less, and we'll replace any wasted coverage, free. One last point, Mr. Prospect. It could be important. We'll furnish you with 50, 20 gauge titanium rivets and cap assemblies free with every 10 tons of steel you order this month. May I have your order?"

Throughout the sales pitch, your sales reps should refer to the USP benefits or advantages, showing the prospect why it's vastly superior to take advantage of your USP rather than your competitor's USP, if he or she even has one.

Don't try and merely have your salespeople "wing it." Insist that they do their homework. Make them sit down (figuratively speaking) and express the essence of your USP. Be sure they can clearly and powerfully express your USP in 60 seconds (the oral equivalent of a written paragraph), and then compellingly state how it benefits the prospect. Furnish your prospects with plenty of examples of how you honestly deliver your USP.

When an old, tired company or profession adopts a powerful, new, and appealing USP, it gives new life, new excitement, new interest and new appeal to the marketing plan. You're suddenly different, instead of just being another interloper preying on customers you've trapped into hearing your sales pitch! Now you're on the customer's side.

However, remember this axiom: You will not appeal to everybody. In fact, certain USPs are designed to appeal to only one segment of a vast market. There is a vast gulf between the upscale clients and the bargain seekers, and you probably can't reach them both. Which do you want to stake out as your market niche?

Don't forget my earlier advice. Don't adopt a USP that you can't deliver, or further marketing is useless. Also, analyze the market potential of various USP positions in terms of volume, profits and repeat business.

For example, the highest marketing niche may be in the exclusive, expensive USP, but the biggest money may be made in the discount-volume USP. There's a place for both, but if you try to ride two horses, you'll probably bite the dust. Remember too, that your USP is giving advice, assistance and superior service; it can't stop with mere sales rhetoric. It must become total company conduct. If someone calls in with a question, the people answering the call must extend themselves. The same goes for every person who interacts with that customer, from the cashier and the delivery person to the service or repair people. You and your employees must live, breathe, and act your USP at all times.

Sit down and write a synopsis of your USP for your staff, how you're trying to carry it out, and how everyone can project that USP to the world. Make their cooperation a condition of employment. The entire company must adhere to the USP.

Talk to your staff, write scripts, hold contests, and reward people who distinguish themselves in promoting your USP. Set an example so that your staff can see the USP in action.

How can you ensure that you are in the hearts and minds of your customers after the sale? Here are a few good approaches:

Immediately following a sale, write, call or visit your customers. During this follow-up effort, see that the customers feel important and special, and that their initial purchases are "resold." Repeat your USP and remind the customers how it helped them make their purchasing decision. Reassure customers about their wise decisions, and show how the same USP that served them this time will be there to serve them in the future.

And again, state your USP, telling customers why you've adopted it, and why it's such an advantage to them. People rarely understand the benefits you provide them, unless you carefully educate them to appreciate your efforts on their behalf.

A post-purchase follow-up incorporating the essence of your USP is vital, regardless of how frequently you "back-end" or resell to that customer. You enhance the customer's loyalty and value to your business by following up after the sale. At the very least, a follow-up call, letter, or sales appeal drastically reduces or eliminates cancellations, returns, refunds, complaints, adjustments and disputes, and reassures customers of the prudence of their recent purchase.

Good marketing requires that you give customers rational reasons for their emotional buying decision. There is a formula for success, and the USP, my dear friends, is truly an integral part of that formula.

Depending on the business, I usually advise my clients to offer frequent special promotions to their customers by mail, telephone or in person. Everyone wants to feel appreciated and personally acknowledged. By offering your customers genuine, specially priced deals or first choice, you endear yourself to them. At the same time, you enhance your customers' perception of your Unique Selling Proposition.

If your USP is service, your preferred promotions will be service-based rather than price-based. Give them extended service -- for instance, a special offer of your basic service, or one year of free consulting or assistance not normally given.

Also, don't underestimate the profit potential inherent in special offers. Acquiring first-time customers usually costs a small fortune. Space ads have to reach tens of thousands of readers to produce a few hundred customers, so it may cost you $10 or more to acquire a customer. The same goes for TV, radio, or direct mail. Field salespeople may have to call on 15 to 30 prospects before they make one sale, so the cost of acquiring a new customer may be "hundreds" of dollars.

But once you satisfactorily deliver your product or service and have a core customer base, you can continuously rework and resell at a very modest cost per sale. When you have a list of customers who have already shown their willingness to spend money on your products or services, it costs very little to go to them with additional special offers.

If you have 10,000 customers, it will probably cost $3,000 to mail them a letter. (At best, that same $3,000 for display advertising would probably generate only 100 new customers at a cost of $30 per customer.) Calling all 10,000 prospects on the phone would take five telephone sales people about a month. If they were on salary, that might cost you about $10,000 (for that month) or only about $1.00 a contact.

If broad choice is your USP, have a customer-service representative contact your customers to see if everything is satisfactory. If everything is not, offer to replace, repair or correct the product or service. Your customer-service people should know just as much about available choices and options as your salespeople. Give them reasonable authority to replace, repair or reinstall if there is any dissatisfaction. Make them aware that their jobs depend on ensuring that the promise behind your USP is fulfilled. They should provide evidence to any customer with a problem, complaint or question that the USP is real and that the entire company is enthusiastically committed to doing whatever it takes to promptly fulfill the USP promise.

Anyone in your employ who does not, cannot, or will not promote your USP should be immediately replaced with someone who can and will. Your real wealth comes from repeat or residual business which will only happen if every aspect of your business is a continuous extension of your USP.

You can send a personal thank-you note, letter, or a computer-typed letter to customers. You can send a gift or a gift certificate. You can send items to correspond with holidays: A box of candy on Valentine's Day; a poinsettia, a turkey or ham at Christmas; a birthday card -- the possibilities are many. If you add up the customer's value in future business or repeat sales, you can probably justify a sizable investment in his or her goodwill. Everyone likes to be acknowledged and feel they are special.

You should even integrate your USP into every contact with dissatisfied customers!

Whenever someone asks for a refund, replacement, or adjustment, instead of resenting the fact that you have to give back money, use that opportunity to reconvey the essence of your USP -- either in person or by letter. If you have an exchange department, instruct that staff to courteously and sincerely reiterate your firm's USP, and assure the dissatisfied customer of the firm's commitment to offer more service, greater selection, better guarantees or whatever. Then, if you issue credit or a check, include a prepared letter expressing your deep commitment to your USP, and apologizing for any inconvenience, disappointment or dissatisfaction. With every refund, send a letter expressing disappointment that you did not fulfill the customers expectations, and strongly restate your firm's USP and your commitment to it.

Then ask the dissatisfied customer to please give you another chance to make good! And make it worth their while by giving them a discount certificate, a special bonus, offering three widgets for the price of two, or some other preferential treatment that shows unhappy customers you want their business back, that you appreciate them, and that you will make good.

Above everything else, never, ever lose track of the fact that USP is all about the customer or the client. It is not about me, you, the company or the profession. Don't make the mistake of aggrandizing your business. Instead, help your customer or client do some aggrandizing.