Value Proposition Canvas Explained

[@Strategyzer]

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[@hannahhasbrouck4999]

Having the Value Proposition explained is so valuable! The fit between what the company is offering and what the customer needs is the most important part of having the business to have it work. This video makes it so clear what the customer is needing and what segments to focus on when evaluating the value proposition.

[@Strategyzer]

Thank you very much for your kind comment Hannah!

[@ryanhobbs6999]

ASU Venture Devil here. This Stategyzer video is an excellent explanation of the value proposition. When trying to hash out venture proposals, the value proposition can phase in and out of being vague. In attempting to serve different and specific customer bases, the MVP is often kept foggy so that the pitch maker can easily pivot the presentation to match the product with the audience. However, this is not missed by the judging panels. Judges pay especially close attention to the value proposition and how well it has been developed. This base canvas is a real boone to correct stray creativity. With clear-cut reasoning, the VP can be presented and appreciated by any audience.

[@DeepfriedBaby]

The presenter here did this very well. The intonation in his delivery helped me understand. Thanks!

[@Strategyzer]

Thank you very much! Alex's intonations are definitely underrated :)

[@adrianhaberberg]

My students struggle to put together a precise value proposition and I think this is a very useful tool for helping them along the way. There is nothing new by way of content but the form is novel and accessible

[@Strategyzer]

Thank you Adrian! We are glad your students find the Value Proposition Canvas useful and helpful!

[@uiforgione9066]

As an engineering major I really appreciate the business model canvas. Business is a complicated and new environment for me, so having a proposition canvas, I can become more familiar with the atmosphere as well as keep my intention and understanding for the customer in tact. I like the idea of products and services being a direct connect to what the customer needs. The closer you can make of a group of people's needs, the more you can sell to that market.

[@Strategyzer]

Thank you for the insightful comment Ui!

[@LauritsHR]

Speed up 1.25 and this explains it quite good :)

[@Rousland1]

THANK YOU

[@KCChenMusicChannel]

1.75 for me.

[@thaddustan7372]

@@KCChenMusicChannel lol same

[@ericsalazar6946]

The main benefit that the value proposition canvas has is that it can easily organized the customer information and the aspects of the solution that map to each pain point. Using this information, innovators are able to perfectly address each of the needs individually with their solution. If one understands all aspects of the customer besides the pain points which also includes their desires, pain relief, and how a solution would be integrated into their lives.

[@sashaharikumar1757]

The value proposition canvas appears to be a very helpful tool in the world of venture ideas and companies. I love the idea of being able to identify the differences in what someone offers versus what the customer wants. The main advantage of the value proposition canvas lies in its ability to efficiently structure customer information and align the solution with specific pain points. By leveraging this data, innovators can effectively cater to each individual need with their solution. A comprehensive understanding of all customer aspects, encompassing desires, pain relief, and the seamless integration of a solution into their lives, is crucial for addressing their needs comprehensively.

[@hannahhasbrouck2683]

Value Proposition has always been hard for me to get through to understand what exactly the customer may be thinking to get to the bottom of the pain point to correctly solve the problem. This video is great and really makes it easy to design a way of thinking about how to get the value proposition. The value proposition is very important due to the design and how it fits into the business model canvas but the business model canvas as a whole is very important.

[@ryanhobbs6999]

ASU Venture Devil Here. These tools are great exercises and I would do them with partners in your venture. They also narrow your focus to delivering specific value propositions. Lastly, the VP canvas helps organize your business value, so that you can isolate any objection and show the way around it. In sales, this process is done on the spot, through a clever arrangement of questions. The customer answers a series of question given by the sales agent, almost in conversation. While the customer is answering, the agent is listening intently in order to isolate any objections the customer might have to the sales pitch. Soon after the customer answers the last question, the sales agent will give the sales price that will solve their problems. If the customer objects, the agent refutes the validity of the objection by repeating the fitting answer given by the customer from the questionnaire. This method is effective, but can come across as a pressure sale. If the tactic is applied to the VP Canvas and utilized in marketing plans or opening venture pitches, it will come across as thoughtful consideration from every angle.

[@shanetravis4498]

The greatest ideas/inventions only come to fruition when the right plan and mindset are combined together. Through the value proposition canvas, entrepreneurs can evaluate their ideas and analyze how they can benefit the consumer. What is it that the customer TRULY wants/needs and how can your team appeal to this? Knowing your customer base is just as important if not more important than developing the idea itself because a great tool is only useful if people actually want to buy it and use it to improve their lives.

[@gwendolynhoward1653]

Great illustration simply explained and easy to receive. Great Job!

[@sebastienP880]

The best video on the topic !

[@KaisStartupy]

So good ❤

[@nourhanelsharawy300]

It is crucial in the process of customer development to construct a customer persona/archetype. A customer archetype requires the entrepreneur to know everything about the customer including their age, sex, job, title, role, where they shop, how they shop, their budget limits, their motivations and their influencers. The entrepreneur has to know enough to be able to sketch out the day of the customer. That way there is no mystery when it comes to marketing. The customer has already told the entrepreneur what is needed from him/her to make a purchase. Furthermore, a new venture idea has to be paired with an innovative management tool to ensure a business succeeds in the long run. A good Business idea does not necessarily mean a good business model. For example, a growing business needs reliable channels to attract customers and an official infrastructure. Even if customers like the new venture idea too, the product development process has to follow the business model and be financially stable in order to prosper. This tool is called the value proposition canvas. It shows the level of “fit” between what the customer wants and the value proposed product the entrepreneur is making for the customer. It further builds on the idea of a customer persona/archetype/profile where the customer’s important routines, needs, pains, and gains are listed. Pains include undesired costs and risks the customer face in his/her job. Gains are the relevant positive outcomes your customer wants and needs. The Map lists the product services, pain relievers, and gain creators the final product will provide to the customer. The perfect fit is when the map matches exactly to the customer profile.

[@fayyyy.fayyyyyyy]

❤

[@Allyseria]

You explained it all very clearly! Great video :)

[@githamaru]

Great explanation in a pretty pleasant way.

[@drvijayanphd]

Thanks very much. I am using this in my class

[@LmcLx]

Great video. Thank you for the very useful information.

[@BrandingDigital]

Please, can I add this video to my channel and put a Portuguese subtitle on it?

[@denniszenanywhere]

How do I control product or service part when everyone is throwing so many ideas for businesses, that it makes the business splintered? Thanks

[@chrisfitz1326]

great explanation, it's short and easy to understand

[@luciamendez1626]

I love canva¡

[@abaza.ibrahim]

Very nice clip, Amazing

[@Renigma1000]

While I mostly agree with the content, I feel like it overlooks a n important element, which is the part where you decide what kind of customer you want to listen to. The video does address pain points which can be used to define your customers, but there may be different subsections in the wide consumer base for any given point. In short, as the video describes, the process here may indeed be too wide, and your pain relievers may be unnecessarily harder to achieve. Perhaps it may be a bit too wordy to describe in just one concise video, but I feel that deciding on a different market may be a better option than stubbornly sticking to, and going way out of your way for, just one.

[@MichaelPeacockhawaiivet2vet]

This is helpful and with that I say Thank you : ) !!!

[@Nadzzz32]

ASU sun devil. A value proposition canvas helps manage the chaos of understanding interplay between customer segments and hypothesized value propositions by thoroughly explaining the proper fit between the directed customer and what the customer wants. The customer segment profile covers the jobs the customers are trying to get done, the related pains in their life, and the gains describing the positive outcomes and benefits the customer desires. It's important to categorize the customer jobs into most crucial to least. There is no use in trying to solve a customer’s least crucial task or requirement when there is little interest from the customer. The pains describe anything the customer finds annoying before, during, and after a task listed in customer jobs. The gains describe the outcomes and benefits such as cost savings or social benefits. The customer segment profile helps entrepreneurs observe the market more thoroughly. The customer segment profile is connected to the value proposition map. It consists of products and services, pain relievers, and gain creators. The products and services outline WHAT products and services are geared towards certain customers. The products and services are meant to address their pains and gains. The pain relievers answer HOW a product will alleviate pains before, during, and after a task. The pain relievers should eliminate or reduce the pains. The gain creators display which gains are targeted which will result in benefits and positive outcomes towards the customers. Separately, these two models aren’t beneficial. Its important for the features of the value proposition map to match the customer segment profile and vis versa.

[@arunsuwannakorn]

excellent video!

[@Gregorevich]

Thank you for sharing.

[@lucasvlaardingerbroek4504]

Great stuff

[@ScottFichter]

I see this system all over the place which is super great. I get it BUT...... What if our product is not tangible. What if your product niche is entertainment. What if your customer is not in pain has no jobs is getting no actual gain with the exception of happiness? Now what do you do? I think there needs to be a different canvas for this type of product. I bring this up because KZbin channels are using this system to define what videos to make but what if the channel is a vlog?

[@minao17]

Osterwalder Voice!! Great video :3

[@VolderKinkou]

Very good video thank you! #CEOJAN

[@Strategyzer]

Thank you very much Suleman!

[@LtColBijenderKhokhar]

Loved it

[@nalcow]

awesome , i like the model.

[@c.ssudershan8710]

Nice !!

[@WillemijnSinger]

@Mihai Ionescu: If you can't explain it simply, you don't understand it well. [Einstein]

[@lunaticz0r]

+Willemijn de Bruijn enough* If you can't explain it simply, you don't understand it well enough. :)

[@cgkmbeohdklvbxwozlhvcwbceAsrib]

Yk

[@ikhmalhussin2253]

thank you

[@Leilaeesm]

This is great Model

[@XDawnie]

This voice reminds me of Sawyer Hartman

[@ngockhang7745]

I'm sorry for what I'm going to say:1. The explanation is too much theoretical, there is no specific examples and reasons. (I know that we can look for some via Google, but if you want to make this video for easily publicly understanding, it must be necessary).2. The explanation needs to be clear about '' Observe " side (Customer side), the easiest misunderstanding elements are 'Gain' and 'Pain'; the ' Customer Job(s)' as well.3. There is another version over 'Observe' (Fears, Needs, Wants), it is better if this video can include the comparison between two of these versions.

[@scottyb3b7]

It is a 4 minute video - a simple primer on Osterwalder's ideas. It does not purport to cover every detail. As it's title suggest, it is just explaining his canvas - the graphic framework. If anyone wants more, they have the option to dig deeper into other related videos (also in KZbin), read his book, read others' books, or even get a business degree.

[@toricullipher5787]

A value proposition canvas is made up of products and services, pain relievers, and gain creators. This map will allow me to analyze my hypothesized value propositions to identify if there is a proper fit between the customer's pains, goals, and gains and my product. For instance, I can conduct market research about my product, engaging people on whether the problem I'm attempting to solve is an actual problem many people feel inconvenienced by. Additionally, I can look into my solution more and whether or not it is addressing my client's main concern as efficiently as possible. Further, I need to identify the larger task that this customer pain is impeding. This will allow me to consider how my solution can both solve the customer pain and make the customer's goals easier to attain.

[@anieazmie]

Adele instrument

[@bscromania]

With his 'strategyzer' attempt, Alex Osterwalder wishes to position himself as a Strategy thought leader. It's not just a complete vexation of the profession, but Strategy professionals are simply offended by such surrogate ideas promoters and by their simplistic approach attempts, which do more harm than good. This is the 'pop-art' of Strategy, developed on the living-room sofa, having nothing to do with the science of Strategy Management. What Osterwalder did was to take Prof. Clayton Christensen's 'job-to-be-done' concept and wrap it up in his Cartoon Network style, and bombastically presented it as 'Value Proposition Canvas'. If he would have read a few more books, written by the real Strategy thought leaders, he would have realized that the Value Proposition contains many more option areas than just the Best Product one. There are at least 10 option areas on the Value Proposition side (how-to-win) and another 10 on the Market Boundaries side (where-to-play). .

[@DerekArchibaldSr]

+Mihai Ionescu I find the BMC most useful for starting up a business. Corporate strategy & the BMC requires a different thinking patterns. A few of your linkedIn posts are interesting although some required rereading to full comprehend your point. Good stuff. Hopefully more development occurs

[@bscromania]

+Derek Sr Read this: www.linkedin.com/pulse/strategy-business-model-mihai-ionescu

[@exibero]

So, how many books explaining your model have you sold Mr. Ionescu? Just curious.

[@scottyb3b7]

There is nothing wrong at all with a simplified model to frame out how to approach value prop, product market fit, business plans, etc. - just as there is nothing wrong with a beginner's book to learning piano. He offers some starting points. Obviously, no one book or approach can capture all nuances of a business strategy and he certainly does not couch his books as exclusive of his readers' own enquiry into other approaches.

[@romulus1981]

The BMC is NOT for developing strategy. It is a reflection of the way the business makes money. I read through your work and approach and I like it. I have done similar modifications to link Business Capabilities to the BMC. I am not too sure about your Market Capabilities. I see these as input into strategic importance classification of Business Capabilities. I think what the VP Canvas does, that your model does not, is highlight the customer AND value delivery together. This is a key point of departure for a number of other thought models to anchor against such as those in Human Centered Design. BMC(and by inference VPC) is effective in simplicity. They act as effective starting points for analytical thinking, design thinking and systems thinking models to work out from. For Strategy articulation, I think the Business Motivation Model has done a decent enough job to act as a starting point however I would also supplement these with Kaplan Norton, McKinsey. Similarly with the 55 Business Model patterns, fantastic work that acts as a supplementary modifier.

[@vidasstirbys4603]

class dismissed. mic drop

[@skidaddleattle]

*voice slightly increases in pitch with every word spoken until it sounds like a squeaky toy by the end*

[@Strategyzer]

Alex was building to a crescendo and saving his best for the denouement! :)

[@waifudestroyer7683]

Very helpful, I look forward to developing my ideas using this useful tool. Thanks!

[@thatdarnguy3050]

developing the perfekt Waifu? looking forward to that haha

[@happysito4629]

nya