| Why You Need a USP | | | | every beer manufacturer does it the same way. To |
| One of the first steps in creating a marketing plan is | | | | that Hopkins replied, "But others have never told this |
| developing a USP, or Unique Selling Proposition | | | | story..." And Hopkins went on to create an |
| (sometimes called a Unique Selling Point or a | | | | advertising campaign that explained to people exactly |
| positioning statement). A USP is an ultimate | | | | what makes Schlitz beer pure. It was highlighted with |
| statement of benefit, or the single most compelling | | | | the tagline "Schlitz beer bottles - Washed with live |
| reason why a customer should buy from you over | | | | steam". He told the same story any brewer could |
| your competition. In a short, meaningful, specific | | | | have, but he gave meaning to purity. That is what |
| sentence, a USP describes your primary distinguishing | | | | took Schlitz from 5th place to tie for 1st place in |
| feature to your target market and lets them know | | | | market share." |
| what's in it for them if they do business with you. | | | | Creating a USP for Your Business |
| According to Rosser Reeves, the author of "Reality | | | | When developing the USP for your business it can be |
| in Advertising" who coined the USP, the three | | | | helpful to try thinking in the customer's point of view: |
| requirements for a USP are: | | | | why should they buy from you, not why you should |
| 1. Each advertisement must make a proposition to | | | | sell to them. Your USP should state what the most |
| the customer: "buy this product, and you will get this | | | | important benefit is to the customer in the target |
| specific benefit." | | | | market you are trying to reach. Trying to appeal to |
| 2. The proposition itself must be unique - something | | | | everyone will not give you an effective USP. Focus |
| that competitors do not, or will not, offer. | | | | on the clients that are your greatest income makers |
| 3. The proposition must be strong enough to pull new | | | | and direct the USP to them. You want to attract the |
| customers to the product. | | | | ideal client, not just any client. |
| Some of most well know USP examples are: | | | | Here are some questions that a USP should answer: |
| Domino's Pizza - "You get fresh, hot pizza delivered | | | | - What problem are you the answer to? |
| to your door in 30 minutes or less." | | | | - What quality makes you different, better or more |
| FedEx - "Your package absolutely, positively has to | | | | desirable than the competition? |
| get there overnight" | | | | - What opportunity can you present to potential |
| M&M's - "The milk chocolate melts in your | | | | customers that others can or do not? |
| mouth, not in your hand" | | | | - Why should people buy from you? |
| Wonder Bread - "It helps build strong bones 12 ways" | | | | When answering some of these questions, it is not |
| But what if such a proprietary advantage does not | | | | enough to say "Our service is better," or "Our |
| exist? What if your product is basically the same as | | | | product is better quality." These statements are not |
| your competition's, with no special distinguishing? | | | | compelling reasons to choose your business over any |
| Check this out: Once M&M established their USP: | | | | other business. |
| M&Ms melt in your mouth, not in your hand" - | | | | Also be sure to focus on a uniqueness that is actually |
| what could the competition do? Run an ad that said, | | | | meaningful to your customers. Building your USP |
| "We also melt in your mouth, not in your hand!"? It | | | | around a feature is relatively unimportant to potential |
| reminds me of an example from the book Scientific | | | | customers, and will not move them to try your |
| Advertising by Claude Hopkins that has gone on to | | | | product or service. |
| become a classic story used to describe USPs. It | | | | You can start by crafting a statement that defines |
| goes something like this: | | | | what makes your product or service unique and |
| "Schlitz Beer had hired Hopkins to increase their falling | | | | special. You might want to start with a long |
| market share. At the time the beer companies were | | | | statement of two or three paragraphs, and then |
| frantically buying bigger and bigger advertising space | | | | work from there. If you are already have an existing |
| to promote the word PURE. Everyone said their beer | | | | business, ask clients what they value most about the |
| was pure, but no one bothered to explain to the | | | | way you do business? And also ask yourself: "In |
| public what "pure meant" this meant. | | | | what ways do I benefit my customers?" |
| The first thing Hopkins did was take a tour of the | | | | Continue editing your statement until it is short, |
| Schlitz Brewery. He was shown plate-glass rooms | | | | snappy, to the point and describes your uniqueness in |
| filled with filtered air where beer was dripped over | | | | a way your customers care about. Once you get |
| pipes to cool without any impurities. He was shown | | | | your USP finalized, start sharing it with your target |
| huge expensive filters that were each cleaned twice | | | | market, and let them know what you can do for |
| daily to ensure the products purity. He notices that | | | | them. Plaster your USP in your marketing materials, |
| each bottle was sterilized four separate times before | | | | at networking events, on your business cards, on |
| being filled with beer. He was even shown 4,000 foot | | | | your website and any other time you are given the |
| deep artesian wells dug to provide the cleanest, | | | | opportunity. |
| purest water available, even though the factory was | | | | Just remember, a USP is free, easy to duplicate and |
| right on the shore of Lake Michigan (which at the | | | | communicate, and above all, tells your prospects |
| time was not polluted and could still provide clean | | | | what's in it for them if they do business with you. Be |
| water). | | | | sure to take the time to properly develop a USP that |
| After his tour Hopkins exclaimed, "Why don't you tell | | | | will work for you, your business and your target |
| people these things?" The company responded that | | | | market. |