For many start-ups, one of the biggest questions asked is “How do we stand out from the competition?” In today’s fast-paced and often volatile economy, it is essential that entrepreneurs focus on specializing their business to a unique market niche. This may require companies to root out performance gaps in their industry, deliver on promises that others in the market cannot fill, or combine business models to create something new altogether. In this week’s post, we’ll take a look at the growing value of developing a unique selling proposition for your company.

So, what is it? A unique selling proposition is what sets your business apart from the competition. It is a specific benefit of your products or services that no one else in the market can claim. It should make a clear statement about your company, and is designed to pull customers in from other areas of the market. One way to think of it is as a promise to your customers; “if you purchase our products, we guarantee…”

Developing a USP. The most diligent way to create your own unique selling proposition is to look at your market from the customer’s perspective. Many successful propositions come from filling perceived gaps in service or quality (Dominoes “30 minutes or less” deal), while still others make simple promises about their specific product (Head & Shoulders ability of dandruff control). It is important that your proposition focuses on functional differences in the products and services of your company – lowest price, best service, highest quality – while still being expressive of your brand. Think of it as a guarantee that is unique to your business, but remember that nothing will turn consumers away from your company quicker than unfulfilled promises.

USPs and Marketing. Often times, a unique selling proposition is used as the foundation for an entire marketing campaign. It should be one of the first steps in defining what a company is about, as well as how it will be marketed to consumers. It should help convey your company’s personality and can be used as one of the pillars in your overall branding scheme. Be certain to include your proposition in all of your marketing materials – whether it be in the form of a catchphrase, slogan, or special guarantee. Ultimately, your unique selling proposition should be the primary message you are sending to consumers about your business.