The unique selling proposition series continues. We’ve been discussing suggestions to help you pick a unique selling proposition because it’s such an important piece of the puzzle, and I want you to get it right.
Unique selling proposition tip #3 mentioned building a club or community. If you haven’t read it yet, click the link and go check it out.
No, really, go read the other post. It will help catch you up on this series and it’ll give you much better context for today’s topic.
Back? Great. Here we go.
Unique Selling Proposition Tip #4: White Collar Product At A Blue Collar Price
This is a pretty simple concept, and it sounds easy enough.
Offering a high quality personal experience, a white glove experience, at a good cost effective price serves as a great USP.
One thing to watch out for here, though. Don’t cut your price so low that you axe your profit margin. You’re business isn’t going to stay open very long if you don’t get to the point of positive cash flow fairly quickly.
Besides, you can’t compete on price with the Walmarts and Amazons of your niche. Every niche has them and it’s impossible to compete on price with the big dogs in the industry. You simply can’t out-volume them and you don’t have the buying power to get down to their purchase price.
So you can’t buy as cheap as they can and you can’t run on as small of a profit margin as they can. You lose twice.
Let me give you a personal example just to make sure you get the point I’m trying to make.
I’m looking at starting up a niche drop-shipping site. One of the niches I’ve been looking at is an industry that my wife and I have over 30 years of experience in.
I know the niche very, very well. I know what most of the buyers want and I know what they’ll ignore.
But, there are a couple of BIG players in this niche. They can offer most of the highest demand products for cheaper than I can buy them while still leaving themselves plenty of margin to work with.
Unfortunately in this industry, everybody knows who the big players are which makes it difficult for me to compete by other means, which I’ll get into in a few minutes.
Needless to say, I’ve decided to pass on this niche and I’m looking at other options. But, it still serves the purpose of proving my point. You simply can’t compete on price. Don’t even try.
So now I bet you’re wondering
How Do I Make A White Collar Product At A Blue Collar Price My Unique Selling Proposition?
But it actually goes deeper than just value. The absolute key to making this unique selling proposition work is added value.
How much extra value can you bring to the table to make the purchase price of your product or service seem cheap?
What can you add that will motivate your buyer to purchase from you?
That’s why I had to walk away from the niche I was looking at in my example. Even with all of my experience in that industry, I simply couldn’t provide enough added value to justify a buyer purchasing from me when they could go to one of the big guns and get the same product for less than I could get it for at wholesale.
It just didn’t compute. But, I WILL be able to bring added value to another niche. Once I choose the niche I’m going to focus on, I’ll find multiple ways to bring added value to the table.
I’ll bring enough added value to the table to convince a percentage of the buyers that it’s worth it to pay a premium price and purchase from me.
Which brings up another important point. You don’t need to attract all of the buyers in your niche, but rather only some of the buyers.
That’s a key distinction.
Not all of the buyers out there equate value with a cheap price. And that’s who you’re looking for in this instance.
It’s simply a matter of providing enough added value to make the purchase price look cheap for everything they’re getting.
You see this in the online marketing arena all of the time. Take a look at any marketer who’s been around for a while and is making a decent income. They all find ways to bring added value to whatever product they’re promoting at the time.
And that’s how you make the white collar product, blue collar price unique selling proposition work.
What About You?
It’s your turn. What kind of experience have you had in this arena? Have you ever purchased a product from somebody that you could’ve gotten cheaper someplace else, but liked the added value that you got? Have you taken a look at adding value to a product that you’re promoting? How has that worked out for you?
Take a minute and leave a comment. I’d love to hear how this unique selling proposition is working out for you. Also, I would really appreciate it if you’d share this post with the social media buttons to your left. Then, hop on over and like my new Facebook fan page. Thanks.