Today’s post is a guest post by Massimo Colella, the Co-founder and COO at Itly.com.
How to Create a Unique Selling Proposition that Will Sell More
When your business is selling products on eBay or Amazon, chances are with such a broad marketplace others are probably out there selling your same product. The trick here is to make your product stand out, make it unique in a way. Even if you’re selling the same iPhone 5/6 charger from China find a way to make yours unique. Market your charger as not only a charger, but also a connector to upload all of your pictures and music from your computer onto your iPhone. You can also create your Unique Selling Proposition (USP) by bundling together your products. For example, 2 for 1 or if you sell other iPhone accessories you can offer a case with the charger for a discounted price.
Your USP is what makes your business different from everyone else in the market. If you have an instantly recognizable USP you can lead the way through competitive and niche markets in your industry, but until you have your USP thought out and learn to capitalize on it you’ll just be another bird in the flock.
Defining your USP can be very difficult, especially for conventional companies. Fortunately, there’s quite a few ways you can make a name for yourself even if your product or service is swarming with competition.
USP as told by…
There’s nothing all that unique about TOMS lightweight, inexpensive, and comfy everyday shoes. Sure they’re stylish and come in fun patterns, but that alone isn’t going to make the company stand out in the shoe business. What makes TOMS unique and compelling is there USP: for every pair of shoes you purchase, they give a new pair of shoes to a child in need. The story is what sticks, what people remember about TOMS is that their shoes that they bought went to help someone else in need. What other shoe company gives you this type of gratification and charitable feeling when splurging on a new pair of shoes? eBay doesn’t allow you to mention charity contributions in their listings, but you can select to donate 10% of a charity by selecting eBay’s Giving Works option.
The Mast Brothers Chocolate
The Mast Brothers literally creates every bar of chocolate themselves; every step from growing the cacao beans, through the packaging. This dedication in and of itself makes a great USP, but this chocolate has it’s own personality. It’s Rick and Michael’s (the brothers) personal style that stands out. Their style brings you back to the 18th century when craftspeople took pride in working with their hands. They even take this to the next level and travel to foreign places by ship to find the best cacao for their product. Completely over the top? Probably. But sets them apart from any other company producing chocolate? Definitely. This is something you can mention in your listings if selling that type of product. So whenever you buy a wholesale product that has a USP, be sure to use that information in your listing.
Price is not a USP
A lot of sellers think that setting their price lower than the competition can serve as their USP, but if your business practices are similar you will only end up creating a price war and further eroding your margins. Look for ways to create a USP so you can keep your prices higher. Here is an example. One of the jewelry lines I sell is made in India by individual artisans. So in my listing I say – “Designed in the USA and made in India by a woman-owned micro business. Each piece made by hand –not mass produced in a factory.” I have set my prices about 20% higher than similar products and have no problem selling items in this line. In fact two of the pieces are two of my best-selling products.
It’s important to keep in mind that whatever you come up with as your USP must be valuable to your customers. If you do good research to thoroughly understand your buyer’s persona you can gain really good insight to help you develop and test your USP. Your USP should be sustainable, but it’s not something that will last you forever, it needs to be constantly further developed to move quickly with your fast paced audience. Test your USP on various online sites and see if you get the desired effect with how many follow-ups and sales you receive.
A strong USP will help you attract and retain your customers and reduce client churn. At the end of the day it’s important to remember your USP should still represent what you’re selling and what you do, not just to make you stand out.
This is an especially important concept if you are doing private labeling. You private label products should have a Unique Selling Proposition that will set you apart from sellers of similar products.
Massimo Colella is the Co-founder and COO at Itly.com. Everyday detailed Business operations mean have every single customer happy. He loves always having challenges, hates losing them.