What is UVP and why it won't help in classic B2B sales

UVP (Unique Value Proposition) is perhaps the most popular and simultaneously least understood topic in modern sales. With the rise of the startup scene the term grew louder and we hear it everywhere. And that is exactly where the conflict between the real problem and the context in which you solve it begins.

Why was this term created in the first place?

Defining UVP in two or three sentences was meant primarily to let a venture investor spend the minimum amount of time understanding what product you are presenting and whether the problem has enough potential.

From that follows the need for UVP to sound like a pitch. And precisely because of that, every UVP today sounds like a presentation that is ultimately formulated around the product and its features.

In most cases this leads to UVP being a value we invented ourselves — in other words, it is what we think about our product. But let's return to classic economic theory: value is not defined by the producer, but by how much the market is willing to pay for it.

And if the market defines value, then logically it will be different on each market. Different customer preferences, different brand perception, different competition, different logistics. That is why a UVP defined for the home market falls apart the moment you expand.

How to define UVP correctly?

The customer probably knows more about your product than you think. They don't want to hear how great you are. They don't want to hear marketing nonsense like "save 20% through optimization and prioritization".

They want to hear why they should invest their precious time in your offer and what you solve differently from what they already get from the competition. Instead of a catchy pitch that has no real meaning and customers hate, you need:

• Complete market and competitive analysis.
• Deep understanding of the problems you solve (or could solve).
• Specific context for the given market, and even for a specific customer type if you have more than one.

What does the customer really want to hear?

Customers don't care about generic claims. They want to hear concrete answers to their business frustrations:

"Your current competition won't create an individual stock program for you to guarantee delivery dates? We will build one for your fastest turning items and give you a guaranteed lead time."

"Your current competition won't protect your margin and gives everyone the same prices? If you send us a project and specification, you'll get a special project price exclusively for you."

A properly defined UVP won't have three sentences. It will be a complex internal document from which your sales and communication strategy then follows.

Conclusion

Common UVP is often just a monologue for internal presentations. But the market demands a conversation with reality.

Value always lies in solving specific customer problems. And to solve them, you must first understand their world — not tell them fairy tales about how you have "the best quality and reasonable prices". Believe us, they hear that every day and it stopped working long ago.