Article, Business

What is a Unique Selling Point (USP)?

12 min read

What is a Unique Selling Point (USP)?
Before reading this article, please answer this question first: What differentiates your business from other similar businesses?

A business that can excel compared to hundreds -even thousands- of other competitors is a business that has a difference called Unique Selling Point (USP).
USP is what makes potential customers choose you over competitors.
So, its existence is very important for a business.

However, you don’t need to worry if you can’t answer the question above.
Because through this article, we will try to help you determine the USP of the business you are running.
Therefore, see this article until it’s finished!

What is a Unique Selling Point (USP)?
USP illustrations that are the reason consumers buy

As the name suggests, Unique Selling Point (USP) is the uniqueness that sets your business apart from other similar businesses.
It can be said, that this USP is one of the main reasons why consumers are willing to spend their money to buy products from you, not from competitors.

Because, if all businesses offer the same products, potential customers must be confused about which one to choose, right?
In the end, they will buy from sellers who give them more benefits than others.
Well, this advantage is called USP.

Unique Selling Point is very important especially for online business. This is because online business competitors are not only local, but from all over the world.
In other words, potential online business customers have unlimited product choices.
So that potential customers can easily turn away if the seller does not provide uniqueness that is beneficial to them.

3 Tips on How to Determine the Unique Selling Point of Your Business

Now that you understand what a Unique Selling Point is, we’ll give you three different ways to determine the USP of your business.
Oh yes, you can apply one of these three ways according to the business you run.

1. Know What Consumers Really Want
define USPs by knowing what consumers want

The first way to determine a Unique Selling Point is to think carefully about what consumers really want from your business.

Read also: 5 Strategies to Build Customer Trust with Website

For example, you have culinary business.
Of course, customers come to your place to satisfy their hunger, right?
But is food all they want?
After all, there are many other restaurants they can choose from that are just as satisfying.
What makes them choose your restaurant and ignore other places to eat?

The answer could be the price, the taste of the food, the quality of the customer service, cleanliness, friendliness of the waiter, speed of ordering, and so on.
These aspects that follow behind the main reason (eating/relieving hunger) are what you can actually make into a Unique Selling Point.
Because, that’s what your customers really want from you.

You can find out what your customers want by surveying them directly.

Customers can fill out a form that includes questions about why they prefer your business over competitors.
In addition, ask consumers to give a score (either 1-5 or 1-10) to the aspects behind the main reason.
Starting from, price, quality, service, and so on.

Once you have collected the survey answers and found out what the majority of consumers really want.
Immediately focus on product marketing strategy You focus on that aspect.
You can ignore the other aspects for now, as they are not what consumers want.

So, let’s say the majority of consumers choose your product because they want the customer servicethat you provide.
You can advertise with the words, “100% money back guaranteed if you are not satisfied with our service!”
That way, image USP Your quality customer servicewill stick in the minds of both consumers and potential customers.

2. Give Inner Satisfaction to Consumers
USP examples can be found on the iPhone

Sometimes, doing business also requires you to learn a little psychology.
Especially if your business is in a really crowded and crowded market.
You must be able to find out what inner satisfaction can be given to consumers through the products you sell.
This inner satisfaction will be your Unique Selling Point.

One of the best examples of a Unique Selling Point for this is the iPhone.
The majority of people buy an iPhone not because of its specs or advanced technology.
Rather, it’s because of the prestige and exclusivity it offers.
In other words, inner satisfaction.
We will discuss this further below:

  • Prestige

In his autobiography, he explains that the Apple founderSteve Jobs was obsessed with perfect design.
You can see for yourself that the iPhone is very beautiful and pleasing to the eye.
Everything is very neat and precise.

This beauty can really be maximized by Steve Jobs who is indeed marketing genius.
From theater-like presentations of iPhone announcements, big-budget commercials like mini-movies, to official stores in high-profile locations designed like luxury jewelry stores.

All of this marketing is aimed at creating the perception that the iPhone is a “beautiful and expensive thing.”
It’s not just a “thing” smartphone like other competitors.

The effect of Jobs’ marketing strategy was extraordinary: people did not hesitate to spend a lot of money on the iPhone, even willing to queue for dozens of hours at the store.
In fact, if you look at the specs offered, the price of the iPhone should be much cheaper.

However, people don’t care that the iPhone overpriced.
The reason is simple: they don’t buy smartphone, but rather buying prestige.

  • Exclusivity

If everyone had a lot of money, then there would be no such thing as rich people.
Likewise with the iPhone, if everyone has an iPhone, then the sense of “wah” will also disappear.
Steve Jobs knew this well and made the iPhone an exclusive item.
How did he do it?

First, Jobs created iOS (iPhone operating system) closed source.
This means that no one can tinker with iOS other than Apple itself.
This guarantees iPhone users -who have already spent a lot of money- that there is no smartphonesother than iPhones that also use iOS on this earth.
Contrast that with Android, right?

Secondly, did you know that Apple deliberately limiting iPhone stock available in the market?
Apart from making the price soar even higher, the limited stock also gives people an impression of exclusivity.
Those who managed to get their hands on the iPhone felt like they had a magical item like no other in the world.

Third, the application that are exclusive.
iCloud, FaceTime, iMessage, Airdrop are some examples of applications exclusive to Apple.
In other words, you won’t be able to use it anywhere except on Apple products.
This certainly adds to the sense of exclusivity that the iPhone offers.

Fourth, Apple’s perfect ecosystem.
All Apple products are interconnected and can only function optimally when used with other Apple products.
Well, this ecosystem is what actually makes the iPhone exclusive and “forces” users to be loyal to Apple.

You can see an example of this with Airpods.
Where Airpods will lose many of its features if used on Android.
You’ve bought expensive but if it can’t function properly right It’s a shame, isn’t it?
In effect, people who are curious about Airpods are forced to buy an iPhone first.

Well, you can also emulate Apple’s ingenuity above and make the inner satisfaction of consumers a Unique Selling Point.
What you have to do to make this USP successful are Focus your marketing on the inner satisfaction that consumers will get, not on the products being sold.

Also read: 11+ Effective Marketing Strategies for Your Business

That way, potential customers will automatically associate your product with the inner satisfaction they will get.
In effect, consumers will have a unique and different perception of your product compared to hundreds of other competitors.

Can’t find the inner satisfaction for your product?
Don’t worry, here are some examples that you can use as inspiration:

  • Healthy Lifestyle.

Everyone wants to be healthy.
So, you can use a promotional strategy that convinces consumers that by using your product, they can be healthier.
This way, consumers will feel that your product is a healthier product compared to competitors.

  • Safeguarding the Environment

Not only are they mentally satisfied, but consumers are also happy at the same time.
Because, by using your products, they are also directly contributing to protecting the environment around them.
For example: using recycled plastic to wrap products or running a donation program for every product sold for tree planting.

  • Pride

There are many kinds of pride.
Apart from the pride of using luxury goods such as iPhones, there is also a sense of pride for using domestic products, a sense of pride because the product purchased is exclusive/limited, and so on.
Just adjust it to the product/service you are selling.

3. Look at the Competitors
one way to determine USP is to look at competitors

Looking at competitors here is not about copying their Unique Selling Point.
Because, if you copy exactly the USP of a well-known competitor, you will most likely lose.
They already have many regular customers and huge resources.

Rather, looking at your competitors is to find out what they lack so that you can use it as inspiration to form your own business USP.
In other words, using your competitors’ weaknesses to your advantage.

The first step is to visit their website/offline store.
This way, you can find out how their system works firsthand.
Make sure you pay attention to all aspects of the website/offline store.
Starting from the appearance of the website, its performance, user experience, how they process transactions, to customer service.

After that, note down what aspects you think are lacking from the competitor’s website/store.
The more the better.

Validation

The next step is to validate your findings with competitors’ customers. This validation is to find out if the aspects that you think are lacking from competitors are also felt by the majority of their consumers.

Now, there are two ways to do this validation. First, you can look at the reviews left by competitors’ customers on Google My Business.
Then, see what aspects their customers complain about the most.
Especially consumers who don’t leave five-star reviews.

The second way is to ask their customers directly.
This second method is perfect if the competitor has a physical offline store.
Where you can intercept consumers outside right after they make a purchase.

Once you have successfully intercepted a customer, you can ask them about their experience buying from a competitor.
To avoid suspicion, don’t just ask about the worst aspects, but the best aspects first.

Yup, this second method is indeed reckless.
However, successful businessmen are those who are reckless and take risks, right?

Now, the last step is to start forming a USP from the data you’ve collected.
For example, if your competitors’ biggest flaw is their slow website, then your website should be super-fast.

Or maybe the majority of the competitor’s customers are complaining about the lack of support for payment via payment gateway.
So you have to move quickly so that these payment methods are immediately available on your website.

After all the steps above are done, don’t forget to include this new Unique Selling Point in each of your next marketing strategies.
Let the world know that you have a unique advantage over your competitors.
Guaranteed, consumers who are not satisfied with competitors will slowly use your product by themselves.

Unique Selling Point Example

So what does Unique Selling Point (USP) mean?
So that the above explanation does not seem far-fetched, here we provide examples of several businesses that have successfully implemented one of the three methods above.

1. Tangting Barber Home

An example of the number one USP method above is Tangting Barber Home.
Tangting Barber Home is an online barber.
The people who use his services are for haircuts.
However, that is not the real reason why he is preferred over other traditional barbers.
Have you guessed why?

Yup, Tangting Barber Home successfully offers a solution to the various problems that people experience when getting a haircut.
Especially niche market millennials who just have a reason.
Starting from long queues (especially if weekend), not having time to go to the barber, to mager because of the heat or traffic jams.
In other words, consumers choose Tangting Barber Home not just because they want a haircut.
Rather, it’s because it’s practical and time-saving.

2. Puyo Dessert

One of the best examples of a Unique Selling Point for method number two is Puyo Dessert’s pudding.
Says dessert itself is generally associated with unhealthy food, right?
Especially for pudding which is very sweet and high in calories.

However, Puyo Dessert manages to break all such perceptions.
It claims that it is a healthy pudding.
The pudding is rich in fiber, low in calories, and has no preservatives in it.

In effect, consumers who want to live a healthy life will choose Puyo Dessert pudding over regular pudding from competitors.
Consumers will feel relieved that they can still live a healthy life despite consuming snacks.

3. Anthology

For example number three, we chose the coworking space Anthology.
Why?
Because in the midst of the explosion of coworking spaces that have sprung up in every corner of Jogja, Anthology has managed to become a champion among its competitors.
This is none other than because Anthology can provide Unique Selling Points that are not owned by other competitors.

While competitors only focus on coworking spaces, Anthology also has a cafe inside.
So that when visitors are thirsty / hungry, they can immediately order without having to go out / via online motorcycle taxis.

When other competitors started to have cafes, Anthology went one step further by offering various interesting programs for its members.
So Anthology not only provides a place for discussion, but also a means to increase knowledge and relationships.

Unique Selling Points are Important!

After reading this article, you must have realized how important Unique Selling Points are, right?
In the long run, this USP can be the difference between a successful business and one that goes out of business.

Because, if consumers have a reason to choose your product, they will definitely keep coming back and recommending it to others.
Compare if your product is mediocre and makes no difference.
Let alone buying it, consumers won’t even look at it.

Therefore, we hope you’ll apply one of the methods above so that your business can compete with your competitors.
Also, don’t forget to apply our online business tips.
So that your business can not only compete, but also become number one among competitors.

Source: https://www.niagahoster.co.id/ Comment below if you have any questions, or contact me through this page: https://hajarsabrani.com/contact/


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