Advantages
- Can be a major source of competitive advantage and therefore businesses want to emphasise their USP to attract customers.
Disadvantages
- Difficult to find a USP.
Frequently Asked Questions about Unique Selling Points (USPs)
A Unique Selling Point (USP), or Unique Selling Proposition, is the unique benefit that a company, product, or service offers to its customers that differentiates it from its competitors. It's the reason why a customer should choose you over others.
In business, the USP is the core message that communicates the distinct advantage or benefit that makes a company's offering stand out. It's used in marketing and sales to articulate why a customer should buy this specific product or service.
A feature is a characteristic of the product or service (e.g., "this phone has a long battery life"). A USP is the *benefit* derived from that feature and why it's unique compared to competitors (e.g., "our phone's extra-long battery life means you won't need to charge it during your busy day, unlike competing phones"). The USP focuses on the value to the customer.
Finding your USP involves understanding your target market's needs, analyzing your competitors to see what they offer and how they position themselves, identifying your own unique strengths and what you do better or differently, and then articulating that unique benefit clearly and concisely from the customer's perspective.
A good USP is clear, concise, and easy for customers to understand. It highlights a benefit that is truly unique or superior to competitors and is highly relevant and desirable to the target audience. It should be something you can consistently deliver on.
While a company might have multiple unique aspects or benefits, it's often most effective to focus on one primary, compelling USP in core messaging to avoid confusing customers. However, different products or services within a company might have their own distinct USPs, or sub-USPs might be highlighted for different market segments or campaigns.
Having a clear USP is essential for differentiation in a crowded market. It helps attract the right customers, justifies pricing, builds brand identity, makes marketing messages more effective, and provides a clear focus for business strategy and product development.
