Value curve is one of the friendliest tools to start building your value proposition. It can be applied to any level starting from enterprise level, down to product level. It can be applied accross industry, products and services.

In a simplest way to describe, value curve is a strategic tools where we design our value proposition compared to existing competitors or products or even industry. The concept of value curve is to give a completely new value proposition beyond traditional offering. For example, traditional product offering traits is that you have to give customer a products that are outperforming competitors products in all aspects. Traditional traits say that if you open a hotel, you should have larger pool, larger bathtub, state of the art furnishing, etc that can outperform other hotel. By applying value curve, you need to design what kind of hotel should you prepare to make your competitor irrelevant to compete with you, and in the same time fulfilling customer needs without trying too hard to be the best at every factors.

All you have to do is this 4 (four) action:

But First, you have to effectively identify what are the competing factors that you will need to change. If we visualize the value curve, it can be something like this picture below:

In the midst of digitalization development, we see value curve is implemented to revolutionized some industries. We can see how AirBnB shaking up the hospitality industry. Uber Shaking up the transportation industry. Mature industry will have to reposition their value to keep up with the digitalization and sharing economy waves. It brings you to the new blue ocean, where competition is no longer relevant.

The digitalization industry such as Uber, AirBNB, etc will soon need to revamp their value curve. Because Value life cycle is getting shorter. So can we start to create a new one ahead of our competitors?

Make Competition Irrelevant!


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