The 1-Minute VALUE PROPOSITION ACT: A Simpler and Scalable Toolkit for Designing Magnetic Value Propositions (MVPs)

Value
Proposi-on
Model
(VPM)
for
Apple’s
Classic
iPod
–
The
4
Trade-‐oﬀ
Scenes

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:
Digital
Music
Player

Diﬀeren/a/on:
1,000
Songs
in
Pocket

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

#VPGen.
Dr.
Rod
King.
rodkuhnhking@gmail.com
&
hYp://businessmodels.ning.com
&
hYp://twiYer.com/RodKuhnKing

Value
Proposi-on
Model
(VPM)
for
Apple’s
Classic
iPod
–
Triangula4on
of
Peripheral
Scenes

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:
Digital
Music
Player

Diﬀeren/a/on:
1,000
Songs
in
Pocket

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

#VPGen.
Dr.
Rod
King.
&
&

Value
Proposi-on
Model
(VPM)
for
Apple’s
Classic
iPod

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:
Digital
Music
Player

Diﬀeren/a/on:
1,000
Songs
in
Pocket

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

q  Fitness
(Synergy/Connec/on)

#VPGen.
Dr.
Rod
King.
&
&

P.I.E.S.

Note

P.I.E.S.
is
an
acronym
for
Physical;

Intellectual;
Emo4onal;
Spiritual

Details
of
Value
Proposi-on
Model
(VPM)
for
Apple’s
Classic
iPod

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

PRODUCT/SERVICE/TOOL

(Output:
Prototype/Full
Scale)

-‐

+

CUSTOMER/CONSUMER

(Persona/Proﬁle/Community)

-‐
+

JOBS-‐TO-‐BE-‐DONE/WORKFLOW

(Func4onality/Goal/Requirements)

-‐
+

WHO?
WHAT?

HOW?
WHERE?
WHEN?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

VALUE
PROPOSITION
PLOT

Similarity:
Digital
Music
Player

Diﬀeren/a/on:
1,000
Songs
in
Pocket

WHY
(ACT/BUY,
NOW)?

CUSTOMER-‐PRODUCT
Fitness

Problem-‐Solu/on
(Market-‐Product
Innova/on)
Fit

#VPGen.
Dr.
Rod
King.
&
&

Details
of
Value
Proposi-on
Model
(VPM)
for
Apple’s
Classic
iPod

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises


(Output:
Prototype/Full
Scale)

-‐

+

CUSTOMER/CONSUMER


-‐
+



-‐
+

Posi4oning/Features/CRM/Pricing

WHO?
WHAT?

HOW?
WHERE?
WHEN?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

VALUE
PROPOSITION
PLOT

Similarity:
Digital
Music
Player

Diﬀeren/a/on:
1,000
Songs
in
Pocket

WHY
(ACT/BUY,
NOW)?

#VPGen.
Dr.
Rod
King.
&
&

Details
of
Value
Proposi-on
Model
(VPM)
for
Apple’s
Classic
iPod

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises


(Output:
Prototype/Full
Scale)

-‐

+

CUSTOMER/CONSUMER


-‐
+



-‐
+

Supply
(Asserted/Hypothesized/Pushed)

Demand
(AIDA/Required/Validated/Metrics)


WHO?
WHAT?

HOW?
WHERE?
WHEN?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

VALUE
PROPOSITION
PLOT

Similarity:
Digital
Music
Player

Diﬀeren/a/on:
1,000
Songs
in
Pocket

WHY
(ACT/BUY,
NOW)?

#VPGen.
Dr.
Rod
King.
&
&

ENVIRONMENT

GLOBAL
BUSINESS
MODEL
(GBM)
STORY
for
Apple’s
Classic
iPod

#VPGen.
Dr.
Rod
King.
&
hWp://businessmodels.ning.com
&
hWp://twiWer.com/RodKuhnKing

Suppliers/

Partners

Processes/

Ac4vi4es

Internal

Resources

(Employees;
IP;
etc.)

VALUE
CREATION
ACT
VALUE
PROPOSITION
ACT

Product/

Service

Customers

Jobs-‐To-‐Be-‐Done

Value

Proposi-on

(Plot)

Cost

(Structure)

Proﬁt

Core

Competence

SHARED
VALUE
(PROFIT)
ACT

BUSINESS
MODEL

For
Classic
iPod

Revenue

(Streams)

Shared

Value

VALUE
PROPOSITION
GENERATOR
FOR
APPLE’S
CLASSIC
IPOD

Collabora4vely
Document,
Deconstruct,
Construct,
and
Compare
Value
Proposi4on
Models
(VPMs)

ORGANIZATION

(Business/

Product/

Service/

Place/Situa4on/

Scene/

Object)

CUSTOMER/
CONSUMER

PRODUCT/

SERVICE/

TOOL

(INDUSTRY)

VALUE

PROPOSITION

STATEMENT

(HEADING/PLOT)

Who?
How?
Where?
When?
What?
WHY

(Act/Buy,
Now)?

Apple

“A
Thousand
Songs

in
Your
Pocket”

Listen
up
to
1000

songs
anywhere

without
CDs
or

tape
or
hassle

“Seamless
music

experience”

#VPGen.
Dr.
Rod
King.
&
&

TRADE-‐OFF
SCENE
FOR
CUSTOMER/CONSUMER
OF
APPLE’S
CLASSIC
IPOD

q  Past
(“As
Was”)
q  Future
(“To
Be”)

CUSTOMER/CONSUMER


-‐

+

q 

Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

TRADE-‐OFF
SCENE
FOR
JOBS-‐TO-‐BE-‐DONE
OF
APPLE’S
CLASSIC
IPOD

q  Past
(“As
Was”)
q  Future
(“To
Be”)



-‐

+

q 

Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

TRADE-‐OFF
SCENE
FOR
OF
APPLE’S
CLASSIC
IPOD

q  Past
(“As
Was”)
q  Future
(“To
Be”)


(Output:
Prototype/Full
Scale)

-‐

+

q 

Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

PAST
Value
Proposi-on
Model
(VPM)
for
Music
Players:
Sony’s
CD
Walkman
(Analog)

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:

Music
Player

Diﬀeren/a/on:
Portable
Music

WHY
(ACT/BUY,
NOW)?

ü  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

#VPGen.
Dr.
Rod
King.
&
&

q  Fitness
(Synergy/Connec/on)

P.I.E.S.

Note

P.I.E.S.
is
an
acronym
for
Physical;

Intellectual;
Emo4onal;
Spiritual

Past

(“As
Was”)

Value
Proposi-on
Model

Present

(“As
Is”)

Value
Proposi-on
Model

Future

(“To
Be”)

Value
Proposi-on
Model

VALUE
PROPOSITION
PLAN
(VPP)
FOR
MUSIC
PLAYER
INDUSTRY

Evolu/on
of
Value
Proposi/on
Models

Mission/Vision/Purpose/

Ideals/

Ideal
Final
Result/…

3 2
1
4
Key
(The
4
Scenes
of
a
Value
Proposi4on
Model)

1:
Value
Proposi4on
Plot
(Statement)

2:
Customers/Consumers

3:
Product/Service/Tool

4:
Jobs-‐To-‐Be-‐Done/Workﬂow

Strategy/Execu-on

How
SHOULD

business
(model/system)

get
to
desired
VPT?

#VPGen.
Dr.
Rod
King.
&
&

Disrup4on
Spot

Luxury
Spot

Strategic

Choice

Sweet
Spot

Value
Proposi4on

Blue
Ocean

Value
Proposi4on

Luxury
Spot

(“Differen/a/on”)

Value
Proposi4on

Disrup-on
Spot/Lean

(“Low
Cost”/

“Disrup/ve”)

Value
Proposi4on

TRADE-‐OFF
MAP
FOR
MUSIC
PLAYER
INDUSTRY

Red
Ocean

vs.
Blue
Ocean
Value
Proposi/ons
(Strategies/Business
Models)

Volcano

Value
Proposi4on

Green
Ocean

Value
Proposi4on

Red
Ocean

Value
Proposi4on

No-‐Man’s-‐Island

Value
Proposi4on

Oasis

(‘Stuck-‐in-‐the-‐middle’)

Value
Proposi4on

(-‐):
PAIN:
Size
(Inconvenience;
Complexity
of
Use)

(+):
DELIGHT:

No.
of
songs
stored

(Storage;

Performance)

Key

Profitable
Value
Proposi4on

Unprofitable
Value
Proposi4on

“Insane”
Happiness
(Value)

Ideal
Final
Result
(IFR)

Infinite
Shared
Happiness

#VPGen.
Dr.
Rod
King.
&
&

Market
Segment
(Job-‐To-‐Be-‐Done/Goal;
Product/Tool):
Listen
to
music

Every
Physical
Object

Has

A
Tacit/An
Explicit
Value
Proposi-on,

A
Tacit/An
Explicit
Trade-‐oﬀ,
and

A
Tacit/An
Explicit
Value

A
Customer
Value
Proposi-on

Is

The
Heart,
Brain,
and
Soul

of

A
Business
(Model)

Value
Proposi-on
Model:

Templates

VPM

“Because
the
purpose
of
business
is
to
create
a

customer,
the
business
enterprise
has
two
–
and
only

two
–
basic
func4ons:
marke-ng
and
innova-on.

“Marke4ng
and
innova4on
produce
results;

all
the
rest
are
costs.

“Marke4ng
is
the
dis4nguishing,
unique
func4on
of

the
business.”

Peter
Drucker

The
2
Basic
Func-ons
of
a
Business

A
Value
Proposi-on
Model

(VPM)

Focuses
on

Marke-ng
and
Innova-on

A
Value
Proposi-on
Model
(VPM)

Reﬂects,
Tells,
or
Presents

An
Emo-onal
Story

About

The
Targeted
Customer

A
Value
Proposi-on
Model
(VPM)
is
a

Visual
Marke-ng
Tool

That
Consists
of

4
Interrelated
Trade-‐off
Scenes:

1.

Trade-‐off
Scene
for
Value
Proposi-on
Plot

2.

Trade-‐off
Scene
for
Customers/Consumers

3.  Trade-‐off
Scene
for

4.  Trade-‐off
Scene
for

Note

A
Trade-‐off
Scene
is
a
visual
ideas
organizer
that
illustrates
or
describes
an
object
together

with
the
object’s
impact
of
pain
(-‐)
and
delight
(+).

The
4
Trade-‐off
Scenes
of
the
Value
Proposi-on
Model
(VPM)

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

3
2

1

4

3

2

1

4

#VPGen.
Dr.
Rod
King.
&
&

Natural
Language
Story
of
Value
Proposi-on
Model
(VPM)

VALUE
PROPOSITION
PLOT

Similarity:
………………………….…..………

Diﬀeren/a/on:
…..……………………………

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

Subject

(Protagonist/

Agent)

Verb

(Ac/vity/

Task/

Func/on/

Outcome)

Object

(Tool/

Product)

#VPGen.
Dr.
Rod
King.
&
&

Storyboard
of
Value
Proposi-on
Model
(VPM)

VALUE
PROPOSITION
PLOT

Similarity:
………………………….…..………

Diﬀeren/a/on:
…..……………………………

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

Customer

Scene

Ac-on

Scene

Product

Scene

#VPGen.
Dr.
Rod
King.
&
&

4
Basic
Ques-ons
for
the
Value
Proposi-on
Model
(VPM)

VALUE
PROPOSITION
PLOT

Similarity:
………………………….…..………

Diﬀeren/a/on:
…..……………………………

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

How
does
your

customer
spend

(valuable)
-me?

What
is
your

business/

product/

service?

Who
is
your

customer/

consumer?

Out
of
the
Enterprise
(System)
In
the
Enterprise
(System)

#VPGen.
Dr.
Rod
King.
&
&

The
4
Trade-‐oﬀ
Scenes
of
the
Value
Proposi-on
Model
(VPM)

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:
………………………….…..………

Diﬀeren/a/on:
…..……………………………

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

#VPGen.
Dr.
Rod
King.
&
&

Triangula-on
of
Peripheral
Scenes
of
Value
Proposi-on
Model
(VPM)

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:
………………………….…..………

Diﬀeren/a/on:
…..……………………………

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

#VPGen.
Dr.
Rod
King.
&
&

Overview
of
Value
Proposi-on
Model
(VPM)
for
Engaging,
Acquiring,
and
Retaining
More
Customers

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:
………………………….…..………

Diﬀeren/a/on:
…..……………………………

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

#VPGen.
Dr.
Rod
King.
&
&

q  Fitness
(Synergy/Connec/on)

P.I.E.S.

Note

P.I.E.S.
is
an
acronym
for
Physical;

Intellectual;
Emo4onal;
Spiritual

Details
of
Value
Proposi-on
Model
(VPM)
for
Engaging,
Acquiring,
and
Retaining
More
Customers

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises


(Output:
Prototype/Full
Scale)

-‐

+

CUSTOMER/CONSUMER


-‐
+



-‐
+

WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:
………………………….…..………

Diﬀeren/a/on:
…..……………………………

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

CUSTOMER-‐PRODUCT
Fitness

#VPGen.
Dr.
Rod
King.
&
&

Problem-‐Solu/on
(Market-‐Product
Innova/on)
Fit

Details
of
Value
Proposi-on
Model
(VPM)
for
Engaging,
Acquiring,
and
Retaining
More
Customers

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises


(Output:
Prototype/Full
Scale)

-‐

+

CUSTOMER/CONSUMER


-‐
+



-‐
+

WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:
………………………….…..………

Diﬀeren/a/on:
…..……………………………

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)


#VPGen.
Dr.
Rod
King.
&
&

Details
of
Value
Proposi-on
Model
(VPM)
for
Engaging,
Acquiring,
and
Retaining
More
Customers

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises


(Output:
Prototype/Full
Scale)

-‐

+

CUSTOMER/CONSUMER


-‐
+



-‐
+


WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:
………………………….…..………

Diﬀeren/a/on:
…..……………………………

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

Supply

Demand

#VPGen.
Dr.
Rod
King.
&
&

Checklist

for

Elements
of

Value
Proposi-on
Model

CHECKLIST
FOR
VALUE
PROPOSITION
PLOT

q  Past
(“As
Was”)
q  Future
(“To
Be”)

VALUE
PROPOSITION
PLOT

(WHY
ACT,
NOW?)

-‐

+

q 

Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

q  What
features
of
the
product/service/tool/business
model
are
SIMILAR
to
those
in
the
exis4ng
marketplace?

q  What
features
of
the
model
are
DIFFERENT
from
those
in
the
exis4ng

marketplace?

q  What
is
your
Value
Proposi4on
Statement
(VPS)
for
the
product/service/tool?

q  Are
you
sa4sﬁed
with
the
eﬀec4veness
of
your
Value
Proposi4on
Statement
(VPS)?

q  What,
on
a
scale
of
1
(low)
to
10
(high),

is
your

level
of
pain
regarding
the
value
proposi4on

(plot)?

q  What,
on
a
scale
of
1
(low)
to
10
(high),

is
your

level
of
delight
regarding
the
value
proposi4on

plot
(statement)?

CHECKLIST
FOR
CUSTOMER/CONSUMER

q  Past
(“As
Was”)
q  Future
(“To
Be”)

CUSTOMER/CONSUMER


-‐

+

#VPGen.
Dr.
Rod
King.
&
&

q  Who
are
the
target
customers/consumers?

q  How
would
you
describe
the
persona
and/or
demographic
proﬁle
of
the
most
valuable
customer/consumer?

q  What
are
important
dislikes
or
pains
of

the
customer/consumer?

q  What
fundamental
problems
are
customers/

consumers
trying
to
solve?

q  What
are
important
likes
or
delights
of

the
customer/consumer?

q 

Present
(“As
Is”)

CHECKLIST
FOR

q  Past
(“As
Was”)
q  Future
(“To
Be”)


(Output:
Prototype/Full
Scale)

-‐

+

q 

Present
(“As
Is”)

VPM

#VPGen.
Dr.
Rod
King.
&
&

q  What
is
(the
name
and
product
category
of)
the
main
product/service/tool
that
is
(to
be)
offered
to

customers?

q  What
are
capabili4es
of
the
product/service?

q  What
are
the
key
features
of
the
product/service?

q  What
are
3
serious
pains
or
problems

encountered
by
customers
when
they
use
the


q  What
are
3
important
benefits
that
the

offers
to
customers?

CHECKLIST
FOR

q  Past
(“As
Was”)
q  Future
(“To
Be”)



-‐

+

q 

Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

q  For
what
physical/intellectual/emo4onal/spiritual
(P.I.E.S.)
events,
goals,
ac4vi4es,
and
tasks
do
customers

use
the

q  What
is
the
most
important
event,
goal,
ac4vity,
and/or
task
for
which
customers
use
the
product/service/
tool?

q  In
what
places,
loca4ons,
or
areas
do
customers
use
the

q  When
(during
the
day/week/month/year)
do
customers
use
the

q  What
are
typical
obstacles
or
barriers
that

prevent
customers
from
eﬀec4vely
using
the


q  What
are
nega/ve
evalua4on
criteria
for
Jobs-‐
To-‐Be-‐Done
or
undesirable
Outcomes?

q  What
are
typical
factors
that
help
customers
to

eﬀec4vely
use
the

q  What
are
posi/ve
evalua4on
criteria
for
Jobs-‐
To-‐Be-‐Done
or
desirable
Outcomes?

Value
Proposi-on

Generator

DESCRIPTION
OF
INFORMATION
REQUIRED
(INPUTS)
FOR
VALUE
PROPOSITION
GENERATOR

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises


(Output:
Prototype/Full
Scale)

q Product
Group

q Name
of
Product

q Main
Func-onality
(Features)

-‐

+

CUSTOMER/CONSUMER


q Customer
Group

q Customer
Segment

q Niche/Individual

q Prospects
(Non-‐customers)

-‐
+



q Vital
(Core)
Job-‐To-‐Be-‐Done:

Physical/Intellectual/Emo4onal/

Spiritual
(P.I.E.S.)
Jobs

q Complementary

-‐
+

WHO?
WHAT?

HOW?
WHERE?
WHEN?

VALUE
PROPOSITION
PLOT

Similarity:
………………………….…..………

Diﬀeren/a/on:
…..……………………………

WHY
(ACT/BUY,
NOW)?

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

q Beneﬁts
(Noun/

Adjec/ve/

Statement)

q Value
Factors

q Pain
(Problems)

q Risks;
Hassles

q Fears;
Doubts

q Unmet
Needs

q Desirable
Result/

Outcome

q Value
Factors

q Aspira/ons

q Strengths

q Hierarchy
of

Needs
&
Tasks

q Obstacles/

Barriers

q Value
Constraints

q Cost
(Price)

q Value
Constraints

#VPGen.
Dr.
Rod
King.
&
&

MULTI-‐VALUE
PROPOSITION
MODEL
FOR
DECISION-‐MAKING
(COMPETITOR/SEGMENTATION)
ANALYSIS

Collabora4vely
Document,
Deconstruct,
Construct,
and
Compare
Value
Proposi4on
Models
(VPMs)

3
2

1

4

Key

1:
Value
Proposi4on
Plot
(Statement)

2:
Customers/Consumers

3:

4:

3

1

4

2
2

1

3

4

Compe/tor
1’s

Value
Proposi/on
Model

Compe/tor
2’s

Value
Proposi/on
Model

Given

Value
Proposi/on
Model

#VPGen.
Dr.
Rod
King.
&
&

THE
4
SCENES
OF
A
VALUE
PROPOSITION
MODEL
–
Storyboard/Mind
Map
Template

Collabora4vely
Document,
Deconstruct,
Construct,
and
Compare
Value
Proposi4on
Models
(VPMs)

VALUE
PROPOSITION
MODEL

(VPM)

Core

Trade-‐oﬀ
Scene

3
Peripheral

Trade-‐oﬀ
Scenes

Why-‐Scene:

Value
Proposi-on
Plot

Who-‐Scene:

Customer/Consumer

How/Where/
When-‐Scene:


What-‐Scene:


#VPGen.
Dr.
Rod
King.
&
&

VALUE
PROPOSITION
GENERATOR

Collabora4vely
Document,
Deconstruct,
Construct,
and
Compare
Value
Proposi4on
Models
(VPMs)

ORGANIZATION

(Business/

Product/

Service/

Place/Situa4on/

Object)

CUSTOMER/
CONSUMER

PRODUCT/

SERVICE/

TOOL

(INDUSTRY)

VALUE

PROPOSITION

STATEMENT

(HEADING/PLOT)

Who?
How?
Where?
When?
What?
WHY

(Act/Buy,
Now)?

#VPGen.
Dr.
Rod
King.
&
&

VALUE
PROPOSITION
GENERATOR
FOR
FORMULATING
VALUE
PROPOSITION
STATEMENTS

Collabora4vely
Document,
Deconstruct,
Construct,
and
Compare
Value
Proposi4on
Models
(VPMs)

ORGANIZATION

(Business/

Product/

Service/

Place/Situa4on/

Object)

CUSTOMER/
CONSUMER

PRODUCT/

SERVICE/

TOOL

(INDUSTRY)

VALUE

PROPOSITION

STATEMENT

(HEADING/PLOT)

Who?
How?
Where?
When?
What?
WHY

(Act/Buy,
Now)?

For
[Customer/

Niche]
Who

Hate
[Pain]/

Who
Want
…

[Beneﬁt]

The
[Name
of

Product]

Is
a

[Product
Group]

That
[Beneﬁt]

[Name
of

Product]
Is

[Iconic/
Breakthrough

Product]

For
[Product

Group]

We
help

[Customer/

Niche]
Do

[Cri/cal
Job-‐
To-‐Be-‐Done]

By
[Task]

Sheet
1
of
4

#VPGen.
Dr.
Rod
King.
&
&

ORGANIZATION

(Business/

Product/

Service/

Place/Situa4on/

Object)

CUSTOMER/
CONSUMER

PRODUCT/

SERVICE/

TOOL

(INDUSTRY)

VALUE

PROPOSITION

STATEMENT

(HEADING/PLOT)

Who?
How?
Where?
When?
What?
WHY

(Act/Buy,
Now)?

We
believe
our

best
customers

are
[Customer/
Segment/
Niche]

Who
…
[Pain]/

Because
of

[Root-‐cause
of

Pain/
Constraint]

The
[Name
of

Product]

Is
[List
of

Adjec/ves
for

Desirable
Value

Factors/
Beneﬁts]

[Shocking
Fact

or
One-‐line

Descrip/on
of

Related
Big

Urgent
Market

Problem
or

Societal
Pain]

We
oﬀer

[Product

Category]

That
enables

[Desirable

Result/

Outcome]

Sheet
2
of
4

VALUE
PROPOSITION
GENERATOR
FOR
FORMULATING
VALUE
PROPOSITION
STATEMENTS

Collabora4vely
Document,
Deconstruct,
Construct,
and
Compare
Value
Proposi4on
Models
(VPMs)

#VPGen.
Dr.
Rod
King.
&
&

ORGANIZATION

(Business/

Product/

Service/

Place/Situa4on/

Object)

CUSTOMER/
CONSUMER

PRODUCT/

SERVICE/

TOOL

(INDUSTRY)

VALUE

PROPOSITION

STATEMENT

(HEADING/PLOT)

Who?
How?
Where?
When?
What?
WHY

(Act/Buy,
Now)?

The

[Superla/ve

(most
…)
for

Delight/Pain-‐
Factor]

for

[Product

Category]

[Unique

Func/onali-‐
ty:
Verb
+

Object
+

Benefit-‐
Adverb]

We
are
the
only

ones
who
offer

[Customer/
Niche]

[Product]
that

[Unique

Benefit]

Sheet
3
of
4

VALUE
PROPOSITION
GENERATOR
FOR
FORMULATING
VALUE
PROPOSITION
STATEMENTS

Collabora4vely
Document,
Deconstruct,
Construct,
and
Compare
Value
Proposi4on
Models
(VPMs)

#VPGen.
Dr.
Rod
King.
&
&

ORGANIZATION

(Business/

Product/

Service/

Place/Situa4on/

Object)

CUSTOMER/
CONSUMER

PRODUCT/

SERVICE/

TOOL

(INDUSTRY)

VALUE

PROPOSITION

STATEMENT

(HEADING/PLOT)

Who?
How?
Where?
When?
What?
WHY

(Act/Buy,
Now)?

To
[Customers]

who
are
looking

[Key
Benefit]

We
provide

[Product

category]

products/
services

You
know
that

[Customer

Problems]

Well,
we
offer

[Name
of

Product/
Service]
which

[Benefits]

Sheet
4
of
4

VALUE
PROPOSITION
GENERATOR
FOR
FORMULATING
VALUE
PROPOSITION
STATEMENTS

Collabora4vely
Document,
Deconstruct,
Construct,
and
Compare
Value
Proposi4on
Models
(VPMs)

#VPGen.
Dr.
Rod
King.
&
&

Blank
Templates

Of

Trade-‐oﬀ
Scenes

THE
3
PARTS
OF
A
TRADE-‐OFF
SCENE
(BLOCK)

-‐

+

#VPGen.
Dr.
Rod
King.
&
&

ROOF

STAGE

FOUNDATION

(TRADE-‐OFF
MAP)

TRADE-‐OFF
SCENE:
Visual
Ideas
Organizer
(Template)

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

-‐

+

#VPGen.
Dr.
Rod
King.
&
&

TRADE-‐OFF
SCENE:
Visual
Ideas
Organizer
(Template)
–
Envelope
(Picture
Frame/Movie
Screen)
Format

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

-‐

+

#VPGen.
Dr.
Rod
King.
&
&

TRADE-‐OFF
SCENE:
Visual
Ideas
Organizer
(Template)
–
3
Part-‐Stage
Theater
Format

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

-‐

+

#VPGen.
Dr.
Rod
King.
&
&

TRADE-‐OFF
SCENE:
Visual
Ideas
Organizer
(Template)
–
4
Part-‐Stage
Theater
Format

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

-‐

+

#VPGen.
Dr.
Rod
King.
&
&

Addi-onal
Concepts

And

Tools
of

Value
Proposi-on
Model

DEFINITION
OF
VALUE
PROPOSITION

Value
Proposi-on
refers
to
a
promise
of

value
–
quan/ta/vely
defined
as
a

delight/pain
or
benefit/cost
ra/o

–
to
be

delivered
to
a
customer
segment

Note

A
Value
Proposi4on
Model
has
four
trade-‐off
scenes:

u  Value
Proposi4on
Plot:
outline
of
value
proposi/on
statement

u  Customer/Consumer

u  Product/Service/Tool

u  Jobs-‐To-‐Be-‐Done/Workflow

#VPGen.
Dr.
Rod
King.
&
&

Disrup4on
Spot

Luxury
Spot

Strategic

Choice

Sweet
Spot

Value
Proposi4on

Blue
Ocean

Value
Proposi4on

Luxury
Spot

(“Differen/a/on”)

Value
Proposi4on

Disrup-on
Spot/Lean

(“Low
Cost”)

Value
Proposi4on

TRADE-‐OFF
MAP
OF
9
ARCHETYPAL
VALUE
PROPOSITIONS

Profitable
vs.
Unprofitable
Value
Proposi/ons
(Strategies/Business
Models)

Michael
Porter:
“The
essence
of
strategy
is
to
find
a
different
[but
profitable]
value
proposi4on”

Volcano

Value
Proposi4on

Green
Ocean

Value
Proposi4on

Red
Ocean

Value
Proposi4on

No-‐Man’s-‐Island

Value
Proposi4on

Oasis

(‘Stuck-‐in-‐the-‐middle’)

Value
Proposi4on

(-‐):
PAIN:
Cost;
Time;
Complexity;
Inaccessibility;
Inconvenience;
Size;

Defect;
Waste;
Risk

(+):
DELIGHT:

Benefit,
e.g.,

Performance;

Quality;

Cachet/Status;

Novelty;

Interac4vity;

Customiza4on

Key

Profitable
Value
Proposi4on

Unprofitable
Value
Proposi4on

“Insane”
Happiness
(Value)

Ideal
Final
Result
(IFR)

Infinite
Shared
Happiness

#VPGen.
Dr.
Rod
King.
&
&

Market
Segment
(Job-‐To-‐Be-‐Done/Goal;
Product/Tool):
………………..…………………..
…….…………
……………………………………………………………………….…………….………….………….

Past

(“As
Was”)

Value
Proposi-on
Model

Present

(“As
Is”)

Value
Proposi-on
Model

Future

(“To
Be”)

Value
Proposi-on
Model

VALUE
PROPOSITION
PLAN
(VPP)

The
Evolu/on
of
Value
Proposi/on
Models

Mission/Vision/Purpose/

Ideals/

Ideal
Final
Result/…

#VPGen.
Dr.
Rod
King.
&
&

3 2
1
4
3 2
1
4
3 2
1
4
Strategy/Execu-on

How
SHOULD

business
(model/system)
get

to
desired
VPT?

Key
(4
Scenes
of
a
Value
Proposi4on
Model)

1:
Value
Proposi4on
Plot
(Statement)

2:
Customers/Consumers

3:

4:

VISUALIZATION
OF
A
MAGNETIC
VALUE
PROPOSITION
(MVP)

Magne/c
Value
Proposi/on
as
Conﬂuence
of
Relevant
Customer
Segment,
Jobs-‐To-‐Be-‐Done,
and
Product
Features

CUSTOMER/CONSUMER
PRODUCT/SERVICE


Less
Valuable
Customers
Less
Important
Features

Unimportant

Jobs
To
Be
Done
Magne4c
Value
Proposi4on

(MVP)

Valuable

#VPGen.
Dr.
Rod
King.
&
&

3
STRUCTURAL
CONDITIONS
FOR
A
MAGNETIC
VALUE
PROPOSITION

Magne/c
Value
Proposi/on
as
“Plot”
for
a
Value
Proposi/on
Story

The
3
Peripheral
Scenes
Must
Triangulate
in
Order
to
Have
a
Magne-c
Value
Proposi-on

(MVP)

1.  “Product-‐Customer”
Fitness
or
Synergy

2.  “Customer-‐Jobs-‐To-‐Be-‐Done”
Fitness
or
Synergy

3.  “Jobs-‐To-‐Be-‐Done-‐Product”
Fitness
or
Synergy

Note

Any
significant
change
in
any
of
the
3
trade-‐off
scenes
above
affects
the
quality
and
impact
of
the

Magne4c
Value
Proposi4on
(MVP)

#VPGen.
Dr.
Rod
King.
&
&

VALUE
PROPOSITION
MODEL
FOR
BETTER
ENGAGING,
ACQUIRING,
AND
RETAINING
CUSTOMERS

The
1-‐Minute
Value
Proposi/on
Model

6
Steps
for
Preparing
a
Value
Proposi-on
Statement

1.  Obtain
a
copy
of
the
“Overview”
template
of
the
4
Trade-‐off
Scenes
of
Value
Proposi4on
Model

(VPM)

2.  Search
for,
obtain,
and
place
a
relevant
picture
on
each
of
the
following
trade-‐off
scenes:

WHO?
(Customer/Consumer)

WHAT?
(Product/Service/Tool)

HOW?
(Jobs-‐To-‐Be-‐Done/Event)

3.  Use
the
trade-‐off
scene
of
“WHY?
(Value
Proposi-on
Plot)”
and
write
a
phrase
for
the
Point
of

Similarity
(PoS),
that
is,
how
your
product
is
similar
to
exis4ng
compe4ng
products

4.  Write
a
phrase
for
the
Point
of
Differen4a4on
(PoD),
that
is,
how
your
product
is
different
from

exis4ng
compe4ng
products;
use
the
“WHY?”
trade-‐off
scene
for
Value
Proposi4on
Plot

5.  Check
the
PoS
and
PoD
for
coherence
with
the
3
trade-‐off
scenes:
WHO?
WHAT?
HOW?

6.  Write
(Test/Validate/Share),
using
a
single
sentence,
your
Value
Proposi4on
Statement

VPM

#VPGen.
Dr.
Rod
King.
&
&

VALUE
PROPOSITION
MODEL
(VPM)
CHECKLIST

Ques/ons
for
Designing,
Managing,
and
Tes/ng
a
Magne/c
Value
Proposi/on

4
Categories
of
Ques-ons
for
Designing,
Managing,
and
Tes-ng
a
Magne-c
Value
Proposi-on
(MVP)


q  What
is
(the
name
and
product
category
of)
the
main
that
is
(to
be)
offered
to
customers?

q  What
are
func4onali4es
or
capabili4es
of
the

q  What
are
key
features
of
the

q  What
are
3
important
benefits
that
the
offers
to
customers?

q  What
are
3
serious
pains
or
problems
encountered
by
customers
when
they
use
the

Customer/Consumer

q  Who
are
the
target

q  How
would
you
describe
the
persona
and/or
demographic
profile
of
the
most
valuable
customer/consumer?

q  What
fundamental
problems
are
customers/consumers
trying
to
solve?

q  What
are
important
likes
or
delights
of
the
customer/consumer?

q  What
are
important
dislikes
or
pains
of
the
customer/consumer?

Jobs
To
Be
Done

q  For
what
events,
goals,
ac4vi4es,
and
tasks
do
customers
use
the

q  What
is
the
most
important
event,
goal,
ac4vity,
and/or
task
for
which
customers
use
the

q  In
what
places,
loca4ons,
or
areas
do
customers
use
the

q  When
(during
the
do
customers
use
the

q  What
are
typical
obstacles
or
barriers
that
prevent
customers
from
effec4vely
using
the
or
achieving
their

goals/objec4ves?

q  What
are
evalua4on
criteria
for
or
desired
outcomes
(or
unacceptable
criteria
for
undesired
outcomes)?

Value
Proposi-on
Plot
&
Statement

q  What
features
of
the
model
are
SIMILAR
to
those
in
the
exis4ng
marketplace?

q  What
features
of
the
model
are
DIFFERENT
from
those
in
the
exis4ng
marketplace?

q  What
is
your
Value
Proposi4on
Statement
(VPS)
for
the

q  Are
you
sa4sfied
with
the
effec4veness
of
your
Value
Proposi4on
Statement
(VPS)?

VPM

#VPGen.
Dr.
Rod
King.
&
&

VALUE
PROPOSITION
EVALUATOR

Systema4cally
Assess
the
Impact
(“R.I.D.E.S.”)
of
a
Value
Proposi4on
Statement

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

0

2

4

6

8

10

Resonance

("Talkability")

Inspira4on

Delight
Empowerment

Surprise

Worst
Value
Proposi4on

Ideal
Value
Proposi4on

#VPGen.
Dr.
Rod
King.
&
&

LENGTH
OF
A
MAGNETIC
VALUE
PROPOSITION

Magne/c
Value
Proposi/on
as
“Plot”
for
a
Value
Proposi/on
Story

A
Magne-c
Value
Proposi-on
(MVP)
should
be

“TwiWerable”,
that
is,
can
be
posted
on
TwiYer
with

no
more
than
140
characters

#VPGen.
Dr.
Rod
King.
&
&

Business
Model

Value
Crea-on
Model

(VCM)

Value
Proposi-on-‐and-‐

Delivery
Model

(VPM)

Value
Sharing

(Proﬁt/People/Planet)

Model

(VSM)

Note

A
business
model
refers
to
a
representa4on
of
how
an
organiza4on
creates,
delivers,
and

shares
value
(happiness).

A
business
model
has
3
sub-‐models:
Value
Crea4on
Model;
Value
Proposi4on
and
Delivery

Model;
Value
Sharing
(Financial/Social/Environmental)
Model

ENVIRONMENT

ANATOMY
OF
A
BUSINESS
MODEL

#VPGen.
Dr.
Rod
King.
&
&

Product
Innova/on
Model
Marke/ng
Model
Financial
or
Proﬁt
Model

ENVIRONMENT

3-‐ACT
BUSINESS
MODEL:
The
3
Acts
of
a
Business
Model
(Story)

#VPGen.
Dr.
Rod
King.
&
&

VALUE
CREATION

ACT

(Product
Innova4on)

VALUE

PROPOSITION

ACT

(Marke4ng)

VALUE
SHARING

ACT

(Proﬁtability)

BUSINESS
MODEL

(Story)

ENVIRONMENT

3-‐ACT
BUSINESS
MODEL:
Scenes
for
Each
Act
of
a
Business
Model
(Story)

#VPGen.
Dr.
Rod
King.
&
&

Suppliers/

Partners

Processes/

Ac4vi4es

Internal

Resources

(Employees;
IP;
etc.)

VALUE
CREATION
ACT
VALUE
PROPOSITION
ACT

Customers


Value

Proposi-on

(Plot)

Cost

(Structure)

Proﬁt

Core

Competence

SHARED
VALUE
(PROFIT)
ACT

BUSINESS
MODEL

(Story)

Revenue

(Streams)

Shared

Value

Product/

Service

BUSINESS
MODEL:
Storyboard
(Visual
Ideas
Organizer/Template)
–
Theater
Format

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

THE
3
SUB-‐MODELS
OF
A
BUSINESS
MODEL

Value
Crea-on
Model
(VCM)

Value
Proposi-on
Model
(VPM)

Value
Sharing
Model
(VSM):
Financial/Social/Environmental

#VPGen.
Dr.
Rod
King.
&
&

VPM

Product
Innova/on
Stage
Marke/ng
Stage

Financial
(Value
Sharing)

Founda/on

BUSINESS
MODEL


Design
Shared
Value

(Supply
Infrastructure:
Internal
System)

“Back
End”

Deliver
Shared
Value

(Demand
Infrastructure:
External)

“Front
End”

Business

Model

Environ-‐
ment

(BME)

Learn
About
Business
System

(PROJECT/TOOL)

Business
Model

Canvas

(Extended
Business)

Key

Partners

(KP)

Key

Resources

(KR)

Key

Ac-vi-es

(KA)

Value

Prop.

(VP)

Channels

(CH)

Custom-‐
er
Rel.

(CR)

Customer

Segments

(CS)

SEMPORCES

Business
Chain

(Ecosystem)

S:

Supplier/

Inputs

E:

Employ-‐
ees,
etc.

M:

Mach-‐
inery

P:

Process/

Strategy

O:

Product/

Service

R:

Retailers/

Distributors/CRM

C:

Customer

E:

Environ-‐
ment

DESCRIPTIONS

(Content:

Outcomes/

Ac4vi4es/Tasks)

Manage
Shared
Value

(S:
Shared
Value/Mission/IMPACT
ANALYSIS)

Financial

Value

or

Profit

Trade-‐off

Cost

(-‐)

Benefit

(+)

Social

Value
or

People

Trade-‐off

Cost

Benefit

Env.

Value
or

Planet

Trade-‐off

Cost

Benefit

Value
Proposi-on
Model
(VPM)
as
“Front
End”
of
the
Global
Business
Model
Canvas
-‐
Overview

Copyright
2013.
Dr.
Rod
King.
rodkuhnking@sbcglobal.net
&
&

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

BUSINESS
MODEL


Design
Shared
Value

(Supply
Infrastructure:
Internal
System)

“Back
End”

Deliver
Shared
Value

(Demand
Infrastructure:
External)

“Front
End”

Business

Model

Environ-‐
ment

(BME)

Learn
About
Business
System

(PROJECT/TOOL)

Business
Model

Canvas

(Extended
Business)

Key

Partners

(KP)

Key

Resources

(KR)

Key

Ac-vi-es

(KA)

Value

Prop.

(VP)

Channels

(CH)

Custom-‐
er
Rel.

(CR)

Customer

Segments

(CS)

SEMPORCES

Business
Chain

(Ecosystem)

S:

Supplier/

Inputs

E:

Employ-‐
ees,
etc.

M:

Mach-‐
inery

P:

Process/

Strategy

O:

Product/

Service

R:

Retailers/

Distributors/CRM

C:

Customer

E:

Environ-‐
ment

DESCRIPTIONS

(Content:

Outcomes/

Ac4vi4es/Tasks)

Manage
Shared
Value

(S:
Shared
Value/Mission/IMPACT
ANALYSIS)

Financial

Value

or

Profit

Trade-‐off

Cost

(-‐)

Benefit

(+)

Social

Value
or

People

Trade-‐off

Cost

Benefit

Env.

Value
or

Planet

Trade-‐off

Cost

Benefit

Value
Proposi-on
Model
(VPM)
as
“Front
End”
of
the
Global
Business
Model
Canvas

Copyright
2013.
Dr.
Rod
King.
rodkuhnking@sbcglobal.net
&
&

q  Past
(“As
Was”)
q  Present
(“As
Is”)
q  Future
(“To
Be”)

1. 
Design
a
Magne-c
Value
Proposi-on
(MVP)
That

Solves
a
Personal
or
Team
Problem

2.

Design
a
Magne-c
Value
Proposi-on
(MVP)
That

Solves
a
Community,
Society,
or
Social
Problem

3.

Design
a
Magne-c
Value
Proposi-on
(MVP)
That

Solves
a
Business
or
Enterprise
(For-‐Proﬁt)
Problem

4.

Design
a
Magne-c
Value
Proposi-on
(MVP)
That

Solves
a
Global
(Worldwide)
Problem

EXERCISES
ON
DESIGNING
A
MAGNETIC
VALUE
PROPOSITION

A
New
Way
to
Visually
Share,
Capture,
Organize,
Present,
and
Evaluate
Human-‐centered
Problems

#VPGen.
Dr.
Rod
King.
&
&

Simply
Map

Your
Inspira-ons,
Business
Ideas,
and
Projects

Using

The
Value
Proposi-on
Model
(VPM)

Appendix

Value
Proposi-on
Model

Real-‐4me
Case
Study

VPM

THE
CORE
PROBLEM

Fuzzy
or
Poorly
Presented
Value
Proposi4ons
(That
are
Not
“TwiYerable”)

About
90%
of
Startups
Fail

Due
to

Fuzzy
or
Poorly
Presented
Value
Proposi-ons

The
3
Habits
of
Failing
Startups

1.  Failing
startups
do
not
explicitly
formulate
or
systema4cally
ar4culate
a

customer
value
proposi4on

2.  Failing
startups
do
not
have
a
value
proposi4on
that
reflects
the
fitness

triangle
of
“customer-‐product-‐jobs
to
be
done”

3.  Failing
startups
do
not
systema4cally,
con4nuously,
or
inexpensively
test

customer
value
proposi4ons
to
determine
impact
on
customer
engagement,

acquisi4on,
and
reten4on
as
well
as
profit

#VPGen.
Dr.
Rod
King.
&
&

THE
SOLUTION

One-‐minute
Value
Proposi4on
Model

Value
Proposi-on
Model

VPM

#VPGen.
Dr.
Rod
King.
&
&

Value
Proposi-on
Model
(VPT)
for
Tool
of
Value
Proposi-on
Model
(VPM)
–
The
4
Trade-‐oﬀ
Scenes

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

WHO?
WHAT?

HOW?
WHERE?
WHEN?

q  Past
(“As
Was”)
q  Future
(“To
Be”)

VPM

VALUE
PROPOSITION
PLOT

Similarity:
Visual
Marke4ng
Tool

Diﬀeren/a/on:
1-‐Minute
Value
Prop.

WHY
(ACT/BUY,
NOW)?

ü  Present
(“As
Is”)

Marketer/

(Busy;
limited
resources;
marke-ng

problems;
few
or
no
customers)

#VPGen.
Dr.
Rod
King.
&
&

Triangula-on
of
Value
Proposi-on
Model
(VPM)
for
Tool
of
Value
Proposi-on
Model
(VPM)

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

WHO?
WHAT?

HOW?
WHERE?
WHEN?

q  Past
(“As
Was”)
q  Future
(“To
Be”)

VPM

VALUE
PROPOSITION
PLOT

Similarity:
Visual
Marke4ng
Tool

Diﬀeren/a/on:
1-‐Minute
Value
Prop.

WHY
(ACT/BUY,
NOW)?

ü  Present
(“As
Is”)

Marketer/

(Busy;
limited
resources;
marke-ng

problems;
few
or
no
customers)

#VPGen.
Dr.
Rod
King.
&
&

Value
Proposi-on
Model
(VPM)
for
Tool
of
Value
Proposi-on
Model
(VPM)

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

Marketer/

(Busy;
limited
resources;
marke-ng

problems;
few
or
no
customers)

WHO?
WHAT?

HOW?
WHERE?
WHEN?

q  Past
(“As
Was”)
q  Future
(“To
Be”)

VPM

VALUE
PROPOSITION
PLOT

Similarity:
Visual
Marke4ng
Tool

Diﬀeren/a/on:
1-‐Minute
Value
Prop.

WHY
(ACT/BUY,
NOW)?

ü  Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

q  Fitness
(Synergy/Connec/on)

P.I.E.S.

Note

P.I.E.S.
is
an
acronym
for
Physical;

Intellectual;
Emo4onal;
Spiritual


(Output:
Prototype/Full
Scale)

-‐

+

CUSTOMER/CONSUMER


-‐
+



-‐
+

WHO?
WHAT?

HOW?
WHERE?
WHEN?

q  Past
(“As
Was”)
ü  Present
(“As
Is”)
q  Future
(“To
Be”)

Value
Proposi-on
Model
(VPM)
for
Tool
of
Value
Proposi-on
Model
(VPM)

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

VALUE
PROPOSITION
PLOT

Similarity:
Visual
Marke4ng
Tool

Diﬀeren/a/on:
1-‐Minute
Value
Prop.

WHY
(ACT/BUY,
NOW)?

VPM

CUSTOMER-‐PRODUCT
Fitness

Problem-‐Solu/on
(Market-‐Product)
Fit

#VPGen.
Dr.
Rod
King.
&
&


(Output:
Prototype/Full
Scale)

-‐

+

CUSTOMER/CONSUMER


-‐
+



-‐
+

Supply

Demand


WHO?
WHAT?

HOW?
WHERE?
WHEN?

q  Past
(“As
Was”)
ü  Present
(“As
Is”)
q  Future
(“To
Be”)

Value
Proposi-on
Model
(VPM)
for
Tool
of
Value
Proposi-on
Model
(VPM)

Collabora4vely
Design
a
Magne4c
Value
Proposi4on
(MVP)
That
Resonates,
Inspires,
Delights,
Empowers,
and
Surprises

VALUE
PROPOSITION
PLOT

Similarity:
Visual
Marke4ng
Tool

Diﬀeren/a/on:
1-‐Minute
Value
Prop.

WHY
(ACT/BUY,
NOW)?

VPM

#VPGen.
Dr.
Rod
King.
&
&

ENVIRONMENT

GLOBAL
BUSINESS
MODEL
(GBM)
STORY
for
Tool
of
Value
Proposi-on
Model
(VPM)

#VPGen.
Dr.
Rod
King.
&
&

Suppliers/

Partners

Processes/

Ac4vi4es

Internal

Resources

(Employees;
IP;
etc.)

VALUE
CREATION
ACT
VALUE
PROPOSITION
ACT

Customers


Value

Proposi-on

Cost

(Structure)

Proﬁt

Core

Competence

SHARED
VALUE
(PROFIT)
ACT

BUSINESS
MODEL

For
Tool
of
VPM

Revenue

(Streams)

Shared

Value

Product/

Service

VALUE
PROPOSITION
GENERATOR
FOR
VALUE
PROPOSITION
MODEL
(VPM)

Collabora4vely
Document,
Deconstruct,
Construct,
and
Compare
Value
Proposi4on
Models
(VPMs)

ORGANIZATION

(Business/

Product/

Service/

Place/Situa4on/

Object)

CUSTOMER/
CONSUMER

PRODUCT/

SERVICE/

TOOL

(INDUSTRY)

VALUE

PROPOSITION

STATEMENT

(HEADING/PLOT)

Who?
How?
Where?
When?
What?
WHY

(Act/Buy,
Now)?

VDD
University

hYp://
businessmodels.ning.

com

Visually
Design
a

Magne/c
Value

Proposi/on
(MVP)

in
1
Minute

Master
the
Art
and

Science
of

Designing
Magne4c

Value
Proposi4ons

(MVPs)

VPM

#VPGen.
Dr.
Rod
King.
&
&

Elements
of

Value
Proposi-on
Model

For

Value
Proposi-on
Model

(VPM)

TRADE-‐OFF
SCENE
FOR
VALUE
PROPOSITION
PLOT
OF
VALUE
PROPOSITION
MODEL
(VPM)

q  Past
(“As
Was”)
q  Future
(“To
Be”)

VALUE
PROPOSITION
PLOT

(WHY
ACT,
NOW?)

-‐

+

ü  Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

Visually
Design
a
Magne/c
Value
Proposi/on
(MVP)
in
1
Minute

CHECKLIST
FOR
VALUE
PROPOSITION
PLOT
OF
VALUE
PROPOSITION
MODEL
(VPM)

q  Past
(“As
Was”)
q  Future
(“To
Be”)

VALUE
PROPOSITION
PLOT

(WHY
ACT,
NOW?)

-‐

+

ü  Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

q  What
features
of
the
model
are
SIMILAR
to
those
in
the
exis4ng
marketplace?

q  What
features
of
the
model
are
DIFFERENT
from
those
in
the
exis4ng

marketplace?

q  What
is
your
Value
Proposi4on
Statement
(VPS)
for
the

q  Are
you
sa4sﬁed
with
the
eﬀec4veness
of
your
Value
Proposi4on
Statement
(VPS)?

q  What,
on
a
scale
of
1
(low)
to
10
(high),

is
your

level
of
pain
regarding
the
value
proposi4on

(plot)?

q  What,
on
a
scale
of
1
(low)
to
10
(high),

is
your

level
of
delight
regarding
the
value
proposi4on

plot
(statement)?

TRADE-‐OFF
SCENE
FOR
CUSTOMER/CONSUMER
OF
VALUE
PROPOSITION
MODEL
(VPM)

q  Past
(“As
Was”)
q  Future
(“To
Be”)

CUSTOMER/CONSUMER


-‐

+

ü  Present
(“As
Is”)

Marketer/

#VPGen.
Dr.
Rod
King.
&
&

REAL-‐TIME
TRADE-‐OFF
SCENE
FOR
CUSTOMER/CONSUMER
OF
VALUE
PROPOSITION
MODEL
(VPM)

q  Past
(“As
Was”)
q  Future
(“To
Be”)

CUSTOMER/CONSUMER


-‐

+

ü  Present
(“As
Is”)

I
love
the
story
format
of

your
Value
Proposi4on

Model.

The
Value
Plot

is
absolutely

crea4ve
as
you

set
the
mo4on
for
the
3-‐
Act
Structure
of
your
value

proposi4on
story.
I
like
the

graphics,
the
movement

between
the
scenes
and

the
end
of
the
story.

Climax
at
its
best.

Really
great
model/tool
to

explore/reﬁne/clarify
one's

value

proposi4on,

Incorpora4ng/

integra4ng

many
of
the
current

mainstream
frameworks

from
the
gurus
(Drucker,

Christensen,
Osterwalder

et
al.)

Congratula4ons
Dear
Rod!

Extremely
Interes4ng!

And
Useful!

Rod,
the
MVP
is
a
very

clever
tool.
I
much
prefer

the
term
Magne4c
Value

Proposi4on

to
the
classic

"Elevator

Pitch”.

Thank
you
for
sharing
this

tool.

#VPGen.
Dr.
Rod
King.
&
&

CHECKLIST
FOR
CUSTOMER/CONSUMER
OF
VALUE
PROPOSITION
MODEL
(VPM)

q  Past
(“As
Was”)
q  Future
(“To
Be”)

CUSTOMER/CONSUMER


-‐

+

ü  Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

q  Who
are
the
target

q  How
would
you
describe
the
persona
and/or
demographic
proﬁle
of
the
most
valuable
customer/consumer?

q  What
are
important
dislikes
or
pains
of

the
customer/consumer?

q  What
fundamental
problems
are
customers/
consumers
trying
to
solve?

q  What
are
important
likes
or
delights
of

the
customer/consumer?

TRADE-‐OFF
SCENE
FOR
OF
VALUE
PROPOSITION
MODEL
(VPM)

q  Past
(“As
Was”)
q  Future
(“To
Be”)



-‐

+

q 

Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

CHECKLIST
FOR
OF
VALUE
PROPOSITION
MODEL
(VPM)

q  Past
(“As
Was”)
q  Future
(“To
Be”)



-‐

+

q 

Present
(“As
Is”)

#VPGen.
Dr.
Rod
King.
&
&

q  What
are
typical
obstacles
or
barriers
that

prevent
customers
from
eﬀec4vely
using
the


q  What
are
nega/ve
evalua4on
criteria
for
Jobs-‐
To-‐Be-‐Done
or
undesirable
Outcomes?

q  What
are
typical
factors
that
help
customers
to

eﬀec4vely
use
the

q  What
are
posi/ve
evalua4on
criteria
for
Jobs-‐
To-‐Be-‐Done
or
desirable
Outcomes?

q  For
what
physical/intellectual/emo4onal/spiritual
(P.I.E.S.)
events,
goals,
ac4vi4es,
and
tasks
do
customers

use
the

q  What
is
the
most
important
event,
goal,
ac4vity,
and/or
task
in
which
customers
use
the
product/service/
tool?

q  In
what
places,
loca4ons,
or
areas
do
customers
use
the

q  When
(during
the
do
customers
use
the

TRADE-‐OFF
SCENE
FOR
OF
VALUE
PROPOSITION
MODEL
(VPM)

q  Past
(“As
Was”)
q  Future
(“To
Be”)


(Output:
Prototype/Full
Scale)

-‐

+

q 

Present
(“As
Is”)

VPM

#VPGen.
Dr.
Rod
King.
&
&

CHECKLIST
FOR
OF
VALUE
PROPOSITION
MODEL
(VPM)

q  Past
(“As
Was”)
q  Future
(“To
Be”)


(Output:
Prototype/Full
Scale)

-‐

+

q 

Present
(“As
Is”)

VPM

#VPGen.
Dr.
Rod
King.
&
&

q  What
is
(the
name
and
product
category
of)
the
main
that
is
(to
be)
offered
to

customers?

q  What
are
the
key
features
of
the
product?

q  What
are
3
serious
pains
or
problems

encountered
by
customers
when
they
use
the


q  What
are
3
important
benefits
that
the

offers
to
customers?

TYPOLOGY
OF
MARKETING
PROBLEMS

3
Categories
of
Marke/ng
Problems

Marke-ng

Problems

Customer

Engagement

Problems

Customer

Acquisi-on

Problems

Customer

Reten-on

Problems

#VPGen.
Dr.
Rod
King.
&
&

WANTED

1
Billion
Entrepreneurs
for
Tes-ng
the
One-‐Minute
Value
Proposi-on
Model

VPM

The
Value
Proposi-on
Model
(VPM)
is
a

One-‐Minute
Value
Proposi-on
Tool.

As
a
Visual
Marke-ng
Tool,

the
Value
Proposi-on
Model
Helps
Entrepreneurs
and
Startups

To
Uniquely
Prepare
and
Share
-‐
in
1
Minute
-‐

Magne4c
Value
Proposi4on
for
Products,
Services,
and
Organiza-ons.

Entrepreneurs
and
Startups
Use
the
VPM

When
They
Want
to
Engage,
Acquire,
and
Retain
More
Customers.

Would
You
Like
to
Test-‐Drive
the
VPM
for
Your
Product
or
Service?

In
One
Minute?

#VPGen.
Dr.
Rod
King.
&
&

Acknowledgement

The
Value
Proposi4on
Model
(VPM)
is
a
unique
synthesis
of
the
best
ideas
for
designing,
managing,
and
tes4ng
customer
value

proposi-ons.

The
VPM
mainly
draws
from
the
ideas,
frameworks,
and
tools
of
the
following
authors:

q  Peter
Drucker:
Marke-ng
and
Innova-on
as
the
Two
Basic
Func-ons
of
an
Enterprise

q  Michael
Porter:
Value
Proposi-on
Triangle
of
“Customers-‐Needs-‐Price”;
Trade-‐off;
3
Generic
Strategies;
Shared
Value

q  Clayton
Christensen:
Job-‐To-‐Be-‐Done;
Disrup-ve
Innova-on

q  Anthony
Ulwick:
Outcome
Driven
Innova-on

q  W.
Chan
Kim
&
Renee
Mauborgne:
Blue
Ocean
Strategy;
Strategy
Canvas;
Value
Factors;
Value
Curve;
4
Ac-ons
Grid

q  James
Anderson
&
Wouter
Van
Rossum:
Point
of
Parity
&
Point
of
Difference

q  Alexander
Osterwalder:
Value
Proposi-on
Canvas
&
Business
Model
Canvas

q  Eric
Ries:
Lean
Startup
(Problem-‐Solu4on
Fit;
Market-‐Product
Fit);
Steve
Blank:
Customer
Development
(“Get
Out
Of
Building”)

q  Neil
Borden’s
Marke-ng
Mix
&
E.
J.
McCarthy’s
4Ps
of
Marke-ng

q  Simon
Sinek:
Golden
Circle
&
Start
With
Why

q  Genrich
Altshuller:
Theory
of
Inven-ve
Problem
Solving
(“TRIZ”)
Especially
Contradic-ons;
Contradic-on
Matrix;

Mul-screen
Diagram;
Substance-‐Field
Analysis;
Ideal
Final
Result;
Evolu-onary
PaWerns

q  Eli
GoldraW:
Theory
of
Constraints
Especially
Undesirable
and
Desirable
Effects;
Weakest
Link
in
Chain

#VPGen.
Dr.
Rod
King.
&
&

Visually
Document

And

Share
Your

Value
Proposi-on
Models

#VPGen.
Dr.
Rod
King.
&
&

Inexpensively
Translate
and
Test

Value
Proposi-on
Models

Especially
Using

Google
AdWords,

Landing
(Minimum
Web)
Pages,

And

Geung
Out
of
the
Enterprise

#VPGen.
Dr.
Rod
King.
&
&

Finally
…

What
are
Your
Ideas
and
Sugges-ons
For
Improving

This
Visual
Handbook

On

The
1
Minute-‐Value
Proposi-on
Model
(VPM)?

#VPGen.
Dr.
Rod
King.
&
&

The 1-Minute VALUE PROPOSITION ACT: A Simpler and Scalable Toolkit for Designing Magnetic Value Propositions (MVPs)

The 1-Minute VALUE PROPOSITION ACT: A Simpler and Scalable Toolkit for Designing Magnetic Value Propositions (MVPs)

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The 1-Minute VALUE PROPOSITION ACT: A Simpler and Scalable Toolkit for Designing Magnetic Value Propositions (MVPs)