Are there any simple ways to determine the value of our products in a way that can be measured?
The simplest way to quantify the value of your product portfolio, your solutions and your products is to do it from the customer’s viewpoint.
Here’s a great exercise for product management, product marketing and sales. Give it a try.
Use the customer org chart graphic above for reference. See if you can come up with a few short YOU statements that communicate value from the customer’s perspective.
The Value of Your Product Portfolio Example…
- You (the customer organization) will grow wallet share in a way that reduces customer churn, which results in a higher market valuation. You only need one phrase for the portfolio.
- Your account management team (the customer department) will identify more up-sell opportunities so that customers get greater value by using more products. Create one phrase for each department that uses your products.
- Your account managers (the customer job role) will know exactly who to contact and how to sell value to create an urgency to buy. Create one phrase for each job role that uses your products.
Notice three things in these examples.
- See how the value dots connect regardless of whether you start at the top and go top down or start at the bottom and go up. In this example, your value ultimately comes down to customer churn which impacts market valuation.
- Each of these phrases reflect goals or outcomes that are important to every customer.
- Most importantly, each of the customer goals can be quantified and therein lies your value. The impact on customer churn, the size of the pipeline and revenue from existing customers are proof points that your solutions are making customers better in ways that have strategic value. The actual numbers themselves will vary by customer.
If you want to learn how to grow the value of your product portfolio, your solutions and your products, check out our online training programs and certification or request a personalized hands-on workshop.