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It is a model that helps us to understand our clients more clearly. Besides, it help us to make some assumptions about our customers and about the potential value that they might need. The model is divided into two blocks, the value proposition and the customer segment. The first block is based on what the company creates, makes and commercialize, and the second block is based on to whom the company creates, makes and commercialize.

Customer segment, in this section we observe and build hypothesis based on the customers behavior, in other words, what we think they need and wish.

Value proposal, in this section we design the products and services we believe that will satisfied the needs of our customers.

Why is it important to use this model?

The use of this model give us a better understanding about the profile of our customer. Moreover, it shows us what type of value we are currently delivering to our customers and what type of value we need to deliver according to their new needs. The application of this model can be used by companies that are in the stage of the business idea or by companies that are already positioned in the market that wish to better understand their customers.

How do we develop the value proposition canvas?

As explained above, the model has two sides, one is the customer profile, which helps us to understand better to our customers; and the other is the value map, in which we describe how we try to create value for that customer profile. We succeed when we get both sides aligned. That is, when the product or service that we have created on the right side of the value map, meets the needs and covers the wishes and expectations of the left side, the customer profile.

Customer profile:

In this side we write the characteristics that we assume, observe and verify from the customers. In addition, we evaluate what are the tasks, frustrations and gains of the client.

Tasks or jobs, here we describe the things that the client is trying to achieve, such as, objectives, problems that he/she tries to solve and needs that he/she tries to satisfy. It is everything that the client would like to achieve when buying your product or service, e.g., look elegant (smoking suit), writing articles (blog site), grow professionally (online master), getting a driving license (driving lessons), etc.

Pains or frustrations, here we describe all the inconveniences that customers face before, during and after doing a task, e.g., too long queues , too complex systems, too long processes, inflexible schedules, etc.

Gains, here we describe the benefits that customers get when using the products or services. These benefits can be expected, required or desired. The gains are functionalities and practicalities of the products or services that make the customer task easier, it also makes him/her look good and feel good, e.g., a very easy to use coffee machine, an easy to built furniture, a bank app that keep you updated constantly, a blog site with updated and flexible settings, etc.

Value proposition

Products and services, everything that the company offers, whether tangible, intangible, digital or financial, is described here.

Pain relievers, here we describe how our products ans services solve customer pains. It can be functionalities, features or practicalities of our products and services that solve customer problems, makes them feel or look good. On the other hand, these can also be relievers that make customer feel safer or relievers that help them to overcome any challenge or obstacle.

Gain relievers, here we describe the functionalities or features of our products and services that produce results that our customers expect or desire, e.g., payment options, after sales service, delivery service, easy to use systems, etc.

The match, we should make sure that there is a match between what the customers want and what our business offer (the two sides of the value proposition). This match occurs when the value proposition covers the most essential customer jobs, relieve the strongest pains and produce the best gains for our customers.

AirBnB value proposition:

I wish you a lot of luck in the construction of your value proposition canvas. I hope have been helpful in explaining this wonderful business tool and all it´s benefits. If you need some help, do not hesitate to send me a comment.