Crafting An Offer
When we sell, we want to think about the product or service we sell as "our offer".
We are offering something in exchange for compensation so we want to focus on how it will solve our leads problem.
Our offer will be different depending on the lead we are talking to. Enterprises have different problems and focuses than startups.
The Value
The more value our offer provides, the higher our chances of booking a meeting and closing a deal.
Our goal is to make an offer so good, it would be stupid to say no. This is something I learned from $100M Offers (Book 1) (opens in a new tab) by Alex Hormozi.
The value of our offer is directly related to 4 value pillars.
- Dream Outcome
- Perceived Likelihood of Achievement
- Time Delay
- Effort & Sacrifice
* This equation come from $100M Offers: How To Make Offers So Good People Feel Stupid Saying No by Alex Hormozi
Our goal is to minimize Time Delay and Effort, while maximizing the Dream Outcome and Likelihood of Achievement.
Dream Outcome - What does your solution help your customer accomplish?
Perceived Likelihood of Achievement - How likely is it that customers will reach the outcome?
Time Delay - How long will it take?
Effort & Sacrifice - What does the customer need to do to achieve results?
Example
Let's take a look at this from Nova's perspective.
Our offer will be different for B2B companies of different stages, but let's focus on startups and agencies.
The Problem
We know that startups and agencies have similar problems:
- Spread thin due to volume of work and limited time
- Want to increase revenue and extend runway/minimize expense
- Lead segmentation is extremely time consuming, but produces the best results when cold emailing
Dream Outcome
Fill your calendar with sales meetings
Perceived Likelihood of Achievement
Extremely high by creating hyper targeted lead lists
Time Delay
In seconds
Effort & Sacrifice
Automated and done for you
Putting it Together
Here's our offer: Nova is a product that helps you fill your calendar with sales meetings by automatically creating hyper targeted lead lists in seconds.
Exercise
Craft an offer for each market segment.
- Write down the market segment
- Write down the problems they face
- Follow the value equation to define your value pillars
- Write your offer in 1 sentence based on the value pillars
A Guarantee
Most customers are skeptical and it makes sense. They have most likely fallen victim to a company over promising and under delvering in the past.
Adding a guarantee like a refund, or free trial makes our offer much easier to accept.