"People don't buy what you do; they buy why you do it. And what you do simply proves what you believe" - Simon Sinek.
Let's say there are two wineries positioned side by side; they make the same wine, from the same vineyard, under the same winemaker - one sells their Syrah for $20 and the other for $35. Why would someone buy what is essentially the same product and pay more for it? Let's take a look at an example outside of our industry.
Why do people love Nike products? It's because Nike isn't just a sports brand. They inspire, innovate, and create a lifestyle around their products—Nike knows their "why"—they empower anyone to reach their maximum athletic potential. Nike's consumers have an emotional connection to the brand, and that matters.
Understanding your "why" boils down to crafting a Unique Value Proposition (UVP). It will be one of the most defining aspects of your positioning for DtC sales. Your UVP makes a promise to consumers. It differentiates you from your competitors and inspires the consumer to take action. In the case of Nike and the winery with the $35 Syrah, it can even compel consumers to pay a premium for your products. Customers aren't buying the product; they are buying into the company's purpose and what makes them unique
What are the elements of a successful UVP?
A UVP goes beyond a slogan. It is a complete statement of what your business will represent in your market and what makes you stand out, yet it should be clear and concise and create instant understanding for your customers. It should:
- Tell your audience what, how and why. What you do or make, how you do it that sets you apart from the competition and the purpose or belief behind why you do it.
- Identify your ideal customer. Consider who you are speaking to, and craft your UVP towards this persona.
- Be specific. Don't use industry jargon or slang however do use the language of your ideal customer.
- Be kept current. Your ideal customer, products or services may change over time, so regularly review your UVP to keep it fresh.
Once defined, your UVP should integrate into the ethos of your brand, influencing your marketing, customer experience and selling propositions. In the example of Nike above:
- The Nike value proposition focuses on "...satisfying its customers with a superior product made out of the best available materials and latest technologies, which is also fashionable, worn by supreme athletes and accessible to anyone."
Examples within the alcohol industry include:
- Avaline Wines One would think Avaline would focus on its celebrity ownership. While an important marketing tool, this is not their UVP. Avaline crafts quality wines using only 100% organic grapes with complete transparency on what goes into every bottle.
- Empathy Wines The Empathy ethos differentiates itself by stating its value and why they exist. "Empathy for everyone. Our mission is to make the highest-quality wine for the most affordable price."
- Penfolds Defined by both its age and innovation, they tell the consumer, "we've been at this a while, so we know what we're doing. But, we constantly strive to learn more and be better." They keep their UVP fresh and relevant.
- Wine for The People Their UVP establishes who they are and allows consumers to form an instant connection. "Producing traditional wines in a new frontier. Connecting community, culture, and a sense of place from grape to glass."
Everyone knows what they sell—alcoholic beverages. They also know how they sell it - through great customer experiences, storytelling, and relaying the brand's history. The why is a little more challenging to figure out. Why do you get out of bed each morning, and why should your consumer care? Once you have defined your specific UVP, it should become the basis of how you market yourself. It should become apparent in every aspect of your business, from your label design to your tasting room experience.
P.S Do you need help with defining your Unique Value Proposition? We'd like to help. Get in touch with our team of seasoned creatives at Bloom Studio.