Value Proposition
What is a value proposition?
A value proposition is the way in which a product or service delivers value to a specific customer segment. It answers "why" your product delivers value, not "what" your product is.
The product itself might not change for different customer segments, but the value proposition often will. For example, if you're offering free gym workouts, your value proposition for runners might be "build core strength and avoid injury," while for weight loss seekers it might be "predictable, consistent weight loss." Same product, different value propositions for different segments.
How does a value proposition relate to customer segments?
A clear value proposition needs to resonate with your chosen customer segment. Choosing a value proposition and customer segment often happens in tandem—you iterate on both until you get a pair that matches.
You can't assess whether your idea is viable without first assessing whether your value proposition resonates with your customer segment. The more your value proposition resonates with your chosen customer segment, the better your product will perform.
How do teams test value propositions?
Teams can test and validate value propositions using landing page tests, playing with different messaging to see what resonates with their target audience. This allows teams to get fast feedback on whether their value proposition connects with customers before building the full product.
Your value proposition should be reinforced throughout your product—from home page copy to feature sets to how you measure success. It needs to be integrated into all of your product decisions, not just left to strategists.
Learn more:
- Product Discovery Basics: Everything You Need to Know
Related terms:
- Assumption Testing
- Viability
- Customer Value
Last Updated: October 25, 2025