Added value is a subjective term, which could be defined as the element that contributes to the end customer choosing our service or product instead of the competition. This added value must provide a benefit to the consumer, answering the question why the customer chooses our article over another. Therefore, we must carry out a competitor analysis exhaustive that allows us to differentiate ourselves from others and offer the client
This added value must also be captured by the customer as an advantage, who must perceive that this service or product is more interesting than that of the competition. It is closely related to the Brand value of the products that companies sell.
Advantages provided by the added value to the trade
Small businesses can greatly benefit from added value with the following aspects:
- The knowledge of the added value implies a previous analysis of the consumer profile.
- Thanks to this added value, you will be able to distinguish yourself from competing companies, knowing the benefits it will bring to customers.
- Provides more personality to the company.
- You will achieve an increase in sales, but for this it will be necessary to communicate as well as possible the added value of the service or product. The consumer detects these benefits, which he also manages to take advantage of.
- You will get a more loyal audience, more identified with the because he shares values with her.
Added value is not something exclusive to large companies. Smaller businesses can also find added value. How?
- Detecting how the customer acts and what the customer demands.
- Knowing the benefits and advantages that your service or product can bring.
- Studying the degree of consumer satisfaction once the purchase is completed.
- Incorporate the added value in the objectives.
- Promote and communicate that added value to the public.
Therefore, the concept of added value means the economic value that a service gains or when it is altered in the production process. For example, a natural pine wood chair, without any treatment, can cost 150 euros, but if it is applied a layer of varnish and an antibacterial product, its price will increase. This process is what is known as added value.