Sandy Waggett walks through Bain's Elements of Value Pyramid, a four-tier framework from functional benefits up to self-transcendence. The more elements your business delivers, the stronger customer loyalty and revenue growth. Download the full pyramid to audit what your product actually provides.
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Good morning everyone. Sandy Waggett with MSW Interactive Designs here.
With another marketing tip for today.
Today I want to talk about the.
Elements of Value Pyramid and I'm going to give you a link in the post that goes along with this video where you can actually download a copy of this. The Elements of Value Pyramid is by Bain and basically it says that consumers elevate or evaluate products and services based on price and perceived value, whereas businesses tend to focus just on price because value be hard to identify and measure. So what Bain has done is they've identified 30 fundamental elements of value and they fall into four categories. It's functional, emotional, life changing and social impact. And basically the more elements you provide, the greater your customer loyalty and the higher your sustained revenue growth. So here's that pyramid again. And at the lowest level we have functionality. And functional is all about things that save time, simplify, make money, reduces risk, organizes, integrates, connects, reduces effort, avoids hassles, reduces cost, quality, variety, sensory appeal and informs. These are all things at the functional level that you can work into your marketing message. Again the more elements you provide, the greater your customer loyalty and the higher your sustained revenue growth. And then as you move up the pyramid to emotional, you get things like reduces anxiety, rewards, need, nostalgia. These are all things of value to the consumer. Design, aesthetics, badge value, wellness, therapeutic value, fun and entertainment, attractiveness and maybe provides access. So at the emotional level, how does your product or service offering.
Fit into the consumer's value system? On the life changing or as we work up the pyramid we've got, provides hope, self actualization, motivation, heirloom affiliation and then at the top level, social impact. On the pyramid it says self transcendence, which could kind of be, you know, how do you even describe that? But think of it like this.
Self transcendence is rising above and you.
Think of the concept of rising above oneself. So as an example, does choosing you or working with you make a greater impact on the community as a whole? So as you think about your business and your marketing message, think about all of these elements of value and the more elements you provide work into your marketing message, the greater your customer loyalty and the higher your sustained revenue growth.
So look for the link, download this, this pyramid and think about it next time you're working on your marketing and.
And your product and service offering.
Sandy Waggett with MSW Interactive Design signing off.
