What’s your USP?

So I answered the question – what price (which was a bit of the cart before the horse but a common question nonetheless).

Next we looked at following our passion and discovering a niche.

Then came focusing on your benefits and not your features.

Now this next one, is honestly the hardest challenge of all. Something I deal with all the time and even doing marketing and advertising as long as I have, it isn’t something that comes easily. In fact, it should be easy. This is something you should consider carefully and make sure you have it completely right before moving forward.

Develop your Unique Selling Proposition (USP)

No a USP is not a type of gun (as I discovered when I googled for an image – yikes!)

Don’t worry about coming up with a catchy tag line or phrase, just concentrate on what makes you different from your competitors.

You need to explain how and why your products are better than others or your competitors. Perhaps you have designed them all yourself? Or you use all organic materials in the products? Do yours cost less than others (yes this is a USP!)?

Do you have any added extras? Special incentives to buyers (think a free hair accessory with an outfit)?

Whatever your unique selling proposition or unique selling point as it is commonly referred to, you need to clearly define it. You need to be able to answer the question at any time, “So what makes your product special?”. You will then have your response!

I would recommend writing something down and then come back to it a few days later. You might want to tweak it a little. Dwell on it even. Test it out on your family and friends. If at the end of the week, you are happy with your statement, then you have yourself a USP!

Jane from Lil Pip

What are your benefits … not your features!

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Ok so now you are following your passion and you have found your niche , right?

Next you need to research, test and research some more. Talk to your friends, family or search online. Make sure when you release your product that you have it right. It is easier to find a product that people want, than to try to find a market for the product you have. Make sense?

Next you need to focus on the benefits of your product. You need to convince people that they really need it.

You shouldn’t be talking about the features of your product but rather ‘what’s in it for me?’

Say I’m looking for a new car. The salesman keeps banging on about the ABS brakes, airbags and things I don’t even understand. My eyes start glazing over. Doesn’t really mean anything to me. I’m not really into cars.

BUT if he starts talking to me about the safety aspects and how it will protect my children – now there is a benefit.

Can you start to incorporate 'benefit' language into your communication rather than features?

Jane from Lil Pip

Follow your passion and find your niche

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Starting your own business and making money or even a living is going to take some time (blood, sweat and most likely tears!). That’s why you see everywhere, people telling you to follow your passion. Do what you love, after all you are going to be doing it a while, spending a lot of time and money investing in making it a success, so you want to make sure it is something you really enjoy doing.

It might be worth making a mood board (Pinterest is amazing for this!). Keep adding things that inspire you and check back regularly to make sure you are on track.

So once you have found your passion, you now need to find the people who want what you make! Sometimes it is easier to find your niche, something that is unique to you or a new take on something (I honestly believe nothing is new in the hand crafted world!) and market to a smaller group of people who really want it rather than try to be all things to all people.

What price?

Probably the most common question we see in our group is, ‘What should I charge for this?’

This is a really interesting question and has so many factors to influence the answer. Here are some points to consider:

What is the cost of your materials? Ok an obvious one to consider. What is the cost of your fabric, buttons, threads, glue, hair clips, toy fill, embroidery thread and all the items that go into making up your product. What about your electricity, machine wear and tear and those type of overheads? Website costs, packaging, petrol to get to the post office. It all adds up. Have you ever sat down and really figured out the true cost of your product/s?

What is the cost of your time? I think if all home crafters factored in the true cost of their time, they wouldn’t sell a thing! I guess what I mean by this question, is don’t just cover your costs and add $1 on top. Some go by the rule of double the cost of your materials, some triple. Just make sure that what you add on top of the cost of your materials makes it worth your while.

What are the prices of comparable products? As a general rule, I don’t think you should just charge the same as everyone else does. Not everyone creates in the same way or style. You may use more expensive vintage fabrics and so need to charge a little more to make money. However, doing some research and having a look at what others are charging, might give you an idea of what range you should price your product.

What value do you place on your own work? I think we are the biggest self doubters. We don’t think our products are amazing and often wonder if others would even buy them. Having recently done my first markets, it truly is a thrill when people admire your creations and ask ‘wow, did you really make this?’ (said with a note of awe in their voice). If you price your products cheaply, how does this reflect your brand? Cheap prices to me are cheap quality products. Plus if you price your products cheaply, you simply cannot sustain this and expect to make money. Right?

What do you want to charge? If you spend hours creating a custom designed quilt then you should charge accordingly. What you charge will reflect on your brand. Don’t be afraid to charge what you want. Ok you might loose some people who want a bargain, but in the long run, you will gain customers who appreciate your work.

I hope this helps you to determine what you should be charging for your products. If anyone else has some ideas or points to consider, please comment below. We would love to hear from you!

Jane from Lil Pip 

Useful information about the Do's & Dont's of promotion of competitions on Facebook

Check out the article from Build a little biz its about the "Can and Cannots" of Facebook.

Read the article here.

- Gem