How to use storytelling to increase your value proposition

Picture this:

"Eh, why la so expensive? Are you kidding me? How much discount are you gonna give me?"

So, fellow Malaysians tell me.

How many of you feel frustrated when you want something but you feel like it's way more than you are prepared to pay for it as if the seller is trying to rip you off?

You know, it really sucks to be a seller who competes on price but it is great if you can get good bargains as a customer for what you want.

On the other hand, let's compare it to another scenario.

Would you ever complain to the cashier at Starbucks that your coffee at 15 Ringgit is too expensive? Probably not.

In fact, if you're working part time in Malaysia, you would have to work about three hours just to be able to afford a frappucino.

And you're also aware that that a hot coffee is about RM2.50 at the coffee shop and only 50 sen if you make it yourself at home.

The question is: why then, would someone pay so much for the cup of Starbucks? 

Probably because it felt good. Now let's explore what factors add so much more value to a cup of coffee at Starbucks.

Starbucks is a great example of a brand with very strong customer value propositions.

Let's explore the three elements of value in order from the bottom to the top:

The first is the core of values which aims to serve a better function. 

Consider values such as buying a product or a service to get:

• Something that simplifies
• Saves time
• Reduces cost
• Offers convenience
• Better quality
• More variety
• Better information

 

The second is an emotional value that you get out of a product or service

For example, people value something that makes them :

• Feel happier
• more relaxed
• less anxious
• more entertained
• more comfort
• Feel healthier
• Or more attractive

 

And the third is a social value and this is the most sought-after form of value

For example; think of situations that make you:

• More motivated after joining a class
• Or having the ability to join an exclusive group
• Or gaining a life-changing experience from the product or service you bought.

To illustrate how these values can apply to a business, lets' look into Starbucks again.

On a functional value level, you get things such as:

• Having coffee on demand because they're everywhere so it is convenient to purchase with your prepaid card
• Also, you are getting premium coffee from high-quality beans
• They are amazing with their storytelling, so you get the latest promotions and stories served to you regularly on social media.

Meanwhile, on an emotional level:

• You know that the place makes you feel more relaxed and happier to see like-minded people enjoying their cup of coffee while having conversations, reading or working on their laptop.
• What you may not know is that Starbucks put a lot of thought behind the concept of the in-store experience to give more value.
• For example, the team have deliberately made their tables round in shape because it encourages customers to have quality time for conversations. A round table draws people closer together instead of big square tables that you see in other cafes and restaurants. 

And thirdly on a social level:

• Perhaps starbucks is a good place to go out for a coffee date with someone you just me on Tinder and you want to make a good first impression.
• You get to Instagram your beautiful cup of coffee to share it with your friends. That in itself make you seem like you're enjoying life and fun to hang out with while they get free PR and marketing from you. It's a win-win!

Now think about your business and how you can use storytelling to incorporate all three types values throughout the calendar year.

Just a quick recap, the three types of value creation from the bottom to the top are functional, emotional or social values.

Communicating your values regularly with content publishing helps to reinforce those values and encourage conversation among your fans.

If you have questions about value creation or you need more information about storytelling, email us or visit our Services page.

Until then, this is Dom from Publish A Story.

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See you in the next episode.