As we said in the last class the government’s risk averse, and even if you have a ton of excellent past performance and all the right degrees and certifications you're still more of a risk than the vendor they’ve been working with for the last three years. So you need to make the case that there’s something so compelling about your offering that they should choose you over the current provider.
And generally this is known as your value proposition.
Now there’re LOTs of value propositions but the main ones we see are:
In this exercise you’re going to look at whether you can credibly make the cheaper, customer knowledge, and innovation value propositions for each of the options you’re considering.
So, like before, create copies of the three value prop pages, one for each option you’re considering and let’s start with the cheaper value prop, and in the government market there are two key elements of price.
So for the cheaper value prop, list any ways you can do things cheaper. And don’t be surprised if you don’t have anything here, the cheaper value prop’s a tough one.
Then on the second page list government organizations that you know well, and by know well we mean that you know key decision makers, contracting officers, program and budget officers, the organization’s mission, operations, key data systems, acquisitions processes, We mean really know the organization..
Next go to page three, and the “innovation” value proposition is tricky because innovation is subjective. But for now list all the innovative ideas you have, and all the problems you see, with how this product or service is delivered today.
So for each option you should have three pages of notes on potential value props. And now it’s time to do another down select. So if some options don’t have a clear value prop we recommend discarding them.
And that’s it, that was the last of these self reflection analyses. And I hope you’re feeling good. In about an hour you’ve gone from perhaps a dozen options to a full fledged business hypothesis including
And those are the core elements of your business plan, there’s a lot more to do, but this is the nucleus.
So hopefully this didn’t take too much time, but this kind of planning and thinking is hard and incredibly important, so go treat yourself to a fancy coffee or something.
And after you’ve taken a break it’s time to get feedback, and identify the one product or service that’s going to become your initial primary offering.