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In our previous blog, we briefly mentioned the 3P’s of a winning business proposal and now we get to dive a little deeper. In this blog, you will learn the power of the 3P’s and how it can improve your business proposal.
Writing a winning business proposal is one of the biggest challenges for corporate and small businesses and individual professionals alike. The secret behind writing a winning business proposal versus a document full of capability statements is the usage of the 3 Ps: Problem statement, proposed solution, and pricing information.
Good business proposals highlight the exact customer problem and describe the problem as stated from the customer or the RFP. You want the customer to trust that you can solve their problem, which you can only accomplish when you understand it. Therefore, a successful business proposal will eloquently describe the customer’s needs in a precise and straightforward manner. An example of a well-portrayed problem statement is below:
“In the social media era, Puffin Media Inc. struggles to transition from traditional marketing to social media marketing. Outdated marketing techniques is disrupting firm innovation and missing a large section of their market. Puffin competitors are ahead of the social media curve and retain a sizeable market share that continues to interrupt Puffin revenue growth.”
The core purpose of business proposals is to present a solution to a customer-facing problem. Your proposed solution should be explained in detail so there is no confusion about your solution and why it is the best fit for the customer’s needs.
Let’s propose a solution to Puffin’s problem:
“Puffin needs to leverage social media marketing to attract an unexplored segment of their target market and recapture market share. To do this, Puffin requires social media marketing experts to help position the company on the right social media platforms and optimize an effective strategy for brand recognition. Our social media marketing experts will work with Puffin to understand your value propositions, research the market and customer needs, and align proven research to our marketing strategy. Once we define the strategy, we will create a marketing campaign for the social media channels that resonate with the target audience. Every week, we will review the campaign’s performance, share detailed reports, and adjust based on the results.
With our proven marketing campaign strategy, we know how to grow followers and make connections. Our strategy will grow Puffin’s social media following 150% and engagement rates will increase 6% week-over-week. Puffin will be able to amass brand recognition on Facebook, LinkedIn, Instagram, and TikTok by the end of second quarter.”
Price is the exchange of value or premium in return of a product. Pricing plays a significant role in marketing your organization in the business proposal because your pricing essentially denotes the value that your solution offers. It also helps the customer determine whether they can afford you or not.
Present the pricing information as accurately as possible in your business proposal. For most customers, the pricing information is the deciding factor for contract win because every potential customer wants to minimize cost and maximize profit.
Support the proposed solution with a well-crafted cost proposal that factors in your solution’s value. For a short-term and simple project, you can add a fee summary. Otherwise, for longer, complex projects, include a fee schedule with key milestones and required payment dates.
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