The Elements of Value
Created on April 1, 2023
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THE 40 ELEMENTS OF VALUE
B2B DECISION MAKING
What my client(s) value
Explore the interactive map
Definition: Conforms to the Client's internal specifications Example: Aerospace and defence firms such as Northrop Grumman must meet specifications with new products or risk losing lucrative defence contracts
Definition: Helps the Client increase revenue Example: Amazon offers a service that allows merchants to use its fulfilment network, which helps them increase revenues
Definition: Helps users become more organized Example: Bloomberg organizes vast quantities of information for its clients
Definition: Helps the Client avoid unnecessary hassles Example: American Express OPEN is known for excellent customer service to businesses
Definition: Saves time for users or the overall organization Example: Workday Human Capital Management gives HR managers access to an analytics dashboard on their organization's workforce.
Definition: Provides aesthetically pleasing goods or services Example: Data centre operator Equinix puts thoughtful design into its facilities as a way to appeal to IT engineers
Definition: Helps users and colleagues expand their professional network Example: LinkedIn is the world's largest professional network
Definition: Gives buyers and users hope for the future of their organization Example: Microsoft Azure gives IT professionals hope that their systems can work together seamlessly
Definition: Helps the Client anticipate the direction of its markets Example: Nielsen's retail data and analytics services help consumer goods companies envision shifts in demand for their products.
Definition: Reduces complexity and keeps things simple Example: Intuit's QuickBooks makes accounting simpler for small businesses.
Definition: Connects organizations and users with others internally and externally Example: Slack, an app-based communications platform, helps keep workers connected.
Definition: Helps a customer integrate different facets of the business Example: Accenture helps clients integrate their disparate IT systems
Definition: Offers goods or services that can be easily configured to the Client's needs Example: Azure, a cloud service from Microsoft, is well known for its flexibility
Definition: Protects the Client against loss or unnecessary risk Example: Aon provides a suite of insurance and consulting services designed to reduce client risk.
Definition: Allows the Client to operate in more locations or market segments Example: World Clock Meeting Planner helps users arrange conference calls across the globe.
Definition: Moves beyond standard goods or services to allow customization Example: Bosch's engineering arm carries out more than 800 custom projects each year.
Definition: Improves the perceived quality of the Client's own products or services Example: The "Intel Inside" program enables computer manufacturers to display the Intel brand on their devices, signalling high performance and reliability.
Definition: Helps the Client be more socially responsible Example: Dental and medical products wholesaler Henry Schein organizes its employees, customers and industry partners to participate in philanthropic programs.
Definition: Does not jeopardize and may enhance the buyer's reputation at work Example: IBM's strong reputation in key markets shields decision-makers from being criticized for choosing the company
Definition: Is enjoyable to interact with or otherwise rewarding Example: Salesforce invites users to its World Tour to learn about new products and hear impressive keynote speakers
Definition: Provides know-how for the relevant industry or market Example: Ecolab dedicates expert personnel to each customer and provides optimized end-to-end services.
Definition: Fits well with the Client's culture and people Example: Salesforce.org works with nonprofits at a substantial discount
Definition: Provides innovative capabilities Example: ABB is recognized for innovation in technologies as diverse as industrial pump drives and marine electric propulsion systems.
Definition: Performs its activities in an ethical manner Example: Audit firms such as RSM must ensure ethical business practices or risk being fired or fined
Definition: Helps users become informed Example: Remote diagnostics and a MyJohnDeere app inform farmers about soil conditions and weather data.
Definition: Provides a clear view into the Client's organization Example: Workday's cloud-based software gives HR managers a view of a wide range of human capital data and metrics
Definition: Provides a variety of goods or services to choose from Example: United Rentals offers a huge variety of rental products and locations.
Definition: Shows it is committed to the Client's own success Example: GE Aviation goes beyond selling products to offer services to airlines that optimize their efficient use of new technologies.
Definition: Is a stable company for the foreseeable future Example: A large, international customer base at insurance carriers such as Chubb and Lloyd's of London provides stability for years to come
Definition: Provides products or services at an acceptable price Example: To maintain insurance coverage for drugs, Pfizer must offer acceptable prices.
Definition: Complies with regulations Example: Cube, Fenergo and other financial technology firms have helped large banks comply with increased regulation since the global financial crisis
Definition: Reduces cost for the Client's organization Example: Wipro reduces costs for clients by allowing them to outsource IT functions
Definition: Provides high-quality goods or services Example: Cummins has a reputation for high-quality trucks and industrial engines.
Definition: Expands easily to additional demand, processes or tasks Example: Amazon Web Services offers cloud computing that efficiently scales tasks in parallel across multiple computing resources.
Definition: Helps an organization get things done with less effort Example: IQVIA serves pharmaceutical firms by conducting their clinical trials and fielding their salesforces
Definition: Ensures the good or service is available when and where needed Example: FedEx's delivery and business services are available almost anywhere in the US.
Definition: Responds promptly and professionally to the Client's needs. Example: Genesys implemented the Net Promoter System® to address client problems immediately.
Definition: Helps users and colleagues develop personally Example: SAS has extensive training and certification programs in data science.
Definition: Helps buyers and others in the organization feel more secure Example: FM Global provides engineering services to help reduce the incidence of catastrophes in business operations
Definition: Makes users and colleagues more marketable in their field Example: Autodesk provides education and certification for its core product, which provides an industry-recognized credential for engineers and construction professionals
At the pyramid's base are the table stakes: meeting specifications at an acceptable price in compliance with regulations while abiding by ethical standards.
Delivering on those has long been a priority in old-line industries such as manufacturing. As buyers and sellers, B2B companies still focus most of their energy on functional elements.
Here we encounter the first set of elements that involve subjective judgments from buyers. They include things that enhance relationships between parties, such as a good cultural fit and a seller’s commitment to the customer organization.
Here the elements of value can address highly emotional concerns.
At the top of the pyramid are inspirational elements: those that improve the client’s vision of the future, provide hope for the future of the organization or the individual buyers, or enhance a company’s social responsibility.
CLIENT A: Tech company, 350 employees, 1 month
CLIENT B: Heavy Manufacturing, 10,500 employees, 3 months
CLIENT C: Tech hypergrowth company, 1800 employees, 6 months
CLIENT D: Tech company, 2800 employees, 4 years