Why would I upgrade?

In this issue, you’ll learn:

  1. How to make more money by making your customers upgrade.

  2. The possible ways you can do that.

Time to read: two minutes.

Types of value propositions

Today, we will talk about what's in bold in the list below.

  • Price

  • Cost reduction

  • “Getting the job done”

  • Risk reduction

  • Customization

  • Accessibility

  • Convenience/usability

  • Performance

  • Design

  • Newness

  • Brand/status

Performance

It's possible to add significant value by improving the performance of your product.

This is simple with phones; every new version has better hardware and performance. and when this is marginal people start asking why upgrading is feasible.

Apple was well-known for separating hardware performance from software performance, capitalizing on how tightly its software and operating system are integrated with the hardware.

It was also widely known that some questionable actions, such as intentionally reducing the performance of old devices in order to encourage people to upgrade so that they could make more money, were taking place.

The M1 chip from apple was a game changer in terms of performance from a speed perspective and a battery perspective.

If you have no performance advantage in your new release, you would capitalize on other value propositions to get people buy from you.

Do you have other examples of the performance value proposition?

Hit reply and let me know.

Wrap-up

  1. If your business model depends on newer models, you will need to make performance your value proposition.

  2. This is a resourceful and constant innovation game.

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How can I improve the Business Builder?

Hit reply and let me know!

- Luqman