Unique selling proposition
Definition
A unique selling proposition, often called USP, is the distinct feature or value that sets a product, service, or brand apart from its competitors. It communicates why customers should choose one offering over another by highlighting benefits that are meaningful and difficult to replicate. A USP is usually expressed as a concise statement that captures the essence of what makes the business different.
For example, a coffee brand may promote its USP as delivering ethically sourced beans roasted fresh daily, while competitors focus on price or convenience.
Advanced
USPs are developed by analysing customer needs, market gaps, and competitor positioning. They must be specific, credible, and relevant to the target audience. Strong USPs often tie into emotional drivers, such as trust, status, or convenience, in addition to functional benefits.
Advanced strategies involve testing USP statements through A/B testing in ads, measuring resonance in customer surveys, and refining based on performance data. In saturated markets, differentiation may come from customer experience, brand story, or service models rather than product features. Businesses often align their USP with their brand positioning, mission, and long-term value proposition to ensure consistency across all customer touchpoints.
Why it matters
Use cases
Metrics
Issues
Example
A ride-sharing company establishes its USP as the safest transport option, backed by driver background checks and in-app safety features. This differentiates it from competitors focused on price, attracting safety-conscious riders and building stronger loyalty.