Value Proposition Canvas
A tool for designing and testing value propositions by mapping customer profiles (jobs, pains, gains) to value maps (products, pain relievers, gain creators).
Also known as: VPC, Value Prop Canvas, Strategyzer Value Proposition Canvas
Category: Frameworks
Tags: businesses, frameworks, customer-research, products, entrepreneurship, strategies
Explanation
The Value Proposition Canvas, created by Alex Osterwalder, is a practical tool for designing, testing, and achieving fit between what you offer and what customers need. It consists of two interconnected parts: the Customer Profile and the Value Map.
**Customer Profile (Right Side)**:
1. **Customer Jobs**: What customers are trying to accomplish
- Functional jobs (tasks to complete)
- Social jobs (how they want to be perceived)
- Emotional jobs (how they want to feel)
- Supporting jobs (buying, comparing, disposing)
2. **Pains**: Negative outcomes, risks, and obstacles
- What frustrates customers?
- What risks do they fear?
- What's preventing them from getting the job done?
3. **Gains**: Positive outcomes customers desire
- Required gains (expected outcomes)
- Expected gains (basic expectations)
- Desired gains (would love to have)
- Unexpected gains (beyond expectations)
**Value Map (Left Side)**:
1. **Products and Services**: Your offerings that address customer jobs
2. **Pain Relievers**: How your offering alleviates customer pains
- Reduces or eliminates frustrations
- Minimizes risks
- Removes obstacles
3. **Gain Creators**: How your offering creates customer gains
- Produces outcomes customers expect or desire
- Creates surprise benefits
- Exceeds expectations
**Achieving Fit**:
Fit happens when customers get excited about your value proposition. Create obvious links between:
- Pain relievers ↔ Customer pains
- Gain creators ↔ Customer gains
- Products/services ↔ Customer jobs
Not every pain needs addressing—focus on the most important ones that differentiate your offering.
**Using with Business Model Canvas**:
The Value Proposition Canvas zooms in on two blocks of the Business Model Canvas: Value Propositions and Customer Segments. Use them together for complete business model design.
**Practical Applications**:
- Designing new products or services
- Improving existing offerings
- Competitive analysis (map competitor value propositions)
- Customer research structuring
- Team alignment on customer understanding
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