Question

What is the meaning of diminishing value proposition?

Answer 1

Answer: Value proposition means that analysis of cost vs benefit of a particular product in the eyes of customer. While calculating value proposition they take into an account customer experience, emotions, psyche etc.

Diminishing value proposition means it is constantly declining in the eyes of customer. It means that value of the product related to cost and benefit has been declined. There are various reason for which diminishing value proposition :

• Prospective Value which customer anticipated to be provided by the product. But if the product is not according to customer standard or guidelines. Value automatic declines.
• Unique offering has been copied by your competitors in better way . This lead to declining in the value proposition.
• Quality of the product also declines value proposition when compared with competitors.
• Cost factor also lead to decline in the value proposition.