Defining your technology’s value proposition is pivotal for successful commercialisation. It’s the promise of value and the belief that value will be delivered and experienced by the end users of your technology. In the case of medical devices and biotechnology, value may extend further into national and international benefits, solving problems that can have a positive impact globally. Investors want a defined value proposition before backing you and Government grant programs always ask for companies to define their value proposition in applications.
The most important step to defining value proposition is defining the problem that your technology is intended to fix. Consider the following in determining whether your target problem is worth solving:
- Need: Is there a lack of solutions to the problem or a lack of competitors in the field? Is your target market dissatisfied with current alternatives?
- Target: Who is your target market?
- Opportunity: Is there an area of opportunity for you to exploit?
- Unworkable: Does your technology fix a problem that is currently unworkable or creating negative implications?
- Features: What is the key problem-solving capability of your technology?
Finally, evaluate whether technology is unique and compelling. Does your technology reflect the following:
- Discontinuous innovation: offer a benefit that is superior to the current status quo by looking at a problem differently, e.g. a catheter that results in superior fluid flow and reduced blockages compared to existing catheters
- Defensible technology: offers intellectual property that can be protected to create a barrier of entry to others
- Disruptive business models: yields value and cost rewards that help catalyse business growth
Once you have thought of these elements, you can start building your value proposition. At Inner Maven, we have assisted many entrepreneurs in the medical space to define their value proposition.