In the crazy evolving software landscape, differentiation is more important than ever. Having worked with many software businesses, it still surprises me when companies use a  Proof of Concept (POC) approach and approach to demonstrate their products’ capabilities. Many years ago, I learned how more progressive companies had strategically shifted to a Proof of Value (POV) strategy to demonstrate the value of their offering. 

You might be thinking, what’s the big deal? It seems like semantics. But is it? 

My biggest reason for changing my point of view years ago was simple.  All the sales training I had ever gotten or delivered was around salespeople bringing value to the buyer’s journey, so why would I ever introduce doubt by using the word “concept” in my sales conversations?   The Oxford Dictionary defines “concept” as an abstract idea, a general notion. Really, if you are a salesperson, do you want to be selling an abstract concept? Isn’t it better – and more effective – to be able to prove value?

Let’s take it deeper so you can decide for yourself.

The Critical Role of Selling Value in Sales

Before diving into the nuances of POC and POV, let’s anchor our understanding around the significance of selling value.

• 1.
  Value Drives Decision Making

  Buyers aren’t just looking for functional solutions. They’re looking for solutions that offer tangible benefits and align with their business objectives. When sellers articulate a solution’s value, it resonates with the buyer’s core needs and accelerates the decision-making process.

• 2.
  Value Fosters Loyalty

  Customers who perceive value in their purchases tend to be more loyal. They’re not just buying a product; they’re investing in a solution that brings them measurable benefits.

• 3.
  Value Reduces Friction

  A clear value proposition can cut through doubts, objections, and competition. When potential customers see the value, many common roadblocks in the sales process fade away.

Understanding POC: The Traditional Approach

POC demonstrates that a software can technically accomplish what it claims. It’s an evidence-based approach that says, “Yes, our software can do this.” While effective in proving feasibility, POCs often miss showcasing the real-world value a software brings.

The Promise of POV: Highlighting Real-World Benefits

POV goes beyond showcasing capabilities. It actively demonstrates the tangible benefits of the software in action. Instead of just claiming a software function, a POV illustrates the actual impact – such as saving time, reducing errors, or boosting revenue.

Why Emphasizing POV Makes a Difference

• 1.
  Negotiating on Value, Not Price

  A clear display of value justifies your software’s price tag. Conversations pivot from price cuts to anticipated ROI.

• 2.
  Strengthening Customer Relationships

  A POV-oriented approach requires a deep understanding of the client’s business, which builds trust and fosters long-term partnerships.

• 3.
  Accelerating Sales Cycles

  A POV-oriented approach requires a deep understanding of the client’s business, which builds trust and fosters long-term partnerships.

Shifting Gears from POC to POV

• 1.
  Conduct a Deep Dive into Client Needs

  Understand what value means to your client. This could involve extensive conversations, research, and scenario planning.

• 2.
  Quantify Benefits with Data

  Make sure to back up claims with solid figures, showing how the software’s features translate into real-world benefits.

• 3.
  Personalize Demonstrations

  Move away from generic POCs. Instead, offer tailored demonstrations that address the client’s unique challenges and highlight the software’s value.

Wrap up

In today’s software market, it’s essential to do more than just highlight features. Transitioning from POC to POV isn’t just about words—it’s a shift in approach. With POV, you’re emphasizing the tangible benefits of your software in real-world scenarios. It’s a straightforward, client-centric way of showcasing not just what your product does but how it adds genuine value.  If a POC is still part of your traditional sales process, consider this small change to make a big impact on your sales team’s quest to bring value to the buying process.

TeamRevenue, empowers businesses to drive sustainable growth. We provide our clients with the revenue enablement experts, best practices, and an accountability framework to optimize revenue teams, systems, and processes to drive results.  We’ve worked with hundreds of B2B companies worldwide, breaking the cycle of underperformance. Helping them grow faster, communicate better and bring new energy to their organizations.