TLDR;
- Stop targeting demographics: Your customer isn't a "male, 35, living in Munich". Your customer is a specific person facing a specific, expensive nightmare. Define them by their pain, not their stats.
- Use the "Nightmare" Framework: Identify the urgent, career-threatening or life-altering problem your client faces. If you solve a small, annoying problem, you're a commodity. If you solve a nightmare, you're a partner.
- Test before you commit: Don't spend months building a brand bible. Use paid ads (Meta/LinkedIn) to test different "hooks" and value propositions against each other with small budgets to see what actually gets clicks.
- The "Offer" is the variable: Most campaigns fail because the offer is weak. We'll look at how to structure an offer that screams value rather than just "request a demo".
- Included Assets: I've included a Conversion Impact Calculator to show you exactly how a better value prop changes your bottom line, and a Targeting Efficiency Chart to visualise the difference between demographic and pain-based targeting.
Hi there,
Thanks for reaching out!
I saw your note about struggling to find a framework for your value proposition in Munich, and honestly, I wanted to jump in because this is something we see businesses mess up constantly. You're in a crowded market, and the natural instinct is to try and sound "professional" or to look for a complex academic framework to differentiate yourself. But in my experience running paid ads for clients across the UK and Europe, that's usually the quickest way to blend in and burn budget.
I'm happy to give you some initial thoughts and guidance here. If you want to stand out, you don't need a "branding exercise" or a focus group. You need to identify the bleeding neck problem your customers have and offer them a tourniquet. It's brutal, but it works.
In paid advertising, we don't have the luxury of time. We have about 0.5 seconds to grab someone's attention in a feed before they scroll past. If your value proposition is fluffy or vague, you lose. So, the framework I'm going to walk you through is the exact same one we use to turn failing ad accounts into profit engines. It’s not about "values" or "mission statements" – it’s about psychology, pain, and economics.
The Trap of the "Professional" Value Prop
Most business leaders in Munich (and everywhere else, to be honest) start by defining their target audience in a really sterile, boring way. They say things like, "We target SMEs in the manufacturing sector with 50-200 employees located in Bavaria."
That tells you absolutely nothing of value. It leads to generic ads that say "Leading Manufacturing Solutions in Munich."
Guess what? No one cares. That business owner isn't waking up at 3 AM thinking, "I really need a leading manufacturing solution." They are waking up thinking, "If this supply chain issue isn't fixed by Friday, I'm going to miss the shipment to our biggest client and lose the contract."
To stop burning cash and actually stand out, you have to stop looking at your customers as data points. You need to look at them as people with problems.
Your ICP is a Nightmare, Not a Demographic
This is the core of the framework I use. Forget the persona docs your last marketing hire made. You need to become an expert in your customer's specific, urgent, expensive, career-threatening nightmare.
I'll give you an example of how this works. Take a legal tech SaaS. Their value prop might be "Secure, cloud-based document management for modern law firms."
It is accurate. It is professional. And it is likely to be completely ignored.
You need to dig deeper. Ask, "What happens if they don't buy this?" The nightmare isn't "disorganised files." The nightmare is a partner missing a critical filing deadline because they couldn't find the latest version of a contract, exposing the firm to a malpractice suit.
You need to stop selling "document management" and start selling "malpractice insurance". The ad should say: "Don't let a lost file cost you your license."
We apply this exact framework to our clients to drive real results. For instance, for a Medical Job Matching SaaS, this strategic shift helped us reduce their Cost Per User Acquisition from £100 down to just £7.
So, for your business in Munich, you need to ask:
1. Who is the specific person making the decision? (Not just the company type).
2. What are they terrified of?
3. What is the cost of them doing nothing?
Engagement Rates: Generic vs. Nightmare Messaging
Structuring Your Message: A Message They Can't Ignore
Once you've isolated the nightmare, you need a way to communicate it that doesn't sound salesy. You want to sound like you understand them better than they understand themselves.
We use two main structures for this, depending on what you're selling. If you are in services, I'd say you use Problem-Agitate-Solve.
1. Problem: Call out the issue.
2. Agitate: Twist the knife. Make them feel the consequences.
3. Solve: Present your offer as the only logical relief.
For example, if you were a fractional CFO service in Munich:
"Are your cash flow projections just a shot in the dark? (Problem) Are you one bad month away from a payroll crisis while your competitors are confidently raising their next round? (Agitate) Get expert financial strategy for a fraction of a full-time hire. We build dashboards that turn uncertainty into predictable growth. (Solve)"
See the difference? We aren't selling "financial services". We are selling sleep.
If you are selling a product or software, try the Before-After-Bridge.
1. Before: Describe their current crappy reality.
2. After: Describe the utopia they want.
3. Bridge: Your product is the way to get there.
"Your AWS bill just arrived. It’s 30% higher than last month, and your engineers have no idea why. Another fire to put out. (Before) Imagine opening your cloud bill and smiling. You see where every dollar is going and waste is automatically eliminated. (After) Our platform is the bridge that gets you there. (Bridge)"
The "Offer" Problem
This brings me to a huge point. You can have the best understanding of the problem in the world, but if your "ask" is weak, it won't matter. The number 1 reason why campaigns fail is the offer.
In B2B specifically, the "Request a Demo" button is perhaps the most arrogant Call to Action ever conceived. It basically says, "I think I'm so important that you should give up 30 minutes of your day just to hear me pitch you."
It's high friction. It's low value.
Your offer needs to deliver a moment of undeniable value before asking for the sale. This is how you differentiate in a crowded market. Everyone else is asking for a meeting. You should be giving value.
If you're a SaaS, give a free trial with no credit card. If you're a service business, offer a free audit, a strategy session, or a specific tool. For us, as a paid ads consultancy, we offer a free strategy review where we audit failing ad campaigns. We solve a small, real problem for free to earn the right to solve the whole thing.
If you are in Munich, maybe there is a specific local regulation or market shift you can help them navigate for free first? That builds trust instantly.
How to Validate Your Value Prop (Don't Guess, Test)
Now, you might be thinking, "This sounds great, but how do I know which 'nightmare' is the right one?"
This is where paid advertising comes in. A lot of people think ads are just for "promotion" after the strategy is done. I'd say ads are the best market research tool you have. You can literally pay Facebook or LinkedIn to tell you what your customers care about.
Here is how we do it for clients:
1. Create 3-4 different "Angles".
Angle A focuses on "Speed" (e.g., getting results fast).
Angle B focuses on "Fear" (e.g., the nightmare scenario).
Angle C focuses on "Gain" (e.g., making more money).
2. Run them simultaneously.
Set up a campaign on Meta or LinkedIn. Put a small budget behind each one. Target the exact same audience.
3. Watch the CTR (Click-Through Rate).
The audience will vote with their clicks. If Angle B gets a 2% CTR and Angle A gets a 0.5% CTR, you know that "Fear" is the stronger value proposition. You don't need a focus group. The data is right there.
It's brutally honest. If no one clicks, your value prop isn't interesting. It's better to find that out spending £500 on ads than spending £50,000 on a rebrand.