tools-only Value Proposition Canvas (VPC)
Created by Alexander Osterwalder, an extension of the Business Model Canvas. Published in "Value Proposition Design" (2014).
Canvas Structure
The VPC zooms into two blocks of the Business Model Canvas:
- Customer Segments → Customer Profile
- Value Propositions → Value Map
┌─────────────────────────────────────────────────────────────────────┐
│ │
│ VALUE MAP CUSTOMER PROFILE │
│ │
│ ┌─────────────┐ ┌─────────────┐ │
│ │ Products │ │ Gains │ │
│ │ & │ │ │ │
│ │ Services │ │ Benefits │ │
│ │ │ │ customers │ │
│ │ │ │ want │ │
│ ├─────────────┤ ══════ ├─────────────┤ │
│ │ Gain │ ══FIT══ │ Jobs │ │
│ │ Creators │ ══════ │ │ │
│ │ │ │ Tasks to │ │
│ │ How we │ │ complete │ │
│ │ create │ │ │ │
│ │ gains │ │ │ │
│ ├─────────────┤ ├─────────────┤ │
│ │ Pain │ │ Pains │ │
│ │ Relievers │ │ │ │
│ │ │ │ Frustrations│ │
│ │ How we │ │ risks │ │
│ │ relieve │ │ obstacles │ │
│ │ pains │ │ │ │
│ └─────────────┘ └─────────────┘ │
│ │
└─────────────────────────────────────────────────────────────────────┘
Customer Profile (Right Side)
Jobs to Be Done
What is the customer trying to accomplish?
| Job Type | Description | Examples |
|---|---|---|
| Functional | Practical tasks | "Analyze sales data", "Create report" |
| Social | How they want to be perceived | "Look competent", "Be the expert" |
| Emotional | How they want to feel | "Feel confident", "Reduce stress" |
| Supporting | Buying, co-creating, transferring | "Compare options", "Learn to use" |
Questions:
- What tasks are they trying to complete?
- What problems are they trying to solve?
- What needs are they trying to satisfy?
Tips:
- Use customer's words, not yours
- Distinguish between main job and related jobs
- Consider context and constraints
Pains
What annoys customers or prevents success?
| Pain Type | Description | Examples |
|---|---|---|
| Undesired outcomes | Problems and bad results | "Report has errors", "Wastes time" |
| Obstacles | Things preventing the job | "Too complex", "No training" |
| Risks | Potential negative outcomes | "Might look incompetent", "Could lose data" |
Questions:
- What's too costly? (time, money, effort)
- What makes them feel bad?
- What common mistakes do they make?
- What barriers prevent adoption?
Rank pains: Extreme → Moderate
Gains
What outcomes and benefits do customers want?
| Gain Type | Description | Examples |
|---|---|---|
| Required | Basic expectations | "It works", "It's accurate" |
| Expected | Standard expectations | "Easy to use", "Good support" |
| Desired | Would love to have | "Saves 50% time", "Looks professional" |
| Unexpected | Beyond expectations | "Makes me look like expert", "Fun to use" |
Questions:
- What would make their life easier?
- What would delight them?
- What do they dream about?
- How do they measure success?
Rank gains: Essential → Nice to have
Value Map (Left Side)
Products & Services
What do you offer?
List all products and services your value proposition is built around.
| Category | Examples |
|---|---|
| Physical | Products, goods |
| Intangible | Services, support |
| Digital | Software, apps, content |
| Financial | Insurance, financing |
Rank: Essential → Nice to have
Pain Relievers
How do you alleviate customer pains?
Map each pain reliever to specific customer pains.
| Pain | Pain Reliever |
|---|---|
| "Takes too long" | "Automates 80% of work" |
| "Too complex" | "Step-by-step guidance" |
| "Might make mistakes" | "Built-in error checking" |
Questions:
- How do you save time, money, effort?
- How do you eliminate/reduce fears?
- How do you fix underperformance?
- How do you eliminate risks?
Gain Creators
How do you create customer gains?
Map each gain creator to specific customer gains.
| Gain | Gain Creator |
|---|---|
| "Save time" | "Templates reduce work by 50%" |
| "Look competent" | "Professional output" |
| "Feel confident" | "Certification included" |
Questions:
- How do you create outcomes they expect/desire?
- How do you exceed expectations?
- How do you make their life easier?
- How do you create positive social consequences?
Achieving FIT
FIT happens when customers get excited about your value proposition.
Three Levels of Fit
| Level | Description | Evidence |
|---|---|---|
| Problem-Solution Fit | Evidence that jobs, pains, gains matter | Customer interviews confirm problems |
| Product-Market Fit | Evidence customers want your solution | Customers pay, return, refer |
| Business Model Fit | Evidence of scalable, profitable model | Unit economics work |
Fit Checklist
- Value proposition addresses most important jobs
- Value proposition addresses most severe pains
- Value proposition creates essential gains
- Customers willing to pay for the value
- Value is differentiated from alternatives
Example: ThepExcel VPC
Customer Profile: Executive Assistant "Nida"
### Jobs to Be Done
**Functional:**
- Create monthly reports for management
- Consolidate data from multiple sources
- Analyze sales trends
**Social:**
- Be seen as the "Excel expert" in the office
- Get recognized for efficiency
**Emotional:**
- Feel confident when presenting data
- Reduce stress from tight deadlines
### Pains
**Extreme:**
- Spends 8+ hours on monthly reports
- Errors in formulas embarrass her
- Boss asks for things she doesn't know how to do
**Moderate:**
- Boring, repetitive work
- No one to ask for help
### Gains
**Required:**
- Accurate reports
- Meet deadlines
**Desired:**
- Finish reports in 2 hours, not 8
- Create professional dashboards
- Understand data, not just copy it
**Unexpected:**
- Become the trainer for colleagues
- Get promoted based on skills
Value Map: ThepExcel Power Query Course
### Products & Services
- Power Query automation course (10 hours)
- 50+ downloadable templates
- Facebook community access
- Certificate of completion
### Pain Relievers
| Pain | How We Relieve |
|------|----------------|
| 8+ hours on reports | Automation reduces to 30 min |
| Formula errors | Template-based, tested solutions |
| Don't know how | Step-by-step Thai instruction |
| No one to ask | Community support |
### Gain Creators
| Gain | How We Create |
|------|---------------|
| Finish faster | Power Query automates 90% |
| Professional dashboards | Ready-to-use templates |
| Become trainer | Certification + shareable skills |
| Get promoted | Portfolio of projects |
FIT Assessment
✅ Addresses #1 job: Create reports efficiently
✅ Relieves #1 pain: 8 hours → 30 minutes
✅ Creates desired gain: Professional output
✅ Differentiated: Thai language, Thai business context
⚠️ To validate: Willingness to pay ฿2,990
Tips for Using VPC
- One segment at a time - Create separate canvas for each segment
- Customer interviews first - Don't guess, ask
- Rank everything - Not all jobs/pains/gains are equal
- Focus on important - Address top 3, not all
- Iterate - Update based on feedback
- Connect to BMC - VPC feeds into value proposition block