Value proposition is a term used to refer to the benefit(s) received (or perceived) by a user of your product or service . A more precise and useful measure is the economic value of your product or service to a user. In an ideal world it is defined as the difference between the amount of money the user can make or save using your product less the amount that they can make/save without. In the real world an estimated economic value (EVA) is normally used. It is used for both pricing decisions and value communication to potential users.