The Full form of USP is Unique Selling Proposition. USP is also known as Unique Selling Point. It is a marketing concept to differentiate a company’s product from the rest of its competitors. This concept was first proposed in the early 1940s as a theory to explain a pattern in successful marketing and advertising campaigns. The Unique Selling Proposition theory states that such advertising campaigns made unique propositions to customers that convinced them to switch products, services or brands.
A USP (Unique Selling Proposition) refers to the unique benefit derived from a product, service, brand, or a company that differentiates it from its competitors and enables it to stand out from competitors. The USP must be a feature that highlights the benefits of the product or service that are meaningful to consumers. The communication of the USP is a key element of branding. The approach of USP is recommended where high levels of technological innovation are characterized in the product category.
A clear USP helps consumers to distinguish between product categories offered by different brands, and also helps them to form a positive outlook and attitude towards the brand. It will ultimately result in improved levels of brand recall in the mind of consumers.