The Science of Marketing

A few recent posts have touched on the things people tell investors to get their attention, and ultimately their money. Guy Kawasaki wrote a nifty list of pickup lines some entrepreneurs are using to open the conversation with investors, while Ben Yoskovitz refreshed his quick tips for pitching angel investors and Venture Capitalists. Both hone in on the need to abandon cute corporate clichés and focus on packaging and delivering a compelling story - preferably a story about making the investor a killing. But let’s not forget that most investors are not islands. They work in teams to evaluate deals and decide which ones to fund, so just as important as the story you tell is the investor’s ability to pass it along to other stakeholders in the fold. Here are a few tips to help build a story that is easily passed along:

• Start with a simple message - the one thing you want the audience to take away. Write that message down in big, bold letters and keep it visible while you’re building your pitch. Every slide or page you develop should support that simple message.
• Create the cheat sheet - a one-pager that sums up the opportunity. This summary should provide a high level overview of why your company is worth a second look, and live in PDF format so investors can email it around quickly to members of their supporting cast.
• Use consistent language - a lexicon of terms that is unique to your company. When investors use your words to talk to each other about your company, they are reinforcing your message. Make it easy for them by picking five terms you want to own and infusing them in your pitch and supporting materials.
• Get them talking - starting a conversation you want them to continue after you leave. When you’re standing in front of multiple stakeholders, ask questions, play back the answers you get, and solicit comments from others. By moderating the conversation in the room, you establish a dialog between people who might otherwise return to their offices and forget about you.

Incidentally, pitching VCs is not unlike pitching a prospective customer or partner in the business to business world. There are often multiple stakeholders involved, all of whom need to be able to pass your story along to get others on board and create consensus. By making your story easy to pass along, you increase your chances of success.

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