August 2, 2012
It might be a cliche of a cliche but there is assuredly a reason why you will hear successful investors and entrepreneurs discussing â€˜elevator pitchesâ€œ and their vital importance. The are important because you, the business owner, need to immediately be able to concisely and speedily communicate what your business entails and why it will be successful. You need to lean these points, memorize them, and be able to communicate such points in under two minutes. You will never know when you have an opportunity where you will be required to deliver it. A number of successful business deals will occur outside of the office. This is why you need to do to be prepared:
You will need to communicate exactly what it is your company sells in a clear, concise, and quick manner. Are you offering a product? Offering a service? What is so valuable about it and who is willing to pay for it? Never worry about technical details such as how the product works because this could seriously detract from your elevator pitch. keep your focus on the results you can deliver and all the value which can be provided to clients.
Never be afraid to compare your business to other companies that may be your competitors. It is fine to have competitors; actually, if you claim you do not then you will lack credibility. Point out that your company is not exactly the same as others (If it is the same you have serious problems). Competition can present a sign that other companies and backers feel the industry is worth participating in.
Yet, after you mention a different company, you have to be able to make a strongly compelling case that you are to compete with and win the struggle with them. Understand your competitive advantages and be able to present a list of these attributes. These are the advantages that will capture the attention of serious venture capitalists.
Last, you have to detail the unmet need that exists in the market. Such a statement should come at the conclusion of the elevator pitch so it will remain in the mind of the investor. Use facts which are eye-catching items of numerical data since these can go far. At the commencement of the pitch, you should put forth a confident statement that your business exclusively is properly qualified to achieve success through meeting a specific market need. You will have competitors but they cannot and do not match your abilities.
As would be the case with any presentation, there is an art and science at work here. You need to be able to deliver your pitch without uncertainty or hesitation. Keep one thing in mind: you will never know when you need to deliver it and do so effectively.