The 5 Audiences Entrepreneurs Address As They Pitch a Business
One of the most important skills for an entrepreneur to learn is how to deliver a compelling and convincing pitch. Most people first think of the elevator pitch in relation to entrepreneurship. Because the elevator pitch lasts only a matter of seconds, it is especially difficult to effectively deliver. Entrepreneurs also need to master longer forms of pitches, especially as they begin to discuss their project in front of investors. The elevator pitch makes people interested, but the longer format is what really convinces people that investing is a wise choice. Importantly, pitches are not always aimed at investors. Mastering the pitch means learning how to vary your approach based on who is listening. The potential audiences include:
1. Customers
Most people do not think of their marketing and advertising in terms of a pitch, but this is exactly what it is. Your pitch to customers is one of the most important, as it is what clinches a sale. Every time you interact with a customer, even after a sale is made, you should think of it in terms of a pitch. Existing customers are an invaluable source of feedback, but you need to encourage them to speak honestly about their experience. Learn how to push them to give difficult feedback, as most people prefer to give good rather than bad news. Customers may hesitate to provide critical feedback, but a pitch can make them feel more comfortable. Explain that you want the critical feedback to make the services and products better. Of course, you also need a pitch for potential customers that explains how your product or service can make their lives easier.
2. Employees
As your company grows, you need to recruit help. Entrepreneurs should have a pitch they give to potential employees to make them excited about the prospect of working for their company. This pitch should talk about your vision for the company and focus on how the potential employee can grow along with the organization. With this sort of pitch, it is often helpful to tell a story and show the potential employee their role in it. While potential employees want to know about compensation and benefits, they also need to feel like they are part of a larger movement. When someone feels like they can make a real difference by joining the company, that person is more likely to ask for more information. Of course, you will also need to pitch your existing employees on new projects and the direction of the company. The key is inspiring people and making them excited about your vision.
3. Competitors
You may be surprised to think about the prospect of pitching competitors, but this can be an important part of success in business. As Sun Tzu explains, you need to keep your friends close but your enemies even closer. Pitching competitors is an interesting prospect because you need to hide many of your cards while finding some common ground. Finding this common ground can help you carve out your distinct niche or even figure out a mutual strategy for dealing with a common enemy, such as a larger corporation. This pitch may be one of the trickiest to craft, as you need to open the lines of communication while maintaining a strategic position.
4. Partners
Over time, you may need to form strategic partnerships to help your company grow. Pitching partners can prove especially difficult, as you need to walk the line between sales and investment. The pitch will ultimately depend on the type of partnership you want to form. For example, if you are trying to partner with a larger corporation, you will need to convince that organization how your company can improve outcomes, whether that means reducing costs, increasing sales, or simply improving internal processes. One of the keys to pitching a partner is figuring out the right person to speak to, as pitching everyone you meet will prove exhausting. Once you identify the right person, make the pitch focused for that particular partner. Pitch to the vision of the partner rather than focusing on your plans for your own company.
5. Investors
As mentioned, investors are the audience that most people consider when they think about a pitch. Investors need to know a lot of information, and it can be easy to get lost when crafting a pitch for them. Ultimately, remember that investors can always ask questions, and your job is to pique their interest. Talk about the problem you see in the world that your service or product is trying to address and then show that there is a real market opportunity for it. Be sure to mention your team and any metrics you already have. This pitch will evolve over time as your company grows and you enter a new phase. Always think about how you can incorporate new information to make your pitch even stronger. Also, just as with partner pitches, think about the background of the investor and try to appeal to it as much as possible.
