The Elevator Pitch

Pitching in 30 – 120 Seconds

What is an Elevator Pitch?

Context of Entrepreneurship

• A

business-oriented

, purposeful verbal

message

as

fast

as a ride in an elevator (30 120 seconds) in

understandable language

– also for technology areas • A

concise, carefully planned, and well practiced

“

answer

” about yourself, your business, your firm, your project etc. • A situation with an

opportunity to sell

your company’s identity and

set yourself apart

from other entrepreneurs W. Runge 04/2008 2

What is an Elevator Pitch?

Business Plan Context

Elevator Pitch: a

back-of-the-envelope business plan Elevator Pitch:

• The

problem (need)

you are going to solve (satisfy) • Your

solution

, your

answer

• Your

value proposition

W. Runge 04/2008

20 Minute Business Plan Presentation

3

Elevator Pitch Situations

• All conceivable constellations to initiate

linking investors (backers; “sponsors”, decision makers) and entrepreneurs (intrapreneurs)

• (A startup) searching for

financial backing

or

cooperation

partners • Meeting someone (accidentally or intentionally) at … – Competence

Network Partnering-Events

– In firms:

Meeting a “big boy”

in the canteen, plane, in the lobby of an airport, … W. Runge 04/2008 4

You only have one chance to make a first impression!

W. Runge 04/2008 5

Approach

• Give people a “

hook

” by talking about something that

really interests them

• It must be

succinct

, to the point • Focus on one

simple

message • Make it simple and

easy for people to contact you after the pitch

– give them an incentive to seek you out • For investors: It must be greed inducing (inducing expectations of big profits) W. Runge 04/2008 6

Presenting: The Rule of Three

•

The “Hook"

Get

a

ttention and

i

nterest •

The Subject

Explains and proves your point with p

assion

(investors expect energy and dedication from entrepreneurs) Should induce

d

esire (“greed inducing”) • • • Use the Concept Summary as a framework

The Close

Call to

a

ction or demand for reaction W. Runge 04/2008

AIDA!

7

An Elevator Pitch Template

• • • •

WHAT

you do

WHOM HOW

you serve you deliver

BENEFIT(S

) for clients • EXAMPLE (“What are you doing?”): • "I [WHAT: helping verb] [WHO: target market/ideal customer] [_______] [_______] [_______] [_______] [HOW: deliver what the customer wants] [BENEFIT: key benefit or wanted result]" W. Runge 04/2008 8

USP Template: Wording

USP (Unique Selling Proposition) – Template

: • Sentence #1

For who the that

(target customer) (statement of the need or opportunity), (product/service name) is a (product/service category) (statement of benefit).

• Sentence #2

Unlike our product

W. Runge 04/2008 (primary competitive alternative), (statement of primary differentiation ).

9 Slide 9.23; Ref. Dorf & Byers, p. 250

USP/Elevator Pitch: Other Uses

• If the startup/NTBF is launched and has a Web site, a USP should appear on the firm’s Web site under the headings – Home, – Company or – About W. Runge 04/2008 10

Call to Action

• Based on provided material create and present an elevator pitch Based on the template (Slide 8) • One lasting 30 (- 45) seconds • One lasting 120 (-150) seconds (start with this one and boil it down) Based on the USP-approach (Slide 9) • one lasting 100-150 seconds W. Runge 04/2008 11