Elevator Pitch

The concept of the rise return is borne from the idea that if you met an investor on an airlift and only had 30 seconds to pitch your business line, what would it sound like? In position 30 seconds is about as a good deal attention as you be going to get from an investor to begin with, so thinking in that snip frame makes a lot of sense. The formula for the perfect Elevator Pitch involves tercet ingredients the bother, the termination, and the Market Size. The Problem Every spacious company starts by solving an in all important(predicate) line of work.The more than accurately you articulate the Problem, the more rich the root will be. Think about how NetFlix. com understand the problem of having to go to the video store in order to consider a delineation. No bingle enjoyed having to travel spinal column and forth to the video store for a stock splital, nor did they appreciate salaried late tips (which we all take up d ane, and hate ) NetFlix solved the probl em of n of all time having to visit a video store to rent a film and never having to pay late fees again. It was a sure problem that everyone could identify with (much to the chagrin of Blockbuster The Elevator Pitch has three main ingredients The Problem, The rootage and The Market Size. With only the Problem in hand, our Elevator Pitch would start like this Going to the video store is a pain. People dont like traveling back and forth honest to rent a movie and they hate paying late fees even more. Whats important about this explanation of the Problem is that everyone disregard relate to the problem. The more relate- fitting the problem, the more likely you are to get both(prenominal)ones attention to it.Think about ways to turn your Problem so that anyone you meet could easily understand it. Its more important that the problem is relate-able than complicated. flat lets find a solution. The resolving one time youve articulated the Problem your next stride is to think a bout how your Solution fixes that Problem beautifully. Sticking with our NetFlix example, heres how we might articulate our Solution NetFlix provides customers with a huge selection of movies that they can order right to their verge and never have to pay a single late fee for. Notice how the Solution ties directly back to the pain points of the problem, namely the occurrence that you dont have to leave your ho expenditure and you dont have to pay late fees. A good Solution is a direct reflection of the Problem. As a side note, a Solution with no Problem preceding it is a lot less valuable. Take a second look at the Solution for NetFlix above without the Problem before it, and think about how much less exciting that Solution is without understanding the Problem that it solves. The Market SizeSolving the Problem beautifully is nice and all, but if the Market Size of the Problem isnt turgid enough, youre not likely get investors very excited. The Market Size explains unspoiled how b ig and widespread the market place is, which implies how big of a company you can build by solving that problem. Investors want to know youre solving a painful problem in a giant market. If you can liquefy those two factors, youll generate a lot more interest. Watch what happens when we constrict the size of NetFlixs Market Size by just adding a hardly a(prenominal)er words to the Problem Going to the video store to rent the movie Fletch is a pain. People dont like traveling back and forth just to rent Fletch and they hate paying late fees even more. We havent even explained the Solution yet and already youre credibly thinking How big of a business could you build on helping populate rent Fletch? I besotted hey, its a good movie, and probably a seminal work by Chevy Chase, but cmon Now lets try that again, only this time well enjoyment a real Market Size For over 90 zillion Americans going to the video store is a pain.People dont like traveling back and forth just to rent a movie and they hate paying late fees even more. Notice how with just a small variety we gave you a real good indication of how big this Problem rightfully is. 90 million Americans represent a lot of dollars played out. Even if you dont simply understand the problem, you can certainly understand that 90 million people probably add up to a pretty big market opportunity. Picking the right Market Size is about identifying a ploughshare of the market that is likely to buy your product.Its not everyone thats ever seen a movie its everyone that is currently rent movies. Maybe its less than that if some percentage of those consumers dont use the Internet. You dont need to have the worlds largest market, but be mindful of going afterward a market that is obviously too small (like the people renting Fletch) for fear of turning people away before they even have the opportunity to hear you out. practice it Together, then Pare it Down Now weve got a nice understanding of the Problem, Solution and Market Size. The next step is to distill that explanation down to an easy-to-remember ite-sized sound bite that still covers all the bases. Lets try a shorter version NetFlix helps over 90 million Americans parry driving to the video store by delivering movies directly to their doorstep without ever paying late fees. In one sentence weve tackled the Market Size, Problem, and Solution in a way people can easily remember. approximately importantly, in a way you can remember when youre explaining what you do a million times over In many cases, youll be well-off if you get just enough time to get this one pass across, so refining the message is key.Dont worry about getting it right the first time. Pitch it a few times to strangers, get some reactions and modify. It takes some practice. The Tag barrier Distilling the Elevator Pitch down to one sentence isnt always enough. Youll often need something thats just a few words in order to arm others with an easy explanation of your company. Youll in person remember that 90 million Americans have a movie lease problem and that you help people avoid late fees. No one else will. Investors wont remember more than the general concept.Your advisors who mention you at cocktail parties wont be able to recite your beautiful pitch. You need a Tag Line. The Tag Line is an explanation of what you do without the details. Its how people reference you before getting into the pitch. Its how you probably remember close to of the products you use today. Heres a Tag Line for Netflix ring mail Order DVD Rentals Notice how simple that is? Thats the point. In just quadruple words it explains what NetFlix does, without going into the details of the problem it solves or how big that problem may be.Take some time and really refine your Tag Line. Put it on your Web site, your business card and all of your collateral items. Youre construct a brand after all, and your Tag Line is what makes that brand memorable. thick Your Elevator Pitch may be one of the single most important tools you use to communicate your brilliant idea to the world. Most great pitches you hear, like famous advertising slogans, are the result of countless hours spent refining, gathering input and refining some more.