Delivering An Effective Entrepreneurial Pitch @Wharton

WE Wednesday: Developing an Effective Entrepreneurial Pitch
WHEN: Wednesday, December 2, 12:00 – 1:20 pm
WHERE: SHDH 351
Presenter: Professor Laura Huang In this session on entrepreneurial pitching, you will learn how to hone your individual natural presentation style, how to organize an effective pitch for your startup, how to keep your pitch simple, yet comprehensive, and how to truly connect with an audience that may be composed of potential investors, customers, or partners. 

Assalamu'alaikum dan selamat bekerja,

Pada 2 Disember yang lalu, saya sempat menghadiri satu ceramah berkaitan bagaimana membuat 'pitching' yang berkesan di Wharton. Pembentangnya adalah salah seorang Penolong Profesor di Wharton, Prof. Laura Huang.  Saya biasa memberikan kuliah tentang 'Pitching' dalam kursus sarjanamuda dan sarjana. Kali ini nak menambah ilmu di dada tentang 'Pitching' dalam perspektif AS. Alhamdulillah, dapat beberapa ilmu dan teknik baru. Those Blue fonts/words are points taken from Prof. Laura Huang and the black fonts/words are from me.

Briefing by Jill Anick from WhartonEntrep

Pitching is really an art. It is about how to summarize 1,000 pages Business Plan

With necessary course/workshop/training/intensive training, we can learn and conquer this 'Art'. I always believe 'Training makes perfect'.

Every Wednesday, 1200 -120 pm is a  time for WhartonEntrep Workshop (WE Workshop)

The High Concept Pitch is the most important Pitch

Facebook for Professional --> Linkedin

•  Use name of other companies for your pitch...
• As for me, this is an important point. People have more knowledge on popular brands. When you associate those popular brands with your company, audience will find it much easier to understand your company/business.

The Elevator Pitch

• Pitcher needs to differentiate between 'show' and 'tell'. It is not to tell/give the info to the audience. Throughout your presentation, show to the audience how important is your business, why community/society need your business/product.
• Getting that message globally. The whole concept of your new product must be delivered.
• Get invited for some conversations. Don't deliver everything, and of course you have no time to deliver everything.
• Don't tell the technical things. This is common in pitching. People will get bored with technical details. Reserve technical things in Q&A session.
• Pitch is more important than Q&A Session. When your pitching create the importance of your product, display the market opportunities and audience have the interest, there will ask more questions in Q&A. Fail Pitching will receive no further question in Q&A session.
•  Try to minimize the uncertainties among the target audience. It means you must ready with your facts, figure and data. You must clear on the quantitative indicator of your business. Except for ideas competition, mostly, investor/business angels won't ask for technical and financial details. 

Two Sentence Pitch

• I like this two sentence pitch. It was done directly, hands-on approach. 
• Audience were encouraged to write two sentence pitch on their own words and then presented to the class.
• Some tips, don't be too secretive, investors don't like that. But in Malaysia, I need to remind, we need to be conservative...he3..Malaysia cultural and entrepreneurship ecosystem are different from US.
• Why it is important? You need to get the attention of the audience, why your product/business is important. I always stressed in my class in Malaysia, do not develop similar business!!! But 90% of my students developed similar business. You need to think analytically and critically how to differentiate the business.

For my readers who want to try this at your class/university, just fill-in the blank...

For________________________(your target audience/this is related with your segmentation and target market/target customer)

who_______________________ (has a need/what are the needs you are trying to fulfill?)

the________________________ (Product name/your business)

is a ________________________(product category/business types)

that ________________________(offers a key benefits/In my class in Malaysia, I always mentioned this things, your key benefits, not your product features!!!)

unlike ______________________(competitors or substitute/mentioned your competitors/substitute products)

we ________________________(are different in a key way/I always telling my students about the needs to differentiate/distinguish your business with the other competitors. Of course most students found this was difficult as they didn't have sufficient experience in working environment/entrepreneurial experience)

This is the example given by the speaker

This student was trying his two sentence pitch.

The Investor Pitch

• How much you asking for?

Be clear on the financial issue. How much money you invested on your own, this will reflect how much risk are you willing to take. How much money come from equity financing and also from debt financing? Many people prefer debt financing over equity financing.  My suggestion, go for equity financing rather than debt financing.   

• What really about you that you are really different? 

I always telling my students, you need to be different, even you have no intention to become an entrepreneur. My Vice Chancellor, Prof Datuk Dr. Noor Azlan Ghazali used the term, 'red umbrella'. In Malaysia, it is estimated that 40% of every cohort are going to have tertiary education. It means that, in 10 people from similar year of birth, four people will have at least diploma! During my time, only 10% have the opportunities to go to universities. Even, we don't have many universities and colleges as now.  Currently, Malaysia has 20 Public Universities (excluding three Premier Polytechnic that are offering first degree already) and more than 40 private universities, including foreign universities branch campus in Malaysia such as Nottingham University and Curtin University. Further we have more than 400 colleges with more than 100,000 international students. Higher education landscape in Malaysia has change a lot since 1990s. Either you/we change or we are left behind and becoming irrelevant one day...

• What are the biases that people have over you? (Gender/ethnicity/background???). Investors/Business angels may have bias, selective perception, stereotype or halo effect on you and this may affect their assessments.  Do more readings on what does it mean by bias, selective perception, stereotype or halo effect.

• 80% of investor decisions were based on gut feelings, 20% based on Business Plan/market opportunities. My opinion, don't use your gut feelings if you have no knowledge, exposure, experience, skills in the respected areas. In Islam, always perform Solat Sunat Istikharah even you calculation, analysis, risk management show the business is viable to venture. Always depend to Allah in what ever we do.

• How are you going to execute it?

You need the details of 5W &1H, the flow chart, milestone, Gantt Chart etc. Have more readings on 'management tools'.  

• 'Chemistry' between investor and entrepreneur is important

 This is a difficult topic to discuss. Chemistry can exist or be established because of personal background, business/working background, similar hobbies/interest, political preference, same values/principles, same objectives/goals etc...

• Why should you come to me?

 Why your business create distinguish product with unique value proposition, able to generate sufficient income and give sustainable profits to investor?

• Why is our solution is better?

 This is one of the most difficult part to do/show to our investor.  If you can't show this, why shall we invest in your business? You need the data and statistics, logical impression why your solution is better.

Who you are selling to? 

You need the right combination of market segmentation and target market with the right alignment with your positioning strategies.   

• Capitalize on 'inefficiency' in the market.

 This is a long topic to discuss. I need new posting to elaborate on this. Jumpa lagi, wassalam.