Pitching your business to an Investor and the Market
Knowing your audience is an important step in any start-up or any business for that matter. You need to think about who you are trying to sell to and that means taking into considerations age, gender, hobbies, location and any other traits that may be pertinent to wanting or needing to buy your product. All this information is crucial to helping you know where to direct your money in marketing strategies.
For example, if you are trying to launch a new type of Scotch into the market, you can automatically rule out anyone under the age of 21(In the USA), and usually you will be trying to appeal to more professional individuals in the workforce, so advertising it with classy or rustic, manly elements will help sell that brand better. Advertising like a kids’ juice brand will not help you sell that Scotch at all and will most likely give it an unappealing image. Also, if you advertise properly and make it seem high-class, people would be more willing to dish out their cash for the product.
Another example is launching a third-party XBOX controllers. You are limited to the people that own the console, as only XBOX gamers would have some use for the controller. So instead of advertising to everyone out there, if you could get a spot in a gaming magazine or a gaming store, that would be money better spent.
Once you figure out who you want to appeal to, it is then time to figure out how you want to appeal to them. There are many different mediums varying from paid to free, and unless you have a plan set and just know what you want, it can pay off to experiment a little. Some examples of paid advertising would run along the lines of TV commercials, or print ads. Free advertising would be more along journalist interviews, social media and gatherings of any sort, you can always hand out fliers or just spread through word of mouth.
Finally, summarize your pitch. When you are trying to appeal to people on the go, you won’t have their attention for more than 3 minutes, people have places to be. If you can successfully summarize your product in 2–3 sentences, not only will you deliver a complete pitch with no gaps, but you will display an understanding of your product that comes across really professional. Bottom line, just know your product and know what type of people will be using it. This information used properly will really help you achieve a perfect “elevator pitch.”