The most common pitch deck pitfalls and how to avoid them | EU-Startups

The most common pitch deck pitfalls and how to avoid them | EU-Startups

Time Stamp: May 3, 2024 5:03 AM
Source Node: 2568811

For startups, a pitch deck is the most important tool for securing funding. They are make or break for a business. When done well, they can make your solution shine and pique investors’ interest. If they miss the mark, it is unlikely that you will be able to raise the funding needed to scale your company. Crafting the perfect deck needs a few quintessentials. I want to take this opportunity to list the most common mistakes and share the solutions to these problems. 

Pitfall 1: Forgetting the wider story

A good pitch deck is like a good film or book. You need a hook to build up tension, a conflict or a surprising turn to capture your audience’s interest. The wider story gives your audience the chance to understand why your pitch matters to them. Jumping straight into your achievements or your technology will most likely mean that you will lose your audience’s interest.

Instead, develop a clear story arc. Often, pitches for companies will follow well-known patterns such as a quest or overcoming a monster. In Harry Potter, the protagonist sets out on a long journey to fight black magic. A similar story can also be told about your company.

But beware your WHY needs to be specific. Just saying “climate change is the challenge of our lifetime” won’t cut it. Moreover, I encourage you to reflect on whether the messages you are sending really resonate with your audience or only seem relevant to you. 

Pitfall 2: Excluding your value proposition

We all have a limited amount of time at our disposal. This is especially true for investors who often skim through a high number of decks every day. Therefore, you need to be crystal clear on your value proposition.

Of course, you know your value proposition inside out. You offer benefits A, B and C to your customers. But do they really stand out? Are they well-defined? And are they unique enough so your customers know immediately why they should buy from you and not someone else?

In order to get closer to the answers to these questions, you should address a few key points. Whose problem are you solving? What’s the solution and what are your USPs? Be very specific and clear about your ambitions and plans at this stage. Crystallising the value proposition takes time but pays off and helps your pitch and overall communications. It allows you to stand out from the crowd and offers you the chance to craft unique messages.

Pitfall 3: Information overload

We all have that friend. When asked “How are you?”, they will give a 15-minute TED Talk, including a detailed analysis of the latest sporting events in a league of your choice as well as the latest update on Netflix’s most recent releases. Was that the answer to the question? Maybe. 

This happens in the world of pitching too. I vividly remember a situation where a pitch deck featured 20 slides, but the founder had only five minutes to present them. Although designed beautifully, the slides were overly crowded with information. A more concise version would have improved the pitch dramatically. 

You have to earn your audience’s attention. Don’t make them work too hard for this. This means you need to reduce the amount of text on your slide decks, and use clear headlines and accessible graphs. This makes it much easier for your audience to cut through the noise and engage with your story and value proposition. 

Pitfall 4: No consistency

There’s a fine line between repeating the same message in different forms to hammer it home and confusing your audience by sending mixed messages. To use the example again, when you ask a friend, “How are you?”, you expect a consistent set of messages that all tell you the same thing – either that they are doing well, or not so well. You wouldn’t expect a confusing collection of stories covering the whole spectrum of good to bad. That doesn’t answer your question.

You need to implement this in your pitch deck too. In my experience, one of the most common pitch deck downfalls is when they consist of seemingly random slides. In these situations, it feels like a company hasn’t invested the time and energy into crafting and telling its story. 

You must dedicate time and focus to perfecting your pitch deck – it is your key communication tool with investors, customers and other stakeholders. Make sure your messages combine to tell a singular, powerful story. Additionally, use a consistent set of slide layouts, fonts, text sizes, and spellings. A second pair of eyes, sometimes outside of your core team, is helpful to receive that feedback.

Pitfall 5: Over-reliance on templates

Yes, templates are super helpful to guide you and provide structure. Of course, pitch decks are inherently similar, as we want to access a business or product, and need certain information for that. 

At the same time, a template should only act as guidance – not as your absolute truth. Tailor it so that it fits your business and your needs. There’s no harm in being inspired by a template, but don’t rely on it too heavily. Make sure every slide is relevant to your business and is accurate to your story.

To summarise, your pitch deck can be elevated by examining a few key areas. Before anything else, determine your story and make this the heart of your pitch. Then, craft your value position at the forefront of your pitch. Finally, make your deck as concise as possible, tailored to your business and consistent in design and style. If you manage to avoid these pitfalls and employ this advice, you are well on your way to creating a deck that resonates with your target audience.

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