Why Startups Should Create a Video Pitch
This blog post is one of a three-part series. Be sure to read the other posts in this series:
Tips for Self-Recording a Startup Video Pitch and Topics to Cover in a Startup Video Pitch.
Are you fundraising for your startup? Sending out hundreds of emails to angel investors and VCs, hoping a few of them open your pitch deck?
How do you get them to look at your company and set up that first meeting?
Create a video pitch.
“I would love to see more video in fundraising. I get decks all the time, which are interesting certainly in what people’s thought processes are. But I would tell you that if 85% of them sent me a video instead, I probably would answer 85% of those emails.”
Here are three reasons why a video pitch is key to startup fundraising:
A video pitch sets you apart from the crowd
A video pitch allows you to showcase story and passion
A video pitch aligns with growing industry demand
A video pitch sets you apart from the crowd
For the last few decades, founders have been submitting pitch decks to tell investors about their startups. These decks are usually in PowerPoint or PDF format, and run about 10-20 pages. Investor inboxes are flooded with decks, often getting thousands of decks a year.
Let’s face it. Startup fundraising is hard. And while there is more funding available from more investors than ever, there is also more competition among startups for less deals.
By creating a self-recorded video pitch, you immediately set yourself apart from the crowd. And it sends the message that you are innovative and resourceful.
“Record a short video (less than three minutes) in which you communicate who you are (or who the team is), what the idea is, and why you are doing it. . . .The pitch deck is efficient and powerful but everyone uses it and it does not allow you to stand out and be noticed in a sea of pitch decks.”
A video pitch allows you to showcase story and passion
A video helps bring your pitch to life. You can share your story and passion with investors in a dynamic way, which is important because storytelling is vital to the startup pitch, and perceived passion in the startup pitch has a positive influence on investment decisions.
Through video, you can make a personal connection with investors before you even meet them. Pitch decks are pieces of paper that don't do a great job of showcasing your team. A video adds that valuable human element to the pitch that is missing from a deck and other pitch materials, which is important because startup investors often say they invest first in the team.
“[Discussing what kills the startup pitch] When I can’t tell who is on the core founding team, and why they are special. Early-stage funding is often all about the people and groups they form. Yet, I get decks where there is no team slide, or worse, there is just a circle with a face that says ‘Betty / CTO’ or ‘Dan / Business.’”
A video also allows you to share more information in less time. This is important because professional investors spend very little time on each pitch (about 3-4 minutes per deck on average). In only one minute of video, you can communicate the worth of 1.8 million words. And through video, you can take advantage of the value of gestures and body language in communicating information, which has strong positive effects on the startup pitch.
A video pitch aligns with growing industry demand
Industry demand for pitch videos is growing.
Top accelerator programs have started to require or encourage startups to include a pitch video as part of their application.
“Statistically we’re much more likely to interview people who submit a video.”
In addition, prominent VCs have started to advocate for pitch videos.
“We need to switch to video as at least being a strong part of introduction. Decks are flat and impersonal. They lack passion. Let’s have more video pitches please!”
Video has overtaken text as the most popular form of content in the world. So why is startup pitching stuck in the 1990s? As more and more online content is consumed via video, we expect that video will be at the core of the next generation of the startup pitch.
How do I create a video pitch?
Now that you’ve decided you need a video pitch, where do you start? Enter Pitchtape. We make it easy for founders to create, share, and track a video pitch.
Here’s how it works:
Provide basic info about your startup.
Record a short video for each question we ask you.
Our technology does the rest.
Our platform guides you through the process of self-recording a video pitch with our startup-friendly video templates and easy-to-use recording and teleprompter tools. A self-recorded video is the preferred approach for a video pitch, as it better replicates a live pitch and makes it about you, not your video production or editing skills.
With Pitchtape, simply answer a series of basic questions in 10-20 second segments using your laptop or desktop computer. These questions are based on three core topics: what you’re doing, who you are, and why you’re doing it. These are the intangibles of a pitch that are brought to life with video. Our technology then stitches together all of the segments into one seamless video that you can share with investors and track engagement. It’s that easy.
Ready to take the next step in pitching your startup? Click below to create your video pitch for free with Pitchtape.