The Elevator Pitch

1. The Elevator Pitch Modified from: 2006 Kirstie Chadwick Director

2. What is an Elevator Pitch Anyway? A short, simple description of your company or business idea that your grandmother could understand by the time you ride up three floors in a typical elevator.

3. Very Important Point • You are NOT pitching a great idea, team or product (especially in an elevator!!) • Remember, an elevator pitch is not a sales pitch • You ARE pitching what your business will do for investors and for customers • SO, pitch how your business will solve a tangible problem that exists TODAY!!

4. Example • WRONG: • We are the smartest telecom guys in the world and we are gonna install high bandwidth wireless telecom infrastructure in really tall downtown buildings in big cities all over the world • BETTER: • We enable you to use your cell phone anywhere inside every building in all major U.S. metropolitan areas

5. Elevator Pitch “Must Haves” • Hook: statement/question that immediately piques interest of recipient • Passion: if you are not excited about your business, no one else will be either • Request: Ask recipient for permission to call, a referral to others, or feedback • Short: assume you have less than a minute, and sometimes only time for a few sentences

6. Elements of the Pitch • The Hook:pain point or heart grabber • Brief description of product/service • Brief market description • Brief description of competition • How you are different from other solutions • How you will make money

7. The Hook • The hook should simply ID the pain you solve • We make Napster legal • Have you ever had your cell phone fail inside a building? • Imagine a rubber coating that conducts electricity…. • We will change the way people invest their money • Tag lines can be used as a form of a hook • GE brings good things to light • NY Times – “All the news that is fit to print” • UCF Venture Lab – “Where education is a venture”

8. The Product Pitch • KISS – Keep It Simple, Stupid • Kill the geek speak (e.g., limit technical talk) • Focus on customer benefits, not technical benefits • Tell a story that paints a personal picture for your audience

9. The KISS of the DevilToo Much Information • WRONG: Our technology is the first integrated and automatic book scanner that will scan and digitize bound documents at a speed of 1,200 PPM at a fraction of the cost of existing solutions based on a disruptive digital imaging technology initially developed at Bell Labs and protected by 12 patents. • BETTER: We capture the future of knowledge by seamlessly digitizing physical libraries at a very low cost.

10. Geek Speak Is Boring… • WRONG: We provide non-penetrable intrusion detection for digital voice, fax and wireless communication devices with our 2048-bit Hellman encryption algorithm that is combined with the latest 168-bit Hellman DES. • BETTER: We allow you to communicate safely on a broad range of digital devices.

11. Customer Benefits, Not Technical Benefits Technical Benefits • Seamless integration • Scalable, adaptable • Secure networking • Improves network performance SO WHAT??? Business Benefits • Increase your revenues • Increase your efficiency • Reduces your risk • Cut your costs by 30%

12. The Market Pitch – Tie to a Burning Need!! • ID the problem or need you solve in 1-2 sentences • We allow any cell phone to work anywhere inside buildings that utilize our wireless network solution. • Reference a brand-name customer that is using your product (or that has expressed interest) • The FAA has determined that we are the only security system that is able to rapidly move people through security check points while exceeding their security needs • Quantify your market size with numbers that are from a trusted 3rd party source • According to the American Hospital Association, there are 4,000 hospitals in the U.S. that need the ability to visualize MRI images in 3D

13. Know Thy Competition & Acknowledge It Microsoft You

14. Neutralize Your Competition • Pitch 1-2 Unique Differentiators that paint a picture • We use the same insulin compound provided in Merck’s drugs, but we allow children to take an oral dose instead of a shot • There are many flavors of PDA keyboards, but ours is the only one that folds into the PDA device when it is not in use • While there are many wireless router boxes on the market, ours is able to send signals through cement and steel walls

15. So, How Will You Make Money?(Optional – depends on time and uniqueness of business) • Simple description of your business model • Recurring revenue models are ideal • We will install the wireless network in a building at no charge, and then charge a usage fee for all calls that we carry • We provide free access to our medical information website for consumers, and charge advertisers for each exposure • Our portable fuel cells will be installed in laptops, and we will receive a royalty from Dell for each installation

16. Why Invest in You?(Optional – depends on time and uniqueness of business) • Fact – investors invest in people, not products • Our founders have over 20 years of combined experience in the telecom industry • Our board includes two top executives in the restaurant franchise industry • Our technical staff has a combined portfolio of over 30 medical device patents • We just recruited John Smith to run our sales team. You may recall that John took Google from $3 million to $100 million in sales in two years.

17. Will You Help Me? • Always end with a request: • Could I follow up with you at a more convenient time to present our company in more depth? • Given your background, I would greatly appreciate your feedback. What do you think of our business model? • I know you have a lot of contacts in the energy utility business. Who would you recommend for us to ask to join our board? • Could I have your card? I would like my CTO to follow up with you on your technical questions.

18. Top 3 Elevator Pitch Mistakes • Focus on selling a cool product/idea instead of on the viability of the business • Take too long to get to the pain/problem that you are solving • Don’t engage the recipient via questions that request them to engage with you

19. Elevator Pitch: An Example • Have you ever had your cell phone fail inside a building? • We provide a communications network that enables any cell phone to work anywhere inside all types buildings, while ensuring your communications are secure. • The FCC has determined that over 60% of the 5 million commercial buildings in the U.S. inhibit wireless or cell phone communications from within. The percentage is even higher in international markets • While there are many vendors that provide internal wireless networks, we are the only vendor that enables communications to penetrate steel and other high density construction materials, which significantly reduces the cost of installation • We will install the wireless network in a building at no charge, and then charge a usage fee for all calls that we carry on our networks • Our founders have over 25 years of design experience in communications systems, and Bob Marriott has recently agreed to join our Board of Directors. • It is my understanding that you invest in young communications companies. Can I follow up with you next week to discuss our business in depth?

20. Questions?