How should you structure a sales pitch? At what point in your sales pitch should you offer the deal? <\/p>\n\n\n\n
According to Oren Klaff, the author of Pitch Anything<\/a><\/em>, your sales pitch should consist of four phases. In the first phase, you introduce your pitch, yourself, and your idea. In the second phase, you talk about the numbers, the competition, etc. Once the specifics are clear, you offer the deal in phase three. Finally, in phase four, you create what he calls “hot cognitions.” <\/p>\n\n\n\n We’ll cover the four phases of Oren Klaff’s sales pitch structure, how long each part should last, and what you should say. <\/p>\n\n\n\n\n\n\n\n Your sales pitch structure should have the following four phases:<\/p>\n\n\n\n Your goal in Phase 1 of your pitch is to grab your target\u2019s attention.<\/strong> <\/p>\n\n\n\n To do this, you\u2019ll: <\/p>\n\n\n\n This phase will take 5 minutes. <\/p>\n\n\n\n Put your target at ease as soon as you open your pitch by letting her know that you will only be pitching for 20 minutes. \u201cLet\u2019s get started. I\u2019ve only got about 20 minutes to run this down, which will leave us some time to discuss it before I have to head out.\u201d<\/p>\n\n\n\n This lets her know she doesn’t have to commit to an hour-long presentation, which is what she\u2019s probably used to. It also lets her know that you have other places to be\u2014telling her croc brain<\/a> that you are popular, and by implication, valuable. <\/p>\n\n\n\n Keep to this time constraint. Twenty minutes is plenty of time to explain your idea. Remember that after 20 minutes, you will start to lose her attention anyway.<\/p>\n\n\n\n Give a brief overview of your relevant history. Only include your run-away successes. <\/strong>This is not an exhaustive review of your resume. A person\u2019s impression of you is based on the average of the information she knows about you, not the sum. Tell her one really great thing, and she\u2019ll think you\u2019re really great. Tell her one really great thing and one so-so thing, and she\u2019ll think you\u2019re kind-of great, but also a bit so-so.<\/p>\n\n\n\n Spend no more than 2 minutes on this. For example:<\/p>\n\n\n\n You must impress upon your target that your idea is new and emerging from current market trends that you recognized and are now taking advantage of. <\/strong>Your target comes into your meeting with an unspoken question about why<\/em> your idea is relevant and why she should consider it now<\/em>. By answering these questions before she\u2019s asked, you assure her croc brain that you have a deep understanding<\/a> not only of your idea, but of her concerns. Everything you say after this will have more meaning and will come across with greater urgency. <\/p>\n\n\n\n To give your idea or product a strong \u201cwhy now\u201d context, frame it against these three market forces. <\/strong>Ideally, include all three (though leave out any that aren\u2019t obviously applicable to your idea). <\/strong><\/p>\n\n\n\n Be aware of the trap of \u201cchange blindness.\u201d Our brains are trained to spot movement. We often cannot see changes if they happen without movement. For example, if you are inspecting two pictures for differences, you might not notice, say, a basketball net being swapped out for a ladder, because no movement was involved in the change. <\/p>\n\n\n\n Consequently, if you simply frame your idea as \u201cHere\u2019s how things used to be done, and here\u2019s how we do things now,\u201d you can\u2019t guarantee that your target will make the full connections without you drawing the lines of movement. <\/p>\n\n\n\n Instead, show your target how your idea is moving away from<\/em> current models and moving toward<\/em> a new way of operating. Focus on change<\/em>: the most relevant changes<\/em> in your market and beyond; how these changes<\/em> impact costs and consumer demand; and how these changes<\/em> have opened a market window. <\/strong>Framing your idea against the three market forces shows your target how the market is moving<\/em> to support your idea.<\/p>\n\n\n\n As an example of how this might work:<\/p>\n\n\n\n When introducing your concept, your goal is to position your idea as something novel but not <\/strong>so<\/em><\/strong> novel that it poses a threat.<\/strong> You want to grab your target\u2019s attention but not trigger her croc brain to feel anxiety.<\/p>\n\n\n\n You can reduce anxiety by introducing your concept using the following basic introductory structure, laying out the what, the who, the why, and the competition. It hits on these key elements without delving into complicating details, giving your target a clear mental road map for where your pitch is headed. All further details you give after this will now have context, and she can listen to your message in a more relaxed state, since you\u2019re not asking her to do the mental work of piecing the details together in a narrative. <\/p>\n\n\n\n The structure is:<\/p>\n\n\n\n For example:<\/p>\n\n\n\n While your goal in Phase 1 was to grab your target\u2019s attention, your goal in Phase 2 is to <\/strong>keep<\/em><\/strong> your target\u2019s attention. <\/strong><\/p>\n\n\n\n In this phase, you\u2019ll give a brief overview of the details of your pitch:<\/p>\n\n\n\n You are entering the part of your pitch most susceptible to the trap of analysis, cold cognitions, and boredom. As you introduce more details, you introduce more opportunities for the croc brain to object and cool its enthusiasm. Of course, this part of the pitch cannot be glossed over or skipped if your message is to be credible. The key is to be brief, competent, and efficient. <\/strong><\/p>\n\n\n\n You must also find a balance between simplicity and complexity. <\/strong>Remember that the croc brain gets bored with too much simplicity, but turned off by too much complexity.<\/p>\n\n\n\n In general, though, you don\u2019t need a revolutionary way to present this information. This is the brass-tacks section of your pitch and you\u2019ll come across best if you simply present this information competently and professionally<\/strong>. <\/p>\n\n\n\n This phase should take no more than 10 minutes.<\/p>\n\n\n\n Start with the budget. Budgeting is difficult and is a respected executive ability. Getting it right will set you apart.<\/p>\n\n\n\n Spend relatively little time on your projections. Projecting revenue is a simpler task that anyone can do. Your target will view your projections with a grain of salt anyway. <\/p>\n\n\n\n Keep in mind that any potential investor will expect you to paint your budgets and projections in an overly optimistic light. Distinguish yourself by not living up to these expectations, but instead delivering realistic numbers. <\/p>\n\n\n\n After hearing your budgets, your target will naturally next wonder who you compete with. Most people don\u2019t adequately describe the competition they face. When discussing potential competition, focus on answering these two questions:<\/p>\n\n\n\n The secret sauce is whatever prevents you from being a flash-in-the-pan company, shining brightly one day and passed over the next. It\u2019s the one thing that will give you staying power against your competition: the \u201cunfair advantage\u201d you have over others, and what your competitive edge is based on.<\/p>\n\n\n\n Don\u2019t take too long outlining this. As much as you may love this piece of it, and as special as your idea may be, remember the limits of your audience\u2019s attention span. <\/p>\n\n\n\n Your goal in Phase 3 is to offer the deal<\/strong>: describe to your target what benefits she can expect when she does business with you. <\/p>\n\n\n\n Be clear and concise. Tell her what you will deliver, when, and how. Explain any roles and responsibilities she will take on. Don\u2019t drill down into a lot of lower-level detail\u2014tangential benefits and side points\u2014but do include high-level details regarding what your target will get out of the deal. <\/p>\n\n\n\n Be brief, so that you can quickly move onto the next phase. <\/p>\n\n\n\n Phase 3 should take only 2 minutes. <\/p>\n\n\n\n Earlier, we discussed how you can use these frames during your pitch as a response to various oppositional frames from your target. At this point in your pitch, you will proactively use these frames in order to drive the presentation, by adopting them one after the other in quick succession. <\/strong>The idea is to deliver a \u201chookpoint\u201d: the point in your presentation where your target goes beyond mere interest and becomes actively engaged, and finally, committed.<\/p>\n\n\n\n The four frames are: <\/p>\n\n\n\nStructuring a Sales Pitch<\/h2>\n\n\n\n
Phase 1: Introducing Your Pitch, Yourself, and Your Idea<\/strong><\/h3>\n\n\n\n
Introduce Your Pitch: Assure Your Target It Will Be Brief<\/h5>\n\n\n\n
Introduce Yourself: Summarize Your Background<\/h5>\n\n\n\n
Introduce Your Idea: Use a \u201cWhy Now?\u201d Frame<\/h5>\n\n\n\n
Outline Your Idea: Highlight Key Elements<\/h5>\n\n\n\n
Phase 2: Discussing the Numbers, the Competition, and the Secret Sauce<\/strong><\/h3>\n\n\n\n
The Numbers <\/h5>\n\n\n\n
The Competition<\/h5>\n\n\n\n
The Secret Sauce<\/h5>\n\n\n\n
Phase 3: Offering the Deal<\/strong><\/h3>\n\n\n\n
Phase 4: Stacking Frames<\/h3>\n\n\n\n