Pitch deck – what is it and how to prepare?

A pitch deck is a key tool for any startup seeking to win investment. How do you create a compelling presentation and what is needed to get investors’ attention?

In this article you will learn:

• What is a pitch deck?
• What goes into a pitch deck?
• How to prepare a pitch deck?
• What mistakes can be avoided in a pitch deck?
• What can be gained from a pitch deck?
• What are examples of well-known pitch decks?

Pitch deck – definition

A pitch deck is a presentation, usually in the form of slides, whose main purpose is to present and promote a project, product, service or company in front of potential investors, customers, partners or other interested parties. Its purpose is to build confidence in the presenter, the team and the venture concept itself. In addition, it presents the market potential so that investors and partners can understand how big the target market is and what the growth prospects are. It is also important to point out the features that differentiate the chosen solution from the competition. It is often used by startups in meetings with venture capital funds or business angels to convince them to invest in their idea or company.

A pitch deck is a presentation intended for potential investors, presenting the vision, value and strategy of a company or product.

Definition of a pitch deck

Elements of a pitch deck

Each pitch deck should be tailored to the specific audience and situation, but the aspects listed below are the basis from which to start creating a presentation. Here are its main elements:

Introduction

During the brief introduction in the pitch deck, it is important to focus on the key aspects of the person or team behind the project. The presentation should include the main qualifications, experience and motivation of the people involved. The general characteristics of the project should also succinctly describe the main idea, the purpose and the value the project brings to potential clients or the market. This allows the audience to understand the context and builds confidence in the presenters.

Problem

A concretely articulated challenge highlights how your company or product addresses an existing need. Identifying a real problem increases the chances of investor or partner interest because it demonstrates that the solution has a specific application and addresses a specific market pain. This is the basis for demonstrating the value of the product and justifying its existence in a competitive environment.

Solution

Once you have identified a market problem, you need to present a clear and compelling solution. In this segment, you present how your solution works, what technologies it uses and what benefits it brings to users. By demonstrating unique features and functionalities, you highlight the added value of the product. A properly presented product or service description allows people to understand why your solution is the best and what advantages it has over competing offerings.

Business model

In a pitch deck you present how your product or service translates into profits, so you need to include the following elements:

• A pricing strategy tells you what prices you are going to set and what any promotions or discounts will be.
• Sources of revenue can range from direct product sales, subscriptions, licences, to advertising or partnerships.
• The planned distribution channels show how you intend to reach your customer – this could be online sales, through distributors, retail shops or other methods.

Identifying these aspects allows you to identify opportunities to scale your business and potential sources of growth.

Target market

Market analysis allows you to assess the potential of a particular market and understand the place of your business or product in its context. By indicating the size of the market, you refer to the number of potential customers or sales units. Value, on the other hand, allows you to assess how much money is circulating in a particular segment, which gives you a picture of potential revenue. Customer characteristics allow you to learn about your customers’ needs, buying behaviour, as well as demographic characteristics and preferences. This allows you to effectively tailor your offer and marketing strategy and identify which market segments are most attractive to your business.

Marketing strategy

The description of your planned sales and marketing activities gives you an insight into the marketing strategy your company wants to use to reach its target market. It includes information about the communication channels you intend to use, such as social media, online advertising, email campaigns or industry events. It also describes your planned activities in the areas of content marketing, PR or working with influencers. The overall aim is to present a coherent vision of how you intend to convince your target market to use your product or service.

Competition

Competitor analysis becomes a key tool to identify gaps, missed opportunities and potential threats. When discussing competing products, it is worth noting the main features, pricing, marketing strategies or target area. This does not change the fact that the most important objective of this section is to highlight the unique features of your product or service. Highlighting the unique aspects of your solution will help convince potential investors or partners of your venture.

The team

Key team members should be introduced in the context of their qualifications, extensive industry experience and specialist skills. Pointing out their past achievements, participation in successful ventures or specialised training emphasises the value of the company’s human capital. Highlighting how their individual competencies will contribute to the success of the project can convince investors of the credibility of your idea.

Finances

Indicating past revenues, future projections, current costs, profit margins and profitability ratios allows investors to assess the financial sustainability of the venture. The ratios not only reflect the current state of the company, but also indicate its growth potential. For investors and business partners, such data are crucial as they show whether the company is well managed and likely to succeed in a competitive market environment.

Current status

By presenting your achievements to date, such as prototypes developed, customer contracts concluded or concrete sales results, you demonstrate real progress and commitment to the project. This demonstrates that your venture is not just an abstract idea, but a real developing initiative. By indicating concrete progress, you build confidence and show that you are capable of delivering on your objectives and achieving tangible results.

Asking for investment

When presenting in front of investors, one of the key moments is to outline your specific funding needs. By clearly stating how much capital you need, you give an indication of the scale and scope of your venture. By indicating what shares in the company you are offering in return for the investment, you set out the terms of the partnership. It is also important to detail what the funds raised will be used for. This will allow investors to accurately assess the proposal and the risks associated with the investment.

Preparing the pitch deck

When preparing your pitch deck, it is worth bearing in mind a few key aspects:

• Consider who you are targeting with your presentation. Are they investors, clients or business partners? Knowing your audience’s expectations will help you better tailor your content.
• Avoid excessive use of specialised or industry-specific language and keep your message simple and understandable.
• Your presentation should tell a story – from identifying a problem, to presenting a solution, to your plans for the future.
• Ensure your presentation is aesthetically pleasing and professional. Use a consistent colour scheme, fonts and graphics.
• Show what makes your solution stand out from the competition.
• Present concrete figures that support your achievements and plans.
• Talk not only about what you offer, but more importantly about the benefits it will bring to your clients or investors.
• Remember that the pitch deck should not be too long. Focus on the most important information and avoid unnecessary fragmentation.
• If possible, add interactive elements to your presentation, such as short films or animations.
• Prepare questions that may come up after the presentation and be prepared for them.
• People remember stories that move their emotions. Try to weave elements into your presentation that will build an emotional bridge between you and the audience.
• Avoid over-complicated graphics or overloaded slides. A clean, simple design increases readability and focuses attention on the content.
• Make sure all information provided is true and up-to-date. Errors can undermine your credibility.
• Investors often invest in people, not just ideas. Show why your team is the right fit for the project.
• Present your pitch deck to a trusted group of people and ask for their feedback. Their feedback can help you catch some shortcomings.
• Pointing out potential challenges, but also ways to overcome them, shows that you are realistic and aware of the difficulties on the road to success.
• Remember to end your presentation in such a way that it will stick in the audience’s mind.

Mistakes in the pitch deck

When preparing a pitch deck, many mistakes can be made – one of the most common is to overload the presentation with information. Instead of focusing on the key points, some creators cram in too much detail, causing the audience to lose interest or get lost in the content. Another problem is the lack of a clearly defined message or purpose of the presentation. If the audience doesn’t know exactly what your presentation is about or what you want to achieve, they can quickly lose interest.

Some focus solely on the features of the product or service, rather than emphasising the benefits to the audience or investors. This can make the presentation seem dry and unengaging. Also, neglecting the visual side of the presentation, e.g. by using illegible fonts, poorly chosen colours or inconsistent design, can distract from the main message.

Inaccurate or outdated data is another potential problem. If you present information that is incorrect or outdated, you may lose credibility with your audience. It is also a good idea to avoid overly technical language unless you are sure your audience is familiar with it.

Benefits of a pitch deck

With a pitch deck, entrepreneurs can accurately present the idea of their business, making it easier to communicate with potential investors, partners or customers. It is also a great opportunity to verify and systematise their thoughts about the project, which allows them to better understand its strengths and weaknesses. Preparing a pitch deck also forces you to analyse the market, the competition and your own product or service in greater depth, which can lead to new, helpful conclusions.

Good presentation preparation is also an opportunity to build confidence. If a potential investor or partner sees that you have taken the time to carefully analyse all aspects of the project and can present them clearly, they will be more confident in your professionalism and commitment. A pitch deck can also become an excellent marketing tool. You can quickly and effectively share it with a wide range of interested parties, expanding your network of contacts.

Examples of pitch decks

In recent years, many well-known technology companies have used pitch decks to raise funding. Some of these presentations became well-known because they were made available to the public after the companies were successful. Here are some examples of such presentations:

• Airbnb – one of the most well-known pitch decks. This presentation focused on the company’s vision, the market problem and how Airbnb intended to solve this problem. It also presented information about the market and competitors and outlined the company’s growth strategy^[1].
• LinkedIn – their pitch deck included the company’s mission statement and details of their market strategy, revenue model and growth plans^[2].
• YouTube – this company’s pitch deck focused on explaining why online video is the future, and how YouTube can attract a mass audience^[3].
• Dropbox – their presentation highlighted the simplicity and effectiveness of the product. It also included information on the market, competition and growth strategy^[4].
• Uber – Uber’s pitch deck presented a vision for the future of transportation, market analysis and plans for scaling the business^[5].

Although these presentations differed in style and content, they shared some common features. They focused on presenting the problem the company intended to solve, highlighted the uniqueness of its solution and presented a vision for the future. They were also clear, specific and concise, which contributed to their effectiveness.