Why YouTube Pitch Deck is best
Business Start-up needs a quick way to convince investors to value their ventures. They want to create confidence that the business has the potential to grow and investing in such ventures is worth the money.
A Pitch Deck is prepared specially for investors that contain all problems, solutions, financials, strategies, and market validation. However, the most important thing for a Pitch Deck is how you communicate this in just 10 – 18 sliders.
In November 2005, YouTube landed its first-ever funding round which they were able to receive an investment of $3.5 million from Menlo Park, Calf-based venture capital from Sequoia Capital. The idea of YouTube was to enable users to upload videos online and share their documents. For that, they represented a Pitch Deck to convince the investors. Today YouTube is the platform for learning, entertainment, and a source of income for many users.
We have analyzed many Pitch Decks with different contents and the nature of business. Out of all those Pitch Decks for YouTube comes on top.
Why YouTube Pitch Deck is best
The Pitch Deck comes with 15 slides with the following sections:
Cover Slide
The cover slide presented was very simple with only the YouTube logo mentioned on it. The creators stick to the basics
The Company Purpose
In this slide, the YouTube Pitch Deck creator introduced the audience to the potential of the website that enables them to define its brand and new video culture. They used words like “share”, “browse” and “upload”. These three simple words were very catchy and the concept was new and the mantra of YouTube till today.
The Problem Slide
The slide used to describe the investors the problems of the existing market and also provided the view of the specific pain points. A graphical chart was used to describe problems in four main sections. It was essential for the creators to be as transparent as they can. A study has proved that humans grab more attention to visuals and tough concepts can be described through a simple image.
This graphical chart was used to describe the problem as quickly as possible. The reason behind this was not to give the investor a second thought. More emphasis was on only questions: “What is the problem” and “why is the problem”. So once the purpose was conveyed. YouTube jumps to limitations that were involved and has been holding back the enjoyable user experience. The creator used a combination of text and a diagrammatic approach.
Solution
The slide in Pitch Deck outlined the solutions to the problem addressed above. It was essential to introduce a solution to keep the flow intact. They provided a textual solution to the problems. There were only three solutions provided which were straight and easy to understand by the investors with no difficult jargon
Market
In a modern Pitch Deck, Market Validation plays a very important role. It tells you the potential of the business and no wonder the most important section of a Pitch Deck. Understanding market validation is difficult for most readers especially when the business or a venture is new.
A lot can be decided on the information provided in this section. Like for example, the total addressable market. If the addressable market is big there is a high possibility of business success. However, explain this in one slide is a challenge for many Pitch Deck creators.
YouTube Pitch Deck creators this addressable market (TAM) as an overall revenue opportunity and termed as achievable. The calculation of Market Share they used was based on internet users which meant they would achieve 100% market share. To describe this they used a pyramid divided into two sections.
Competitive Landscape
In this section, they convinced the investors that they have done their homework and know all about their competitors. The competitor mentioned in the slide helped the investors to gain a better view of what was YouTube is up against, the resources required, and the probability of success.
Thus it also shifted the perspective of investors to major competitors in the market, standard, and vision of YouTube. Today YouTube and Venmo are well-known names
Product Development
In this slide, the YouTube Pitch Deck creator explained the current state of the product, its features in the pipeline, and their plans to measure the product.
Sales and Distribution
Any plan and strategy start with figuring out how to get its customers for their products or services this is what the slide contained. There are several road maps that you can go about this, and all it takes is planning before you implement anything whether it is marketing or advertising, or targeting customers.
The slide focused on how customers will stick to their company and talks about several channels used by YouTube to generate revenue. The revenue stream proposed was an advanced platform for advertisement and distribution and other sources of revenue
Again here, the Pitch Deck creator used a diagrammatic approach which was pleasing and highly understandable.
YouTube Team
One of the major sections that the investors are interested in is the management team. The sections usually include team designation and qualifications. However, in the case of YouTube, they used just photos and names of the team members. Hence this approach was good where it left the investors asking questions about Who is Who and what are their roles.
Conclusion
Raising funds from external sources is not an easy task. It requires a lot of homework even though there are a lot of investors seeking promising business ventures. Funding is the first stepping stone of every business start-up and it all starts with an appealing Pitch Deck.
Oak Business Consultants can provide you with all advice and tips on Pitch Decks. We know how hard it is to start and build a business and later pitching an investor. We understand all needs of start-ups and growing businesses. You can contact us anytime our experts will respond immediately.
