Meta Pixel

News and Announcements

The Art of Pitching: Navigating the Use of “Disruptive” and “Revolutionary”

  • Published October 10, 2023 11:00PM UTC
  • Publisher Wholesale Investor
  • Categories Capital Raising Tips

In the dynamic world of startups and innovation, terms like “disruptive,” “revolutionary,” and “breakthrough” are often thrown around. But are these terms always accurate, or are they just buzzwords that sound impressive? Steve Torso, the CEO & Co-Founder of Wholesale Investor, delves into the nuances of these terms and their implications in the capital raising process.

YouTube player

The Desire to Stand Out

Every founder and innovator wants their product or service to be seen as unique, groundbreaking, and, yes, disruptive. They envision their offerings as game-changers that redefine industries, much like how electric vehicles are reshaping the automotive sector. However, the reality often differs from this vision.

The Pitfalls of Overclaiming

While it’s natural for founders to view their products as revolutionary, it’s crucial to ensure these claims are substantiated. Labeling a product as “disruptive” when it merely offers an alternative to existing solutions can be misleading. For instance, electric vehicles don’t just provide an alternative mode of transport; they challenge the very foundation of the petroleum industry, rendering traditional petrol stations obsolete.

Perception vs. Reality

Founders often see the vast potential of their products. They dream of being the next Elon Musk, revolutionising entire industries. However, from an investor’s perspective, terms like “world’s only” or “breakthrough” can be red flags. Investors often encounter multiple pitches claiming similar unique attributes. Thus, making unsubstantiated claims can lead to skepticism and missed opportunities.

Advice for Founders

Steve Torso advises founders to be cautious with their choice of words. While passion and belief in one’s product are essential, it’s equally crucial to present a realistic picture to potential investors. Avoid overusing terms like “disruptive” or “world’s only” unless they can be genuinely substantiated. Instead, focus on the tangible benefits, the actual market gap being addressed, and the real-world impact of the product or service.

Conclusion

In the competitive world of startups and capital raising, authenticity and clarity are paramount. While it’s tempting to label every innovation as “disruptive” or “revolutionary,” it’s essential to ensure these claims stand up to scrutiny. By presenting a balanced and realistic picture, founders can build trust with investors and pave the way for successful collaborations.

Company Updates
What they took out paid for the production line

Flint’s paper battery is usually described by what it removes. Carlo Charles’s even more interesting point is that removing the materials also removed a lot of machinery, and that is why two products reached production on roughly US$4 million. Asked what is inside his battery, Carlo Charles starts with what is not. No lithium. No […]

Company Updates
A$5 trillion market Australians can see but cannot easily buy

Every asset class now carries artificial intelligence exposure, including the ones built to be defensive. Capital47’s argument is that every portfolio should have a diversification strategy. The problem with AI as a portfolio exposure is that it has stopped being a sector. Planned global spending on artificial intelligence is expected to run to US$8 trillion […]

Company Updates
The A$20.4 Million Inertia Trap: How Kepa Software Is Unlocking Value in Enterprise Capital Allocation

A government agency renewed the same maintenance decision nine years running, because auditing the original choice was deemed too expensive. When the portfolio was finally tested, A$20.4 million of low value spend was identified in a single year. Kepa Software’s capital governance platform was built to expose and eliminate precisely these boardroom blind spots. For […]

Join over 45,000+ sophisticated investors

Join Now