This week Chat GPT4 took center stage by pitching better than humans. Pitch decks created by GPT4 were 3x more likely to secure funding than human-made decks.
As a pitch coach, people ask what I think of Chat GPT. For those of you debating using AI for your deck, don’t worry about it. I used GPT3 to make a deck, and like the research with GPT4, the deck was clear. But it was not that persuasive. (GPT4 is superior to GPT3, but the issue is deeper than clarity). If GPT decks were more convincing, I’d happily switch to AI too.
There are important takeaways though.
- It’s very hard to build a strong deck by yourself.
- Without great support, people using GPT will beat you (but still won’t get funded).
- To be the best, you must apply the nuances that AI can’t grasp.
If you work with a pitch coach to identify what elements to include in your deck, GPT can optimize your flow. But GPT cannot tell you what to put into your deck. Selecting the right details is 90% of my pitch coaching. This takes a lot of analysis based on your experience with customers and investors. I’d put a deck I coached against GPT any day, and I’d win. Below are the techniques I use so that you can use them too:
- PAIN: Over 95% of successful pitches start with the customer’s problem. Your product is a solution to that problem. The goal is to show how much suffering the problem causes. Make it hurt. If the audience doesn’t feel the pain, they won’t understand the value you bring. We’re not talking about clearly describing the problem like ChatGPT did, we’re talking about emotion.
- FEAR (SCARCITY): Market trends trigger fear of missing out. If customers don’t follow the trend, they will get left behind. Customers will lose market share to competitors, they will miss out on new revenue opportunities. ChatGPT might spot trends, but choosing the right trend and the right frame for the trend takes a human who understands the customer.
- SOCIAL PROOF: Everybody knows to show traction. Once customers see traction, they’re more interested. But you might not have traction yet. There are many avenues to create social proof. For example: when you show that other businesses are following the trend, you create social proof that amplifies the fear of missing out. Unless someone programs Chat GPT exactly what social proof to use, it’s going to default to traction, which is old news.
- REWARD: Research by Nobel Laureate Daniel Kahneman suggests your product must be at least 2x better than the customer’s current solution to elicit change. What are the benefits of your product? Are the benefits significantly better in terms of the bottom line, efficiency, etc.? GPT shows benefits really well, so you better be prepared to tailor those benefits to your audience AND recognize that those benefits have to be 2x greater than the status quo.
- CREDIBILTIY: The fact that you designed the product shows you have credibility around product development. That’s important. GPT understands that too. What about your credibility understanding the market? There are many domains in business, and you need to decide which domain requires your credibility and what experiences show your domain credibility. GPT is literally at your mercy here because only you can judge where credibility is necessary based on your development as a company and investor feedback.
- THE HUMAN ELEMENT: Your goal is to serve your audience: to listen to the needs of your audience, acknowledge their concerns, and honestly evaluate whether you’re a good fit. I’ve seen founders close deals after voicing hesitations about whether their product met all the customer’s needs. Audiences loved it, because it showed authenticity (which validated the strengths too).
I end with the human element intentionally. In pitch research, Chat GPT 4 competed against decks that already secured funding. If anything, the conclusion is that your deck is not the primary vehicle to get funded, you are. The way you engage investors – the way you speak, the way you listen, all impact your level of success. This research should show you that learning how to show up BIG, not just have a great deck, is going to bring in the BIG money.