How Much Does Not Simplifying Cost?

How much does not simplifying cost? For one company on Shark Tank, it cost them $2,000,000 and a chance to get a shark on their team.

As you probably guessed, as a presentation coach (and being married to a brand marketer), I am an avid Shark Tank watcher. If you’re not familiar with the show on ABC, Shark Tank is a reality TV show where entrepreneurs pitch their companies to five [or six] extremely successful business investors, known as sharks. The sharks have an opportunity to ask questions and sometimes try the product before offering to invest in the entrepreneurs’ companies.

A recent episode (season 8, episode 10), included the founders of Nootrobox, “a nootropics and biohacking startup based in San Francisco. The startup makes supplements and software for cognitive and human enhancement and organizes a grassroots community to help members be the best version of themselves. One of their flagship products is GO CUBES Chewable Coffee.” [source: ABC.com ]

After hearing the pitch for $2 million for just 5% of the company, all of the sharks passed on the deal for one simple reason – they didn’t get it. None of the sharks understood what the company did, what they sold, or the benefits of their main product. One shark, (technology innovator Robert Herjavec) even said when you come into the tank with the biggest deal in the show’s history [a $40 million valuation], you need to explain your value. They all cited that the company’s main product, a chewable coffee, looked like a sugar cube and their pitch didn’t overcome that misconception.

Don’t think these are the first entrepreneurs to go on Shark Tank and miss out on a deal for the sharks to invest in their company because the sharks simplify didn’t get it. I’ve seen dozens of pitches on the show where the business owner didn’t explain their product/service, their background, their future aspirations, or how a shark can help their company.

Think this missed opportunity doesn’t relate to you? You’re wrong!

Every business person communicates with clients, prospective clients, vendors, and other team members daily. If you can’t communicate so the other person is on the same page, it costs you. It may not cost you millions of dollars like this example on Shark Tank, but miscommunication costs valuable time and money, which really adds up over time. Miscommunication is especially costly in sales if you can’t explain the value quickly and easily (in particular, when you have a high price tag).

My presentation coaching is usually for bid presentations and content marketing/thought leadership. The ROI of simplification and good communication is fairly evident and easy to prove with those categories. (I’ve helped clients win dozens of bid presentations worth millions of dollars and helped thought leaders drive leads and increase their hourly rates.)

I’ve also worked with company owners that are nervous to speak to their employees and feel they’re wasting time reexplaining themselves and with employees reworking tasks because of the miscommunication. Similarly, I’ve coached aspiring executives that need to hone their communication skills, including writing business emails, to sound like an executive and show that they are ready for that promotion and big pay raise.

Continue Reading this article by visiting the Speak Simple blog here

Speak Simple is a dynamic presentation coaching company based in New Orleans that assists technical professionals to improve their presentations and help them to better connect with their clients. 

Erica’s company, Speak Simple, works with professionals, in particular, technical professionals like engineers, doctors, constructors, marketers, and technology experts to ensure they are understood by their prospects and clients and win more work through presentations using her proprietary S-I-M-P-L-E training method.

Erica Olson – President & Founder