Research suggests entrepreneurs should tailor their pitches to the innovativeness of their ideas

In a study looking at styles of selling ideas to an audience, researchers found that pitches promoting radical ideas were more likely to be accepted when they were phrased in specific, descriptive “how” terms, while progressive ideas were more likely to be accepted in an abstract “why” style pitch.

Previous research has found that experts like investors prefer concrete presentations with “how” style explanations, while general audiences like students or crowdfunders respond well to “why” style presentations of abstract ideas.

“We wanted to identify the best way for entrepreneurs to pitch their idea and get their audience’s attention and investment,” says Simone Ferriani, Professor of Entrepreneurship at Bayes Business School (formerly Cass), City, University of London. “Does the way you pitch affect your success? What if you have a great idea, but pitch it in the wrong way? We wanted to explore which pitch styles are most effective for different types of ideas.”

To test this, the researchers conducted two experiments in which business students rated pitch decks via online surveys to see when a new idea is more likely to be received favorably. In their study, they used pitch decks from entrepreneurs and varied the originality of the idea and the style of the abstract “why” the idea works and the concrete “how” the idea works. The researchers looked at how these factors affected how people perceived the idea and their willingness to support it.

The results suggest that a pitching strategy that matches the novelty of an idea is necessary to make the idea more appealing and attract investment. The paper, “Radically Specific or Increasingly Abstract? The Contingent Role of Abstract and Concrete Framing in Pitching Novel Ideas,” Innovation: Organization and Management.

Professor Ferriani added: “Imagine a technology startup introducing a groundbreaking new virtual reality (VR) gaming platform that promises to revolutionize the gaming experience. Our findings suggest that its pitch to potential users should highlight specific usability details, such as advanced feedback technology, immersive 360-degree video and seamless integration with existing gaming consoles.”

“When an idea has the potential to disrupt the status quo, this explanatory approach is key to offsetting the confusion that a novel idea can cause. Conversely, when an idea is more of a step forward than a leap, like an incremental innovation, abstract words that explain the ‘why’ can be more effective.”

“This strategy leverages your audience’s existing knowledge and expectations, connecting a new idea to a familiar concept and highlighting its place within a broader vision or goal,” adds Dennis Falchetti, assistant professor of management at the George Washington University School of Business (GWSB).

Gino Catani, professor of management and organization at New York University’s Stern School of Management, concludes, “This study recommends a customized approach that details practicalities for breakthrough innovations and focuses on the overall vision for incremental improvements. As the language of entrepreneurship continues to evolve, this study provides a compass for navigating the complex dance of persuasion and influence, offering a linguistic toolkit for transforming novel concepts into accepted innovations.”