By Kelli Newman, APR
First appeared in InnovationMap magazine
By definition, companies throughout the innovation ecosystem have a purpose-driven story to tell. As communication strategists who specialize in purpose-driven clients, we wondered if influencers of Houston’s entrepreneurial community see any recurring communication challenges getting in the way of companies successfully securing funding, acquiring customers and even recruiting talent.
For two months we interviewed investors, accelerators, industry customers and entrepreneurs themselves, asking for missed opportunities they may be seeing in what and how companies are communicating. Below are our findings, with corresponding recommendations organized into four key headings:
Distinguishing Yourself from Competition
“They may have an incredible concept, but terrible messaging,” was a surprisingly common response to our investigation of communication obstacles.
Many innovators think that simply describing the inspiration for their company, perhaps the illness of a loved one or an observed struggle, is enough for explaining the Why of their story. In fact, investors, potential customers and even employees are looking for something more substantial.
First, what distinguishes your company from others like it? Regardless of how pioneering the solution you offer, it will be compared to whatever else is currently available to address the need, including nothing at all. Simply explaining how what you provide works is not enough. Our research substantiated the need for also addressing your company’s relevance and differentiation. Characterizing the unique essence of your company is an important distinguisher from the competition that helps cut through the noise.
When formulating a client’s organizational messaging we not only examine their purpose, we study their values and culture so that it is reflected in language the company uses to describe itself. Potential customers we interviewed said the compatibility of company cultures and values weigh heavily in their considerations for partnering. So, you’re overlooking a key distinguishing strategy if you think target audiences are only interested in the nuts and bolts of what you do.
Speaking the Language of Multiple Audiences
More than the fundamental act of communicating, messaging is language specifically tailored to articulate an organization’s unique purpose, significance, values, and culture. Messaging delivers the greatest impact when it functions as a tangible asset. In other words, a formal document of composed language that ensures continuity and is utilized as talking points for investor presentations, content on the company’s website, themes reflected in digital advertising, etc. However, it should not be viewed as one size fits all.
Information with universal relevance, known as organizational messaging, is essential, but so is audience-specific messaging that addresses the unique perspectives, priorities and concerns of individual groups. The need for companies to recognize this important distinction was another of our findings.
While both investors and customers are interested in the viability of your company’s technology or services, they each have very different needs and priorities. To motivate desired action, you must speak each audience’s specific language, which means getting out of your head and into theirs.
If you’re a B2B2C company, you may even need to speak the language of your customer’s customer! Several research interviews expressed how companies shoot themselves in the foot when they don’t take the long view of an audience’s needs. If, for instance, your customer is having difficulty explaining to their patients how your innovative medical device works, composing instruction language and even producing patient education tools may be an added deliverable necessary for you to retain that contract.
Not recognizing employees as a key audience and overlooking the importance of strong internal communications was also identified as an obstacle to success. Clearly, attracting funding from investors and business from customers is a core objective of effective communications. However, employees should also be considered a priority with messaging that keeps them informed, inspired and on track. Afterall, they’re the team that will take your vision over the finish line.
Connecting on an Empathetic Level
Research participants emphasized the need for factoring in a discovery phase that not only involves learning how to speak an audience’s language, but gaining an appreciation for the challenges, goals, protocols and culture of those they’re approaching as well. It requires assuming a level of empathy and understanding, rather than a singular focus on “sales,” that ultimately culminates in rewarding, long-term relationships.
Effective communication is not a one-way exchange. Listening is critical. When what you’ve discovered is reflected in your marketing materials, that demonstration of a genuine commitment to connect is reported as being even more impressive.
Costly Consequences of No Communications Plan
Companies operating without a Strategic Communications Plan risk the expensive consequence of functioning in a chronic reactionary mode with scattered results and lost credibility through inconsistency.
Yes, flexibility is important, but the research we’ve conducted reveals a clear advantage for those who recognize the importance of effective communications, particularly growth-stage companies that have gained their initial footing and are ready to build on their brand. The key is putting a blueprint in place that connects the dots of what you offer and your distinguishing essence, with the needs of your targeted audiences, by speaking their language. If not, you risk missed opportunities for securing funding, acquiring customers and attracting the best talent.
Changing the world is your passion, helping innovative entrepreneurs effectively communicate that passion is ours.
© 2021 Newman & Newman, Inc.
