Our thinking Quick reads Is your pitchbook hitting the target?
 
Loud & Clear
February 2019
2 min read

Is your pitchbook hitting the target?

Share
Download Print
A A
Text size

The pitchbook is arguably the most important document that managers use when speaking with prospective LPs.

In this aeticke, we analyze the different behaviors of prospective LPs vs. current investors in terms of (1) “Dropoff” and (2) “Time per page”. We looked at data gathered from a manager which had sent their pitchbooks to both groups over an extended period – 100s of Prospective LPs, and dozens of Current Investors.

1. “Dropoff” Report – the last page viewed before readers closed the PDF.

y-axis = % who make it to a certain page

x-axis = actual page # in pitchbook

 

 

Screenshot_16.jpg
Screenshot_16.jpg

Looking at the graphs side-by-side, you’ll note a similar downward trend across both prospective LPs and current investors. It’s not a 100% apples-to-apples comparison, with the pitchbook to current investors being more condensed. But it’s still pretty close – same manager, similar deck, same sales reps.

Some takeaways:

i. It’s tough for anyone to get through to the end of a pitchbook. Even for your own investors. Plus, the longer it is, the tougher it is; for current LPs who are deemed to be the best segment to be communicating with, only 60% of them made it through the entire deck.

ii. There’ll be some who make it all the way through. The question is: can you identify these people? Are you able to cut through the noise and profile interest?

iii. And – some pages cause more dropoff than others. Can you identify this, and nip it in the bud?

2. “Time per page”

Let’s analyze the time your LPs spend on different pages in your pitchbook. Yes – there are ways that you can find out how. We’ll pit the same two segments against each other below:

 

 

Screenshot_17.jpg
Screenshot_17.jpg

Some takeaways:

i. There are some pages that are of greater interest than others. Are you presenting your material in the right way?

  • In this particular pitchbook, the Fund Overview, Sample Investment Opportunity, and Performance were the most viewed pages. While the Performance page is always going to be among the most viewed, won’t it be helpful to know what the others are or are not?

ii. Knowing which consultants & investors spend more time on your updates mean: Identifying sticky capital + evangelists.

 

The data gathered from your own analytics will be insightful in how to improve your ability in getting your point across.

Share
Download Print
A A
Text size
Get email alerts for tailored content on your favourite topics
Sign up to email alerts

Browser Compatibility Notice

Welcome to MJ Hudson. Please note, this website will not function as intended on Internet Explorer.

For the full experience, we recommended viewing this website on a modern browser, such as Edge, Google Chrome or Mozilla Firefox.

Share this page using the options below