How PR Can Help Your Startup Fundraising Efforts
As a startup, the road to find funding is not always the easiest. One aspect that will help give your startup a competitive advantage is your reflection in the media. Media coverage can range from reporters writing a piece about your company to submitting articles and guest posts to top-tier publications. A media campaign can help put your company in front of prominent investors and, ultimately, create future funding opportunities.
Media opportunities increase brand awareness
In today’s interconnected world, a media strategy is one of the best ways to spread the word about your new company and inform potential customers about your company. On average, five to seven brand impressions are necessary before someone will remember the brand. Therefore, if your startup continues to have media coverage in relevant publications, more people, including investors, will remember your company’s name.
Investors can read third-party articles about your startup
Startup companies have access to many resources and can move quickly, which leads to increased competition for a finite amount of funding. With plenty of young companies all pitching for their share of investors’ capital, a startup with a significant amount of visibility in media outlets provides an investor with a third-party analysis and viewpoint.
Investors will clearly research the startup they want to invest in, so having third-party reviews or features come up in that search is helpful. Since the investor has heard about the benefits of your company from you (an arguably biased source), media coverage helps them hear about the startup from an unbiased source.
Media helps your numbers
Investors want to know real numbers before handing over a check. They don’t care as much about the number of users, but they do want to know how many of those users are active and engagement rates. If your startup lands a feature in a consumer-facing publication, it can help increase these numbers. Most likely, a feature will increase some vanity metrics, but you may find yourself with more active users and real numbers that can be useful when sitting down with a potential investor.
For B2B companies, before a customer makes a purchase they research online. Studies show that between 70-80% of people research a company online before visiting the business or making a purchase from them. When a customer goes to research your company, the first thing they will look for is credibility. Building up a media presence not only allows the customer to learn more about your company but also develops trust that your business is reputable.
Media coverage is not always easy to get, but it can help your startup get in front of the right investors. If you want to learn more, download our 50 PR hacks for startups.