Sample Series D pitch deck: Front’s $65m deck – Thealike


In its personal phrases, Front is a buyer communication hub that retains groups centered on what expertise can’t substitute: guaranteeing each dialog strengthens the client relationship. The firm lately raised $65 million at a $1.7 billion valuation, which is a hell of a funding spherical. Uniquely, the corporate has truly revealed all of its previous funding decks publicly, which suggests this can be a uncommon alternative to observe an organization’s journey from its first development funding spherical all over to the current.

From spherical to spherical, the corporate’s CEO Mathilde Collin outlines the evolution of the corporate and the way it’s positioned available in the market. She writes one of many clearest breakdowns of how the aim of every spherical has advanced:

  • Seed: “We’re a good team with a large market opportunity.”
  • Series A: “We have proof of product-market fit ($1M ARR)” — see the company’s Series A pitch deck.
  • Series B: “We have leverage (we know how to spend money to grow faster)” — see the company’s Series B pitch deck.
  • Series C: “We understand our market, which unlocks new levers of growth (outbound & upmarket)” — see the company’s Series C pitch deck.
  • Series D: “We understand what’s unique about our position in this market, and why our mission matters more than ever.”

So, let’s see how information of market place interprets right into a pitch story.


We’re on the lookout for extra distinctive pitch decks to tear down, so if you wish to submit your personal, right here’s how you are able to do that. 


Slides on this deck

Front’s pitch deck is an extremely tight, 11-slide deck that opens with a mic drop, and, properly, these have to be some butter-slathered microphones, as a result of it certain is slippery — the corporate simply retains dropping mics because the slides progress. On first skim, I’m getting nervous as I notice I’ve to search out stuff I want to enhance about these slides.

But! I’m feeling courageous, so let’s give it a whirl.

  1. Cover slide
  2. “Front in key numbers” — traction-summary slide
  3. “Innovative, growing, next-gen companies use Front to align teams, execute faster & deliver world-class service” — social proof slide
  4. “A customer communication hub” — product slide
  5. “A massive market opportunity” — market description slide
  6. “Typical usage across our core use cases” — resolution slide
  7. “A better product, at scale” — scaling slide
  8. “Strong fundamentals keep getting stronger” — metrics/traction slide
  9. “An ambitious vision few companies can deliver” — imaginative and prescient slide
  10.  “Built for the long run” — abstract slide
  11.  “Thank you” — closing slide

The slide deck could be very near being as-pitched by the corporate’s founding staff, with a few minor redactions. The firm blanked out the income knowledge on slide 2, it hid a few of its clients on slide 3 and whereas slide 8 saved the graphs, the corporate eliminated the numbers from the axes.

Three issues to like

First of all, this is likely one of the greatest slide decks I’ve ever seen. It tells a good and compelling story with out utilizing too many phrases.

That’s the way you begin a pitch!

[Slide 2] Yassss. This is the way you do it. Image Credits: Front (opens in a new window)

When you’re elevating angel funds or your first institutional cash, you will get away with elevating with a imaginative and prescient, a dream and a sliver or two of hope. By the time you’re elevating a development spherical — usually your Series A and past — you want greater than a wing and a prayer. And when you’re elevating at a $1.7 billion valuation? Forget about it. Hard knowledge proving that you simply’ve discovered what your market dynamics is non-negotiable.

Even although slide 2 is considerably redacted, you get the image: The firm comes arduous out of the gate and reveals that it is aware of why it’s sitting throughout the desk from a enterprise capital agency: Traction, child, and a plan for what occurs subsequent.

If I have been an investor on this house, slide 2 alone could be sufficient to get the corporate to a second assembly.

When you make it to your Series D, when you haven’t acquired traction, you’re useless within the water. That means except you’re elevating cash for one thing new and spectacular (say, a complete new product or a model new market growth), you open together with your traction.

So sure, Front acquired that proper, but it surely additionally reveals that it is aware of which metrics matter. ARR, ARR development and retention are key. The remainder of the figures are eye sweet, however, I imply, have a look at that eye sweet! If I have been an investor on this house, this slide alone could be sufficient to get the corporate to a second assembly.

Owning the market

Market opportunity slide

[Slide 5] “This is what we do” seen by means of a market lens. Image Credits: Front (opens in a new window)

Call me ignorant, however till Front submitted its pitch deck for a teardown (you can do that, too!), I had by no means heard of the corporate. Slide 4 is admittedly elegant: It reveals a screenshot of the product with callouts exhibiting what its clients love about it. But Slide 5 nails the corporate’s product and its place available in the market fantastically. It additionally does a extremely delicate factor, which I’ll get again to in only a second.

I really like a very good two-by-two graph in a pitch deck, because it actually helps present how an organization positions itself available in the market and the way it differs from its clients. Front’s fifth slide might be learn just a few alternative ways, however once I have a look at it, I instantly seen this: “If it’s inbound and important, use Front.” That implies that the platform can be utilized for high-importance buyer help interactions, inbound gross sales, inside gross sales and basic buyer communications.

That’s a hell of a slice of the market. It additionally reveals that Front doesn’t compete with the big variety of lower-impact buyer help instruments on the market. Whether that’s a good suggestion might be left as an train to the reader, but it surely’s elegant, clear and it reveals that the corporate has nice self-discipline.

The different cool factor — the delicate a part of this slide I simply talked about — is expounded to market growth. One essential consideration that pops into my thoughts once I see this slide is how the corporate may increase its market. There are two logical choices: Either all the things inbound (additionally tackle the lower-value inbound communications presently lined by extra generic help instruments) or all the things helpful (shift to additionally enabling outbound gross sales and advertising communications and tackle Salesforce at its core enterprise as properly).

Either method, this can be a clear slide that does a whole lot of heavy lifting, and I can see this inflicting a full of life debate at a pitch assembly.

Flexing your buyer use instances

Customer use cases slide

[Slide 6] Customer use instances. Image Credits: Front (opens in a new window)

Slide 6 had me shaking my head and muttering “yesss” below my breath. Apart from the truth that it has extra textual content than I’d like, the corporate does just a few issues extraordinarily proper right here.

First off, it reveals off a few of its extraordinarily well-known clients. Pilot, Shopify, Lead1 and Lydia are well-established manufacturers, and seeing them on this slide is a reminder of how far Front has are available its market penetration. The description of how every firm makes use of the platform is genius, as a result of all 4 use instances are fairly distinct, and it reveals each the worth and the pliability of the device.

The precise stroke of genius, although, is the ultimate sentence on every of those use instances. Front averted the temptation to speak about options and even use instances. Instead, it talks in regards to the worth proposition it gives every of those buyer teams. Perfect, and precisely what try to be doing on a slide like this. A 75% discount in SLA breaches? A ten% discount in back-and-forth comms? Reducing response instances from 13 to 5 hours? Anyone who manages inbound buyer requests realizes how monumental these outcomes are and the large worth Front’s instruments convey.

It’s fantastically executed, and I’ve bookmarked this slide away in my “This is how you do it” folder. You wouldn’t consider what number of firms get this painfully flawed.

In the remainder of this teardown, we’ll check out three issues Front may have improved or executed in a different way, together with its full pitch deck!

Three issues that might be improved

Raising at a $1.7 billion valuation and the quantity of effusive reward I’ve already poured on this slide deck is price celebrating. But, as ever, there’s a element or two I really feel compelled to poke enjoyable at.

That’s not the way you do a contest slide

As a lot as I cherished the market positioning slide (slide 5), I bristled on the lack of listed rivals. Yes, it’s doable that Front dominates its market. But that doesn’t imply there aren’t different instruments on the market that cowl facets of what Front does, and it appears just a little boastful to not embrace them as a part of the narrative.

I don’t care how huge you get, I wish to know which rivals you’re keeping track of. And (presumably within the appendix) I wish to see a SWOT evaluation of those that pose an energetic risk or may achieve this sooner or later.

So, er, what are you gonna do with the cash?

Front raised $65 million. That’s a whole lot of spondoolahs for any enterprise, and my instant query is: “What are you going to do with the cash?” I’d have anticipated an working plan on this deck, but it surely’s doable they’ve the lengthy and near-term financials in spreadsheets as a substitute. I don’t love that, however fantastic, I get it.

The solely excuse I can think about for not together with near-future plans is that if the fundraise is earmarked for an IPO, and the cash will largely go towards getting ready the corporate for a list.

What I don’t get, although, is that the deck is nearly completely backward-facing. I get that traction is essential and spectacular, however you elevate cash since you want the money to vary one thing about what the future of your organization seems to be like. There’s nothing in any respect on this deck about this. Is the corporate about to increase its market? Will it rent extra employees? Is it pivoting merchandise? Is there going to be a advertising push?

The solely excuse I can think about for not together with near-future plans is that if the fundraise is earmarked for an IPO, and the cash will largely go towards getting ready the corporate for a list. If that’s the case, you wish to play your playing cards near your chest till it occurs and never together with it within the pitch deck would possibly make sense.

Given that’s the one motive I can consider to not embrace future plans, I’m 70% certain the corporate will file an S-1 and run an IPO course of subsequent 12 months. Front, if that’s the case, you don’t must admit it; simply ship me a postcard or one thing with a smiley face on it as soon as your S-1 drops. I known as it ;-).

You can do higher in the marketplace aspect of issues

As a lot as I really like the market define slide, it doesn’t say something about measurement of the native or world market. That’s unforgivable, as a result of for an organization seeing aggressive development, I’d wish to learn the way far more it could possibly develop earlier than it’s taken on its complete serviceable obtainable market (SOM) and the way it’s going to increase its addressable market (SAM).

There’s no method Front hasn’t spent a whole lot of time eager about this, and there’s zero likelihood that it wouldn’t have been challenged on this level within the fundraising and due diligence course of. You might as properly seize that specific bovine by its horns, get forward of the dialog and stick it entrance and middle on a slide.

The full pitch deck


If you need your personal pitch deck teardown featured on TC+, right here’s extra data. Also, take a look at all our Pitch Deck Teardowns and different pitching recommendation.

 

 

 

 



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