Size Markets using Narratives, Not Numbers

Anyone who has pitched VCs knows they are obsessed with market size.  If you can’t make the case that you’re addressing a possible billion dollar market, you’ll have difficulty getting VCs to invest. Smaller, venture-style investors like angels and seed funds also prioritize market size but are usually more flexible. For early-stage companies, you should never rely on quantitative analysis to estimate market size. The only way to understand and predict large new markets is through narratives.

 

(Full Post: http://cdixon.org/2010/04/03/size-markets-using-narratives-not-numbers/


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Chris Dixon

Chris Dixon is an investor at Andreessen Horowitz. He was previously the Co-Founder/CEO of Hunch, Co-Founder of Founder Collective, and Co-Founder/CEO of SiteAdvisor.

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Collection: Funding
Category: Pitch Content & Format