PS#044: The Interview Series – How to Use Your Market Map
Since we’ve built all these market maps, we might as well use them.
In all seriousness, the market maps/investment theses that I built when I was interviewing were a key part of landing my internship.
But, it wasn’t just about building them.
It was about building them and using them at the right times to make sure that my work (my skill set) cut through the noise. If you’re sending your market maps or investment theses to investors via email, that’s great. It’s an important part of providing and sharing the value that you’ve created.
However, there’s a chance that they won’t read it.
I didn’t want to take the chance, so I worked it into my interviews and conversations.
Today, I’m going to highlight some interview questions (or entry points) that allowed me to share my value and take control of the conversation.
What sectors do you find attractive for VC investments?
This is a very common question in VC interviews.
Most candidates will have a scripted, concise answer to these questions. While they are usually not wrong, they also don’t usually stand out.
Instead, leverage the value you have been creating with your market map process.
Create a two-page presentation. One page that outlines the investment thesis and why you want to invest in this sector, and a second page which is your market map for the sector.
If you’re doing this via Zoom, ask to share the page. As they say, “a picture is worth a thousand words.” Well, if that’s the case, use it to your advantage.
Share the presentation during the interview, hit the key points and share the work that you’ve done on the sector. In most cases, the interviewer will ask for a copy of the presentation. You can share that with them post-interview (with maybe a few other items that highlight your venture skill set).
What’s a startup you would invest in?
Another very common interview question.
When you’ve done the work of building investment theses and market maps, this becomes an easy additional step.
Take the presentation outlined above and add a few startup profiles to it.
These profiles should include the following…
Name
Website
Founding date
Location
Stage
Description
Team details
Financial performance
Funding details
Target markets & traction
Thesis for the investment
Key risks for the Investment
Some of these items are tougher to obtain than others (e.g., financial performance, traction, etc.). However, if you’re able to get your hands on this information by speaking with the company, you’ve really shown that you can do this job.
Now, you’ve got a presentation that includes (1) a high-level page on your thesis, (2) detailed market map, and (3) recommendations for potential investments.
Take it to the next level.
As I mentioned in the previous issue of Preferred Shares, the great investors are able to personalize their knowledge to the audience.
It’s the same thing in these interviews.
The more relevant your theses, market maps, investment recommendations, etc. are for the VC firm in question, the more likely they will see the value of your work (and skill set).
None of this is overly complicated, but it is hard work. It takes time.
I used this exact method to flip the script on my VC interviews and I’d like to help you do the same.
OK, next week, I’m going to be sharing another industry secret.
