95% of venture firms don't have a content strategy
Introduction
One portfolio company can make or break a fund.
That's why I was surprised to discover that when reviewing the website and socials of 100 randomly selected VC funds, 95% either don't do content or are inconsistent publishing content.
This presents an opportunity for firms that take content seriously.
โ
The Current State of Content in VC
The VC industry is built upon a foundation innovation and cutting-edge ideas. Despite this, most firms seem stuck in a bygone era.
The typical VC's website consists of a static landing page, a boring aesthetic that's unlikely to scream "we get founders", minimal information, perhaps a few portfolio companies, and at best a blog that hasn't seen a new post in months (or even years).
Why is this the case?
1. Historically Private: Venture capital has traditionally been a secretive industry, where firms held their cards close to their chests.
2. Focus on Deals: Many venture capitalists have prioritized deal-making over content creation, viewing it as a distraction or even a waste of time.
3. Resource Constraints: Some firms lack the internal resources or expertise to develop and execute a content strategy effectively.
โ
Content is an investment, not an expense
Currently, the top 2%ย of venture funds generate 95%ย of the returns.
If you're not in the top 2%, and you're struggling to generate quality deal flow, then a content strategy is essential.
Here's why:
1. Building Trust and Credibility: High-quality content, such as blog posts, podcasts, educational videos, whitepapers, and webinars, establish a firm as a trusted authority in its field. When potential entrepreneurs or co-investors come across informative and insightful content, they are more likely to trust and respect the firm and want to work with them.
2. Attracting Quality Deal Flow: Content acts as a magnet for startups seeking investment. Firms that consistently publish relevant content are more likely to climb up the SEO charts, generate organic inbound traffic, and attract the best founders.
3. Strengthening Relationships: Content can serve as a tool to nurture relationships with existing portfolio companies, co-investors, limited partners, and industry peers. By sharing valuable insights and information, firms can deepen these connections, potentially leading to more opportunities.
4. Raising Awareness: Effective content can significantly increase a venture capital firm's visibility. When done right, it can reach a broad audience, including potential limited partners (LPs) interested in investing in the fund.
5. Long-Term Value: Unlike traditional marketing and conferences, which may yield short-term and often negative results, content has a long-lasting impact. A well-crafted piece of content can continue to attract attention, leads, and opportunities for years after its initial publication.
Conclusion
In a world where information is abundant and transparency is valued, venture capital firms can no longer afford to neglect their online presence and content strategies. The fact that 95% of firms still lack a coherent content strategy or are inconsistent with their content efforts represents a significant opportunity for those willing to invest in this area. All it takes is one seed stage investment to grow 10X to repay an average content strategy back 10 times over in carry.
If your firm lacks the resources internally and is almost exclusively on meeting founders, current and prospective LPs, and doing deals, then get in touch to learn how we can cultivate a targeted and nuanced content strategy to help the founders you're looking for find they way to you.
โ