Holloway Editione1.0.0
Updated August 14, 2024Youβre reading an excerpt of Great Founders Write, by Ben Putano, writer, entrepreneur, and book publisher. Heβs the founder of Damn Gravity Media, a publishing house that inspires and educates tomorrowβs great founders. Purchase now for lifetime access to the book and on-demand video course.
My junior year of college was an odd one.
Living in my fraternity house, Iβd regularly stay up until 3:00 or 4:00 a.m. with my friends. Then Iβd be up at 6:00 a.m. to head to work at Northwestern Mutual, an insurance and wealth management company. I was an intern, but not the type that made coffee runs and collected mail. I was a licensed insurance agent.
At 7:00 a.m., Iβd be in the office for our agent meeting and to hit the phones. The first hour of every day was spent cold-calling strangers to talk about death and money. Like I said, it was an odd year.
But this experience taught me the art of persuasion. I was a college student (and not a very good one) trying to sell life insurance to doctors, lawyers, and families with small kids. Why would they even take a meeting, let alone buy something from me?
It wasnβt easy, but I ended up in the top 10% of agent interns in the country that year. It was my first taste of making real money (which was quickly wasted), but the lessons learned were far more valuable. As a founder, I use the skills I acquired from that internship every single day.
A founderβs job can be distilled to two tasks:
To build
To persuade
Founders build products, audiences, processes, and teams. For many founders (especially those without a sales background) this is where they stop. βBuild it, and they will comeβ is still a pervasive mindset, even if the founder knows itβs not true. Deep down, they hope itβs true, because building is what theyβre good at. Building is in their comfort zone.
Whatβs not in their comfort zone? Persuasion.
Letβs take a quiz. On a Scale of 1β10, how comfortable are you with persuading others? Be honest. A 10 means you arenβt just comfortableβyou find joy in itβwhereas a 1 means you avoid persuasion at all costs.
Most founders fall somewhere in the middle. Persuasion is a necessary evil. They do it when they need to, but they avoid it when they can.
Why are so many people uncomfortable with persuasion? Because they confuse persuasion with manipulation. The two things couldnβt be more different. Persuasion is the art of finding common ground with someoneβa win-win solution. Manipulation is a tactic used to trick a person into a one-sided deal.
Persuasion is rooted in empathy. You need to put yourself in the other personβs shoes. The most persuasive people are also the most empathetic. Manipulation is rooted in narcissism. Manipulators donβt care about the other person. They are just out for themselves.
The most persuasive people believe deeply in their cause. Their conviction is palpable. They want nothing more than to see their vision become a reality. Manipulators donβt really believe in what theyβre selling. Theyβre in it for the money and power.
The first step to becoming more persuasive is believing there is such a thing as ethical persuasion. If you think persuasion is inherently wrong, youβll never get comfortable with it. To ensure youβre persuading ethically and not slipping into manipulation, consider what makes persuasion ethical.
Ethical persuasion has the four following characteristics:
Conviction. Do I believe deeply in my business and services?
Honesty. If an objective third party looked at my position, would they conclude that Iβm being honest and transparent?
Win-Win. Is this in the best interest of the other party? If not, how do I create a win-win situation?
Choice. Does the other person still have a choice? Be sure you arenβt backing them into a corner or putting an uncomfortable amount of pressure on them. Ethical persuaders are ok with the final decision no matter what.
Have I persuaded you that ethical persuasion is possible? Good, now letβs talk about how to do it.
According to research by USC Professor Jay Conger (which first appeared in the Harvard Business Review), there are four steps to becoming more persuasive in the workplace:
Establish credibility
Find common ground
Use vivid examples
Connect emotionally
While this research was conducted on corporate organizations, it applies to startups as well. Letβs look at each through the lens of a founder:
Founders inherit a certain level of credibility in their own companies. This is called positional credibilityβauthority earned by the nature of their role.
But positional credibility can backfire if abused. Founders who demand or manipulate, rather than persuade, are not long for the startup world. Your smartest employees will leave, and youβll be stuck with yes-people who donβt know what theyβre doing. Donβt rely on positional credibility.
Real credibility is established by deep experience, sound decision-making, listening to feedback, and consistently showing up and doing the work.
Credibility is not universal, either. As a technical founder, you have credibility on development decisions, but maybe not marketing or sales decisions. You may have deep experience in one industry (e.g., hospitality), but what happens when your startup pivots to micro-office space? Credibility must be earned in every vertical and every function of the company.
So what do you do when you find yourself wading into an area where you lack credibility? You borrow it. Before presenting your case to the team or investors, build a coalition of people who have deep credibility in that specific area. Ask them questions about the feasibility of your idea, what roadblocks may occur, and why (or why not) the company should take this direction. If the experts are on board, ask them to vouch for your decision. Borrow their credibility to supplement yours.
How do you establish credibility when writing? Same as you would in a presentation or board meeting. Answer the question, βWhy should we listen to you on this subject?β If you have earned credibility, say why. βIβve spent fifteen years in the commercial real estate market.β If you havenβt earned credibility, cite sources who have it. βJeanne Gang is a world-renowned architect. Together we developed this plan.β
Once youβve earned or borrowed the credibility you need, turn your attention to those on the other side of the table.
The crux of ethical persuasion is finding common groundβa win-win scenario. Your goal isnβt to create the absolute best deal for yourself, but to find a solution that both parties can be satisfied with. You want others to walk away feeling like they could work with you again. Play the long game.
Finding common ground is an act of empathy. Letβs revisit the empathy-building questions we asked in Know Thy Reader:
Who am I writing to?
What do they want?
What do they need?
What stands in their way?
How can I help?
Why should they care?
For persuasion, one more question to ask is: βWhat objections will the other party have?β
Letβs say you think you need to shut down a poor-performing product: the Ultra Widget. Itβs not worth the time and resources your team is putting into it. You need to put more energy toward your best-performing tool (weβll call it the Super Widget). But the Ultra Widget team still believes in its potential and doesnβt want to give it up. How do you persuade them itβs best to shut it down?
As a founder, you have two options.
Option one: Mandate they shut it down and move on. This path may be quick, but you also risk pissing off a lot of people.
Option two: Make your case. Letβs use the questions above to craft a persuasive message:
Who am I writing to?
The Ultra Widget team: Raj, Cecily, and Stephen. Theyβve been working on Ultra Widget for nine months.
What do they want?
The Ultra Widget team wants to continue working on Ultra Widget. It was Stephenβs idea in the first place. He recruited Raj and Cecily early on to build it. They believe it can become a game-changing tool for the industry. They want just six more months to prove its value.
What do they need?
The team needs to feel successful. By shutting down Ultra Widget, they may feel like they wasted nine months of work on nothing.
What stands in their way?
Mountain: Ultra Widget has about one-third of the daily active users as the companyβs most popular tool, Super Widget. Worse yet, user growth has slowed to a crawl.
Villain: Theyβve developed a βfailure is not an optionβ mindset. Raj, Cecily, and Stephen are convinced that if Ultra Widget fails, they will be seen as failures by the company and that they may even lose their jobs. They believe their reputations are at stake.
How can I help?
First, the team needs to know a product failure is not personal failure. Are scientists upset when an experiment fails? Of course not! Theyβre elated because they learned something new. The team needs to know their jobs are safe and their time working on Ultra Widget was NOT wasted.
Plus, it hasnβt been all bad with Ultra Widget. The team has learned valuable consumer insights and theyβve developed a few innovative features. We can try to incorporate Ultra Widgetβs most popular features into Super Widget.
Why should they care?
The Ultra Widget team did not fail. They exemplified the startupβs mission and are a testament to the incredible things they are building together. Even though Ultra Widget did not succeed, we can use it to propel Super Widgetβs user growth. If weβre all rowing in the same direction, weβll reach our ultimate goalβan IPOβfaster.
What objections will they have?
Itβs just not Ultra Widgetβs slow growth thatβs a concern. We also need to consider Super Widgetβs massive growth. We see this as the opportunity for us, and we need all hands on deck to succeed. We canβt waste any more time pulling in different directions.
Weβre incorporating UWβs best features into Super Widget. It will be better than ever. But at the end of the day, we canβt make everyone happy.
We need you on the Super Widget team.
Notice how we found common ground with the Ultra Widget team. We framed the decision to shut down Ultra Widget as a win-win. The company can now grow faster, and the Ultra Widget team will contribute to this.
Finding this amicable solution wouldnβt have been possible without deep empathy. As a founder, you need to understand the emotional impact of your decisions. The best persuaders take emotions into accountβthey donβt try to bulldoze over them in the name of logic and efficiency.
Sara Blakely had a problem. Before her brand of shapewear, Spanx, became a household nameβand before she became the first self-made female billionaire in the USβBlakely couldnβt even get her product into stores.
Early customers absolutely loved their Spanx. It solved a problem that long plagued womenβs clothing, one that many women had found homemade solutions for. But when trying to explain the problem to department store buyers, it never clicked.
On the hit podcast, How I Built This with Guy Raz, Blakely shared the story of how she finally got Spanx into Macyβs. While meeting with the department storeβs senior buyer, Blakely couldnβt get her to understand the value proposition. Despite the sales figures and customer testimonials, the senior buyer was not convinced.
Finally, out of desperation, Blakely decided to literally show her what Spanx could do. She took the buyer to the nearest restroom and stepped into the stall. She stepped out no longer wearing Spanx under her dress. The senior buyer could instantly see the difference in the way Blakelyβs dress fit her. Macyβs started selling Spanx immediately.
Blakely, like all great persuaders, understood that vivid examples are more convincing than numbers.
As a writer, you can use stories to add vivid examples to your work. I opened this book with a story about Benjamin Franklin. If you remember anything from reading Great Founders Write, I would bet itβs that story (but I hope itβs much more). Stories stick in our brains better than facts and figures, which makes them potent tools for persuasion.
Donβt get me wrong: numbers are still critical to crafting a persuasive argument. But they arenβt enough on their own. Use numbers to justify your argument, not make it.
Suneel Guptaβentrepreneur and author of Backableβ spent years researching what it takes to raise venture capital. Gupta saw that some founders had that βItβ factor β¦ but what was it?
After years of researching the question, Gupta discovered that the most persuasive founders had one thing in common: conviction. They believed deeply in their cause and company.
Contrary to popular belief, people arenβt persuaded by logicβtheyβre convinced by emotion. People want to see you are emotionally committed to your venture. You donβt just believe it in your headβyou believe it in your heart and soul.
But emotion is a two-way street. You also need to understand the emotional state of your audience. What type of energy should you use to present your new idea? Should you go in strong and opinionated, or soft and guiding? If you get the emotional tone wrong, youβll lose your audience immediately.
Go back to the section Know Thy Reader, question #3: What does your audience need? Do they need reassurance that theyβre livelihood is safe? Are they craving novelty or self-expression? Use this question to probe the emotional state of your audience and connect with them on their level.
Persuasion is an art. Like all art, itβs rooted in empathy. Your goal is not to win, but to create a win-win scenario for you and others involved.
Thereβs one last thing to keep in mind about persuasion: it takes practice. As a life insurance agent, I would literally role-play sales conversations with my boss to hone my persuasion skills. Weβd also review after meetings and phone calls to identify what I did well and where I could improve.
I recommend keeping a journal of your persuasive conversations. Record the details of the situation, what went well, and where you could improve. What objections came up? What did you learn about the other party that could help you create a better win-win solution? What facts or vivid examples could you add to strengthen your position?
When you really believe in something, persuasion will no longer feel like a necessary evil. It will feel like a natural step in the journey of building your vision.
Mac Conwell is a developer, two-time startup founder, and venture capitalist. In 2020 he started Rarebreed Ventures, a pre-seed fund focused on underrepresented foundersβfemale founders, minority founders, and founders living outside the main startup hubs in the US.
For all of Macβs skills as a developer and capital allocator, his greatest strength (in my opinion) is his storytelling. As we discussed the importance of founder-investor communications, he shared this story: