Navigating the DeepTech Maze

In the ever-evolving landscape of DeepTech, promoting complex technological products poses unique challenges. During the eXit Conference, Aleksei Skorik, the founder and CEO of Nanga Agency, a leading PR agency in the CIS DeepTech market, shared some tips on promoting these innovative products.

Starting Early With DeepTech PR

In one of the podcasts, I emphasised that PR for DeepTech startups must begin much earlier than for traditional IT products.

This early start addresses the extended R&D phase, substantial capital investments, and the potential to significantly reshape existing markets. Early communication builds sustained interest among target audiences, strengthens their loyalty, and helps gain visibility with top-tier funds and government bodies to secure external funding. Preparing the market in advance is crucial to avoid hitting barriers when launching the final product.

DeepTech products represent the forefront of scientific advancements, often appearing fantastical today. Examples include strong AI, quantum computing, and ultra-sensitive sensors. By gradually shaping public opinion and supporting technology transfer, the demand and valuation of these products can grow exponentially.

Practical Case: The Importance of Early PR

Let me share a case to illustrate why DeepTech PR should not start at TRL-8 but rather at TRL-4-5. A year ago, a complex DeepTech startup approached us seeking a rapid global launch. We spent a long time understanding the technological components to figure out how to package them for the target audiences.

The development was groundbreaking but extremely difficult to comprehend. The team wanted a rapid global market launch, but we warned them that such a product couldn’t be introduced to the market abruptly for several reasons:

The overwhelming complexity for unprepared people, including media representatives. To highlight the product’s genius innovation, we first needed to clearly and systematically explain the problems it aimed to solve.

The founder lacked media presence, and there were strict NDAs with partners.

Top-tier publications wouldn’t be able to verify the technology and would certainly request information about international investors, major partners, and buyers. They would definitely need an external guarantor to confirm everything we claimed. If the startup hadn’t been in stealth mode and the founder had credibility in international markets, there would have been significantly fewer questions.

The market entry structure needed to be different: since the product was B2B, communication should have started from the bottom up beginning with industry publications and gradually involving secondary target audiences and the general public.

Despite all the red flags, the team insisted on their strategy and as an exception because the product was truly incredible, we took on the project.

We conducted numerous interview rehearsals with the founder, spoke directly with countless international journalists, and organised several calls and meetings with tier-1 reporters. Despite their enthusiasm, they weren’t ready to risk their reputations and publish a piece. Everyone kept the project on their radar, pending the inclusion of major funds in the cap table.

The DeepTech product is not like a low-code platform where a journalist just needs to ensure there are no bugs at launch, and the product has a unique selling proposition and interesting features in the backlog.

Continuous Investor Communication in DeepTech

We’ve already discussed that DeepTech has a longer R&D phase, leading to an extended time to market. This prolonged period requires the team to cover ongoing expenses such as salaries, equipment, hypothesis testing, and prototype development, necessitating significant resources. Regardless of the source, grants, corporate, or venture investments, more funding is typically needed.

Unlike traditional ventures, where engagement with the investment community intensifies around fundraising events, in DeepTech, this becomes a continuous effort.

Investors, including government entities, funds, angels, strategists, and institutions, are key stakeholders in the communication strategy. Therefore, diversifying communication formats and leveraging various channels is essential. Additionally, involving external voices like investors, partners, and market experts can enhance the perceived investment attractiveness of the project.

Protecting Ideas From Being Copied

One major concern for startups is the risk of their ideas being copied when publicised early. While PR agencies typically engage when intellectual property rights are secured, I advise developing a legal protection strategy at the early TRL stages. By TRL-6, patent applications should be filed, mitigating technical risks.

Alternatively, some projects opt for trade secrets over patents to avoid disclosing sensitive information. In both scenarios, it’s crucial to delineate confidential information, implement protection controls, and manage employee access to minimise risks.

Navigating The Gartner Hype Cycle

Every innovative technology goes through the Gartner Hype Cycle, which includes the Innovation Trigger, Peak of Inflated Expectations, Trough of Disillusionment, Slope of Enlightenment, and Plateau of Productivity. Recognising these stages can help manage expectations and maintain steady communication. During the Peak of Inflated Expectations, focus on realistic achievements rather than hype to avoid future disappointment.

When in the Trough of Disillusionment, the target audience is unlikely to change significantly, but the key messages will. Emphasise that while the hype has subsided, the value and potential of the technology remain. This consistent communication helps maintain trust and supports the technology through its developmental phases.

PR efforts should not cease but should shift towards continuous education and transparent updates on progress. Highlight ongoing work to address issues and realistic timelines for overcoming obstacles.

Leveraging Futurism Responsibly

Founders of DeepTech companies have a unique advantage with their forward-looking vision. However, it’s crucial to use futurism sparingly and responsibly. While predicting future advancements can boost media presence, overdoing it can harm credibility. Ensure that speculative statements are clearly framed as possibilities rather than certainties to maintain a balanced and credible public image.

Ensuring Accurate Media Representations

In 2009, an interesting study was published in the international scientific journal PLOS One. Researchers sought to determine whether the mortality rate in NHS hospitals in England increased during the first week of August, coinciding with the arrival of new young staff.

The study analysed hospitalisation data from 2000 to 2008 for all emergency patients in the last week of July and the first week of August, considering factors such as year, gender, level of socio-economic deprivation, and comorbidities.

The findings revealed that patients admitted during the first week of August had a 6% higher likelihood of death compared to those admitted during the last week of July.

Additionally, clinical patients admitted on the first Wednesday of August had an 8% higher likelihood of death compared to surgical patients. However, the researchers clearly stated that the data set they examined did not allow for a definitive conclusion that mortality rates and the arrival of new staff were correlated. More data is needed to confirm the higher mortality rate, but the cause cannot be identified from this study alone.

Despite these cautious conclusions, the media sensationalised the findings. The Daily Mail ran the headline “Killing Season,” claiming that the mortality rate was 8% higher due to newly qualified doctors. They also coined the term “Black Wednesday” for the first Wednesday in August, alleging a high number of errors. Other media outlets picked up on the term “killing season,” with some even declaring it the “worst day of the year to go to hospital.”

To sum up, in scientific and DeepTech communications, misinformation often stems from media simplifications or sensationalism. It’s vital to work closely with journalists to ensure accurate representation of your technology. Provide clear, understandable explanations and be proactive in correcting misrepresentations. This helps maintain the integrity of your communications and protects the public perception of your technology.