Is Preaching really about story?

This question was offered up to me like a slow pitch softball in a lunch conversation last week. The question is not really that easy, per say, its just that the person who asked it had no idea what they were in for when they asked ME :-)

I'd love to hear some people thoughts on the role of story and narrative and preaching. I have some thoughts, which I will share as we continue, but I'm curious as to what you all might think. To get things started there are two quotes I'd like to throw out there:

"Truth naked and cold had been turned away from every door in the village. Her nakedness frightened the people. When Parable found her, she was huddled in a corner, shivering and hungry. Taking pity on her, Parable gathered her up and took her home. There, she dressed Truth in story, warmed her and sent her out again. Clothed in story, Truth knocked again at the villagers’ doors and was readily welcomed into the people’s houses. They invited her to eat at their table and warm herself by the fire."

- Jewish teaching story


And this offering which comes from an interview from the infamous "Wittenburg Door" magazine with one of the greatest story tellers of our generation, Garrison Keillor.

Door: Any suggestions on making sermons better?
K: Yes. First, I think that people want to hear the gospel in the form of a story. There’s a story at the heart of every sermon. I think sermons fail when they take that story, stick it in a corner, and make it into a lecture. That won’t work for people.
Door: Why not?
K: A story allows people to come into it. You can somehow envision yourself as a participant in a story. It engages the imagination in a way that a lecture does not. In order for a lecture to draw people in, it really has to be a sustained experience. Twenty minutes is definitely not enough time.
But a story has a magical power to draw people into it. If you simply describe specific details of a landscape, if you crate a street in a small town in Midwest in January on a Sunday afternoon in North Dakota with the drifts plowed up high along the sides of the road and steam coming out of the chimneys of a few homes on the edge of town, and beyond that a great sea of snow on fields perfectly flat and broken by tree lines around farms – you’ve just created a landscape that someone will be imagine himself in. And then something else can happen.
Door: What?
K: You can draw him out of himself and into this place in the imagination. The story of Job draws us into it. The parable of the prodigal son is easy for me to imagine anyway. Most of the other stories in the New Testament draw people in, as well.