There are a number of crowdfunding tips that are bandied about the World Wide Web — but here are some tried and true crowdfunding strategies. Regardless of whether you are going for a rewards-based crowdfunder, flexible funding, Peer-to-Peer Lending or even Equity based crowdfunding, there are some basics that will help create a solid foundation and enable promoting your crowdfunding campaign.
- Do your research. Know whether your idea is new and fresh or if it is a variation on a theme.
- Have a fully developed idea or product. Your audience/contributors will like knowing exactly what kind of product or service you are offering. They are more likely to respond positively to your campaign (i.e., contribute funds) if they have a solid picture of your goal.
- Select the platform that meets your needs.
- Create a catchy title for your campaign.
- Present your product or service attractively. Make your video, your illustrations and even your word pictures (text) about your campaign lively. If you are focusing in on a campaign that appeals to your audience’s sense of generosity, select pictures and words that appeal to their emotions. Give them the sense that they will be doing something good, and that they will feel happier for having made a contribution.
- Make your video about your product. Your contributors are more interested – as a general rule – in your product or service than they are about you. However, your video can and should include your qualifications for creating the product and for running a company. Crowdfunder contributors do like knowing that their cash is in good hands.
- Give your crowdfunders something for themselves. Even if you are running your crowdfunding campaign to support an event or product that will ultimately be for charitable purposes, those little rewards can really make a difference. This can range from a digital reply to small contributions to items which are sent through the regular mail or delivery systems.
- Digital rewards minimize delivery costs. Although you might need to take some steps to insure security, ebooks, digital music and digital pictures are rewards that you can send to an infinite number of supporters at minimal cost.
- Factor delivery costs into your campaign budget to avoid disappointing your supporters. Also, make sure you plan for creating enough rewards if t-shirts, hats, or other items with your logo are part of your plan.
- Tell the world about your crowdfunding campaign. Even though social media such as Facebook, Twitter, Linkedin, Pinterest and Instagram can boost coverage for your campaign, nothing beats calling up your favorite relatives, your friends and even your frenemies and telling them about your crowdfunding campaign.
- Do use social media. It spreads the word of your campaign beyond your immediate circle of family and friends.
Enlist some help. There is a momentum to a crowdfunding campaign. It is one of those kinds of things where nothing succeeds like success. If you see your contribution growth faltering, it might be a good time to enlist an expert – such as Best Crowdfunding Websites, which is powered by SMT Agency. SMT-Agency.com specializes in advertising for crowdfunding campaigns.
- Keep in touch with your contributors as you use the funds to complete your goals. Keep them in the “know” concerning fulfillment milestones, bumps in the road to success – and, of course, when the goals have been reached.
- Be proactive toward damaged reward items. Order a few extra, and have a deal with the manufacturer to take care of those items that just don’t quite work – particularly if this is a product you hope to sell after the campaign is over.
- Follow through with promised rewards. You might want to run a campaign again someday. Video and game producers can sometimes cash in on last year’s success to run a campaign for sequels or new developments.
- Don’t forget to tell your contributors “Thank You,” and to give them credit for your success.
Crowdfunding is somewhat unpredictable. There are no guarantees that you will have a successful campaign. However, these are tried and true methods that will definitely enhance your chances of having the results you hope to gain. Distilled down they amount to: Plan well; tell everybody you know and more besides; don’t be ashamed to ask for help; plan for accidents and problems; and follow through with rewards and with saying “thank you” to your supporters.
Crowdfunding is somewhat new, fueled as it is by the Internet, but crowdfunding strategies are based on sound business practices. Courtesy to customers, to your supporters, and even to the people you hire to help out are very old, well-tested methods. Making your product attractive and being responsible about delivery have long been a part of good business practices. If you treat your crowdfunding campaign supporters the way you would like to be treated if you made a contribution to someone else’s campaign, then you will be running your campaign just right. May your every campaign be wildly successful, beyond your dreams!