How to have success in crowdfunding
What is crowfunding?
Crowdfunding is a way of collective financing through an online platform that is based on economic donations by companies, individuals or investors, to finance a project in exchange for rewards or altruistic participations. These rewards can be a shirt with the company logo or an invitation to the inaugural party.
There are many crowdfunding platforms that are the meeting point between projects and investors who want to bet on one of them. Some of the most important, nationally and internationally, are: Verkami, Goteo, Kickstarter, Indiegogo, Appsplit, RocketHub, Mymajorcompany, Lanzanos, Crowdthinking, Inverem, Emprendelandia y Crowdfunder.
PHASES OF A CROWDFUNDING CAMPAIGN
1. Choose the crowdfunding platform most suitable for the project. Choosing a platform to launch your project you have to keep in mind that, depending on your project or idea, it is better one platform or another. Some of them have more success in musical projects, others are specialized in design and creativity… You must choose that one best suited to your idea.
2. Offer all information about the idea. In order to evaluate the project, it is necessary to add a description of the project, how much money is needed, how much time there is to collect everything necessary, type of crowdfunding chosen, etc. You must prepare images, texts, videos, infographics… In addition to defining rewards that are motivating for people who participate in the campaign.
3. Dissemination and communication. Once the idea is launched on some crowdfunding platform, the most important thing is communication. We must promote the idea to the maximum and take some actions offline and online that attract as many collaborators as possible. Consider creating a landing page, external to the platform, as well as a blog or collaborations with bloggers and influencers. Be creative when designing the strategy.
4. People value the project, they bet on it. Throughout the campaign, those interested in betting on the project are making their contributions. And in the moment that someone bets on an idea, becomes a collaborator with his monetary contribution to the project so that it can get going. Thus, when the project works, collaborators will be able to benefit from it. It is very important that you keep track of the campaign and be very aware of the comments and doubts to be solved. Communicate deadlines and how rewards will be received. Let’s recap:
5 KEYS TO SUCCESS WITH THE CROWDFUNDING
Convey your motivation. Let everyone know, usually through a video presentation, the reason of the campaign. Let everyone see the passion you put into the project and show them you’re going to leave the skin to go forward.
Present the idea in an attractive way. Although everything depends on the quality of the idea, it also influences how you sell it. Use clear, simple and direct images, a good video and… Watch out for spelling mistakes! The more creative and original you are in presenting your idea, more impact you will have.
Share it without fear and make everyone share it. The important thing is that the campaign has a wide reach, and this is not possible if it is not shared in all possible ways. So, share it through social networks like Facebook or Twitter, but also by email or other methods with the intention of attracting potential investors who can collaborate in the project.
Create a prototype and include testimonials. This serves to make people better understand what the project is about and how the final product would look. The experiences of people who have tried it can not be a better asset when it comes to building confidence towards the project.
Adapt to make it viable. If you discover that the original idea does not have as much acceptance for the audience that you are targeting, you can vary the idea with a spin-off and adapt it to make more sense in the market.
If you want to see some examples, in this other post you can see the most successful crowdfunding campaigns last year.