Crowdfunding is a method of gathering capital from the public for almost any initiative. As opposed to the traditional way of seeking investment from a handful of wealthy investors, Crowdfunding enables entrepreneurs to raise capital from multiple sources, namely from friends, family and enthusiasts that they enrol to their dream.
The paragraphs below offer 10 simple tips and best practices for making your Crowdfunding campaign a success.
Choose the right platform
Look for the Crowdsourcing platform that specializes in the industry, niche, or product category relevant to you. If you are not sure, search for similar initiatives and see which Crowdsourcing platform supports them best.
Share your Passion
Passion is contagious, share yours effectively and people will follow. Focus on your vision and on the difference your product will make in the world. Benefits are primary, features and specifications and secondary. Telling your story in an enrolling way is key to your success.
Prepare a Killer Presentation
In-order to stand out among the multitude of Crowdsourcing campaigns out there, your offering must be crystal clear, convincing and attractive. Invest in refining your messaging and produce a high-quality video clip that conveys your idea in a unique and exciting way. Recording a passionate yet vague 3-minute speech on your web-cam will probably not take you very far.
Get the numbers right
Before you embark on your crowdfunding campaign, make sure you have added up all your expected expenses on design, marketing, BOM (Bill Of Material), assembly costs, packaging costs, shipping to your oversees backers etc. Raising capital from the public, only to discover you have fallen short in your investment needs, would be heart breaking.
Keep Rewards Simple
Keep the rewards to your backers straight forward and simple. Rewards should be derived from the level in investment (5$, 10$, 15$ etc.) Too many complicated options may confuse your potential backers, leading them to invest in simpler, better defined, offerings.
Make sure it works
You must be certain, beyond a shadow of a doubt, that the product you envision works, before presenting it to the public. If you are building a robot, and there is a fundamental flaw in the SW controlling its motion, solve it in advance. If your design is not robust enough, or it requires special materials that are not easily attained, resolve these issues before you make promises to your backers. People can easily differentiate between arrogant dreamers and a serious entrepreneur.
Create a buzz around your Crowdsourcing campaign. A good place to start is your favorite social networks, both on a personal level and within groups of enthusiasts that may be interested in your vision. Thought leaders can also play a key role in your success. Study the online landscape and identify the leading bloggers and influencers that can spread the word about your project. The right people will be able to amplify your voice, conveying it to hundreds and sometimes thousands of their followers. Make sure you keep these contacts alive with follow-up interviews and updates throughout your campaign.
Once your Crowdfunding project is out there, people will expect you to perform. Remember that at this early stage you are already starting to position your brand in the public eye, treat it with care. Be honest and transparent in your communications, sending your backers personal emails with ongoing updates and acknowledgments, including pictures just for them. A product may be duplicated or imitated but loyal supporters are much harder to come by.
Put in the time
It has become the norm that Crowdfunding project are often delivered late, adding risk and uncertainty to such ventures. In-order-to avoid this phenomenon with your project, allocate sufficient time each day to managing and promoting your project. It will pay off and raise your success chances considerably.
Work with Professionals
With hundreds and thousands of entrepreneurs competing for public funding, your product must look amazing, offer real novelty, and stand out among similar offerings. There is very little room for mistakes. We, at Klipy Design Ltd, have the know-how and experience you need to achieve your design goals the first time. As your design partners, we harness all our knowledge and expertise to your success.