Business

5 Tips To Crowdfund Your Next Project

Posted on Thursday, December 1st, 2016 at 3:56 pm

Crowdfunding is the option of using any of several available platforms (like Kickstarter or Indiegogo) to raise money for a project. It could be a creative project like a music album, a business start-up, a non-profit, or simply a desire to help a someone in need. For example, there was recently a project to raise money for an Uber driver to see his child perform in the Olympics, which reached its goal in a few days! Crowdfunding is now a $34.4 billion market and can be an invaluable aid for worthwhile projects, provided one is successful at convincing potential donors. These tips can help.


Tell a Good Story

Storytelling is an essential skill and is something successful crowdfunded projects have in common. For example, there was recently a drive to raise money for the only pub in the small town of Buchan in Victoria, Australia. The pub had burned down in a fire and the drive managed to raise $427,800 for it. Most donors did not come from that town; something about the story’s ethos touched the hearts of others and caused them to want to help. Similarly, make sure that your own story touches the hearts and imaginations of your audience.

State Your Case Clearly and Honestly

Bekkers and Weipking (2010) list the following eight factors that influence charitable giving: awareness of need; solicitation; costs and benefits; altruism; reputation; psychological benefits; values; efficacy. Presumably, at least one factor has to be present to increase the odds of a person agreeing to part with their hard-earned money. Stating your case clearly and honestly guarantees that you meet three of the factors listed above: awareness of need, altruism, and efficacy. Make sure, though, that your idea is viable and fully fledged. Run the project past friends and acquaintances first to get their opinions and gauge their reactions.

Plan Your Social Media Strategy

Have a solid independent media page (In addition to Facebook, Twitter, Instagram and all the others) with items that the press can look at and download. Also, first launch your campaign with friends and friends of friends and only expand it later. Let PR kick in at the halfway point with the press. Prepare for the launch beforehand (list of people, emails drafted, PR written, social media tweets scheduled). Remember that the optimal campaign length is 30 to 60 days.

Create a Great Video

Indiegogo campaigns with videos raise on average 114% more funds than those without. Having a video is crucial but it’s better to have no video than to have an amateurish looking video that was obviously shot off the cuff. Try to use a professional videographer and top quality graphics and pictures.

Provide Appropriate Rewards

People don’t always donate altruistically. Make sure that you are offering desirable rewards at different price options. Make sure you have the option for people to donate 20$ as research shows it’s the most common donation amount.


 

N. Boutamine | The Edge Blog

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