Successful crowdfunding campaigns have the same things in common. Be sure that your campaign has these common factors.
There is a reason why so many small businesses have found huge success through crowdfunding. Just look at Pebble for example. They sold over $15 million worth of watches in just 22 days using Kickstarter. Now granted Pebble ended up a colossal corporate fail, but the fact that they turned to crowdfunding and generated millions in sales to bootstrap the company should tell you just how powerful it can be.
So, the question you’re probably asking is this: how can a small business launch a super successful crowdfunding campaign? After all, most of us simply don’t have as many resources as these well-established brands. The good news is that all successful crowdfunding campaigns have the same things in common. If you make sure that your campaign has these common factors, then you will have a much better chance of it being funded.
It Looks Like the Real Deal
Let’s use the product launch of “Coolest Coolers” as an example here. This product raised over $13 million on Kickstarter because the page spoke in a plain, conversational manner while utilizing audio and visual medias. This campaign was constantly updated with amazing visuals that showcased the benefits of the cooler. They wanted customers to see just how well the product was designed. Sadly, The Coolest Cooler ended up flopping too but nobody can deny they totally crushed successful crowdfunding.
This is the type of campaign that you have to launch in order to have a successful crowdfunding campaign. All successful crowdfunding campaigns make their products feel real and showcase their benefits. This motivates people to invest because they really want to get their hands on the product.
Use the Right Crowdfunding Marketing Channels
This is an area where mistakes are often made. Choosing the right marketing channels makes success easy while choosing the wrong ones can make successful crowdfunding downright impossible! For instance, if you develop a new type of software then you’d probably be better off buying space on a popular software blog than you would be paying for sponsored tweets. Or you could write an article about the new product, have it published on a major technology site, and then use Facebook Ads to promote that article. This is a perfect example of crowdfunding PR and advertising working together in concert.
The Product Has Solid Demand
So, one of the key factors behind people buying into a new product or service is that it solves a problem they have. The more people suffer from a problem, the higher the demand for a solution will be. Using the above example, the Coolest Cooler fulfilled a need that a lot of people have – the need to keep their drinks cooler for longer. It also filled some other novelty desires like adding a USB port and Bluetooth speakers.
A lot of what determines the success of a crowdfunding campaign is the product itself. After all, no amount of marketing can sell a useless product, unless your name happens to be Cards Against Humanity – but we won’t go there!
Referral Programs are Used to Create Buzz
Every single successful crowdfunding campaign uses tools to create buzz. One such tool is a great referral program. Give customers who refer your product on social media an added benefit. A lot of campaigns do something as simple as sending them a special ‘Thank You’ postcard in the mail.
If you can find a creative way to reward customers for referring your crowd funding campaign, then it’s going to get a huge social media bump!
They Master Data Analysis
Data analysis is huge when it comes to crowdfunding campaigns. All successful campaigns utilize data analysis to target the right audience. Finding the right audience is essential because not everyone is willing to buy a product before its release. Furthermore, you’ll want to know exactly where your traffic is coming from so you can focus your marketing as you grow your presence.