For some time, I’ve been aware of the popular TV show The Shark Tank which airs on ABC with reruns on CNBC. Not until a prospective crowdfunding client talked to me about his pressing funding need did I take a second look at this phenomenal entrepreneurial show. That’s because the client in question needed funds to buyout existing owners and assume control of the company he’s been working at for years as a senior manager. He’s lined up to appear on The Shark Tank during the next season but that’s still months away. He was considering crowdfunding as a rapid response to a fast, oncoming deadline.
I started watching The Shark Tank and I was addicted right from the first show. The draw is obvious; will the entrepreneur be able to convince a panel of millionaires and billionaires to invest in his/hers company so they can roll out a product or a service to the masses?
My addiction was even easier to understand; The Shark Tank is televised crowdfunding. While the crowd is quite small with just six people, the core concept is the same. The entrepreneur has what they feel is a brilliant idea but they need the funds to execute. The entrepreneur makes their pitch and the sharks think it over, ask questions then decide.
Any given segment on The Shark Tank follows the exact same pattern as any crowdfunding campaign: pitch, consideration, decision.
Just like with crowdfunding campaigns, most ideas presented on The Shark Tank don’t make the cut. Even with celebrities in their corner. Observe:
And just like on The Shark Tank, crowdfunding failure doesn’t necessarily mean business failure.
Consider this article in The Financial Post about Shark Tank participants who didn’t get their funding but still killed it.
Conversely, getting fully funded doesn’t guarantee success either. This Forbes articles tells all about it.
Interestingly, everyone agrees that the publicity generated by even appearing on Shark Tank is valuable all on its own; even if the business owner fails to get a single deal. Re-read the articles above and watch the related videos and see for yourself. Crowdfunding campaigns that fail to raise the funds needed can still be valuable in so many other areas.
When it comes to crowdfunding success, Crowdfund Buzz can help you with two of the three elements spelled out in the above formula (pitch, consideration, decision) as follows:
Through crowdfunding consulting we can help you with your crowdfunding pitch. That could mean giving you advice about editing your crowdfunding pitch video in various ways to be of more appeal as fast as possible or re-writes of the crowdfunding text itself or even adjust crowdfunding perks and even deceptively simple factors such as a crowdfunding manager’s own profile on the crowdfunding site.
Crowdfunding promotion helps with the second part of formula; consideration. When we promote crowdfunding projects the goal is to attract more people to a crowdfunding campaign allowing more people to learn about the offer and think it over.
The final element – decision – is something no one has any control over. What people ultimately decide to do about any given offer — either on Shark Tank or on any crowdfunding project – is ultimately up to them.