We all read the stories about how crowdfunding could earn you thousands of dollars in just days. Some imagine it happening for our own projects. The good news is that money is indeed out there in the cyber world. The bad news is that it isn’t going to magically appear just because you start a crowdfunding campaign.
The success of your campaign will depend on the foundation on which you build it.
Follow these simple 7 steps to ensure that your crowdfunding campaign gets started on the right foot.
1) Select a Project with Significance
Don’t bother creating a ho-hum project or one that others have no passion about. Simply put, crowdfunding will only be successful if you create a project that has some real significance behind it. Ask yourself why this project matters. Think about whether a stranger would care about your project and why.
2) Craft a Killer Pitch
Creating a pitch that will get a large group of people excited about your project isn’t always simple. A winning pitch will hook your reader through crafty headlines, images, and answering their questions. Potential readers will want to know who you are, what your project is about, and why they should care (and donate).
3) Choose Your Funding Goal Carefully
Your funding goal is dependent on your project’s objective and appeal. It’s easy to get a bit carried away with your project and assume you’ll get more funding than what is realistic. A good way to determine your funding goal is by calculating the minimum cost for the reward you promise to deliver in your pitch.
4) Create a Limited Time Offer
Limited time offers create a sense of urgency to donate. A 30-day donation time frame can dramatically boost your campaign success if done properly. For this time offer to work, you will need to build up interest and momentum before starting your campaign. This will give you a major head start.
5) Film an Engaging Project Video
In today’s world, there are no questions about whether a promo video is helpful or not. The majority of potential donators will feel more compelled to donate after watching an engaging video rather than reading text alone. Keep it under 3 minutes and don’t forget a call to action!
6) Let Your Donors Know You Care
It’s easy to forget that your donors aren’t just a source of funding when you get caught up in your campaign. You can show them you care in a number of different ways. Give donors an exclusive look at your project, a limited edition copy of your product or even a discounted rate on your services.
7) Don’t Forget to Expand
Expanding doesn’t just mean staying on top of your social media networks and sending out batches of emails. You need to build more awareness for your campaign and your project. Expanding your project goes hand in hand with engaging your audience. One of the best ways to engage your audience and expand your project’s potential is to always remain authentic.
Have you tried a crowdfunding campaign or plan to implement one in the future?
Let us know in the comments below!
Matthew Toren is an Award Winning Author, Serial Entrepreneur, and Investor. He Co-Founded YoungEntrepreneur.com along with his brother Adam. Matthew is co-author of the newly released book: Small Business, Big Vision: “Lessons on How to Dominate Your Market from Self-Made Entrepreneurs Who Did it Right” and also co-author of Kidpreneurs.
Follow Matthew on Twitter: @matthewtoren