People often get a bit confused about crowdfunding, and think they’re actually becoming investors in a project. But no, what someone who funds your project is actually doing is:
- Making it much more likely the project will come into existence.
- Getting some benefits that likely wouldn’t be available to regular customers. Bonuses, basically.
- Ordering the product massively ahead of time, so that they don’t get value for money for a very long time (if at all).
So getting people to fund your project largely comes down to passion. Your passion in the project being put across clearly to people, and their passion in the idea over-riding the worry that they’re giving money to a complete stranger that may never successfully complete the project!
So to help overcome that resistance, here are some ways that can help you meet (and ideally exceed) your crowd funding goal:
Use Your Personality
If you hide your personality, then people will feel they’re investing in just a faceless idea, and chances are you won’t get anywhere near to your funding goal. Because you’re not selling to businesses here, you’re selling to individuals who are (potentially) interested in your idea. So they’re investing in you as much as in the idea. In fact they’re investing in their belief that you’ll successfully (and ideally quickly) bring the idea into existence.
But actually, although crowd funding up to now has only been about products, crowdfunding is evolving. In fact the next generation of crowdfunding is being led by (aptly) NextGen crowdfunding. With Next Generation Crowdfunding, you too can be an investor in the project as well as just a customer.
Video is Vital
Without a great sales video with you (and the product!) front and center, your funding goal is going to be a non starter.
All the extra description, questions and answers, are important, but a video is really what drives a campaign. People want to see you, get to know you, and ideally see a prototype of your product so they really understand, and get a tangible feel for, what you’re offering.
Crowdfunding is a social enterprise, and the more socially active you are before and during your campaign, the more that can directly translate into more sales. There’s Twitter, Facebook, YouTube, Reddit, and any other number of other sites where your potential funders hang out, and the more they get to know you and your idea before you launch the campaign, the more likely it is to succeed, since they’ll trust in you and your idea more.
If at First You Don’t Succeed…
There are many examples of crowdfunding campaigns that largely failed first time, but with a slightly different approach, and a second go, did fantastically. So if things don’t work out first time, don’t necessarily give up. Regroup, and see what to do next.
It might be a bit of a tall order but if you can get talked about in the press, this can drive funding more than almost anything else. Of course, it’s easier said than done, but there’s no harm in trying, right?
So crowdfunding basically boils down to an idea that excites people, and putting yourself out there credibly so people come on board as very passionate early customers.