Crowdfunding: A Few Tips For Success!
Launching a crowdfunding campaign can be a stressful and hectic process. Less than 50% of crowdfunding projects via Kickstarter and Indiegogo successfully meet their goal. A solid product idea is a must, but creating the product is only half the battle. Marketing your idea and gathering startup funds can be just as difficult.
Determine your marketing strategy. Plan your approach and ask for feedback from your potential audience. Keep future investors in mind when designing key features and how those features might apply to them.
Ask for the minimum needed for launch. IndieGoGo allows you to claim the funds even if you do not meet your goal. However, Kickstarter does not. It is important to not set your goal too high. Additional funding can be achieved at a later time.
Maximizing product and personal exposure. Wearable technology is a hot topic and news articles from websites such as CNet, CNBC, and Yahoo! help ensure that funding will continue to pour in. For example, wearable technology company BitBite raised nearly $20,000 in less than 48 hours, in large part, because of the publicity via news websites.
Keep your potential investors in the loop. This will go a long way to garnering goodwill, which might prove vital if additional funding is required down the road. By using blogs and social media to update your contributors, potential investors are more likely to receive positive reviews regarding your idea.
Know your product. Once your campaign is launched, you must be prepared to answer detailed questions about your product. If key features cannot be described clearly, investors will go elsewhere.
Be prepared and know your product. Most importantly, know your investor.