You have this amazing idea for a new product/service and you realize that unfortunately for you to get this cool new project out to the world you are going to require some form of funding. So what do you do? You register on a crowdfunding platform (Jumpstarter) and tell all your friends about it and ask them to share it with their friends as well.
Your social media strategy is locked-in and on point so you know that you are going to get the maximum impact from your Jumpstarter campaign. Initially, the reviews that you receive for your project are very encouraging. Then a few days go by and the contributions start to slow down. A few days turn to weeks until eventually you plateau.
Why is this so common?
What makes one campaign successful and another not so successful?
The answer lies in the work that you do before you even launch your campaign.
In very simple terms the purpose of you launching a crowdfunding campaign is to get people to buy-in and support your innovative idea right? But then how will people be able to know how great your idea is if the first time they are hearing about it is only the purpose of you launching a crowdfunding campaign is to get people to buy-in and support your innovative idea right? But then how will people be able to know how great your idea is if the first time they are hearing about it is only after you launch?
It is vital for you to be honest with yourself. Ask yourself when was the last time you or anyone you know went onto any crowdfunding platform with the sole intention of looking for different products/services to fund? Chances are that you have never done this and probably don’t know anyone else who has. But let’s dig deeper into this – when was the last time you actually did support a really cool idea? How did you hear about this idea? If you heard about it from a friend think about how they heard about the idea?
Another way to think of this is when was the last time you willingly gave your money to someone over the Internet that you have never met before or interacted or engaged with in any way possible? Think about the difference between going to an open market with a bazaar atmosphere where different stall owners are calling out to get your attention and the way you get treated when you walk into a high-end restaurant. In the former context, the people trying to sell you things don’t have any idea what you want. Whereas when you go to a good restaurant you know it’s good because the service is good – they ask you what you want.
Even before you sit down at your seat you are greeted by a maitre’d who asks you how many of you there are to better accommodate you; whether you would like to sit in the non-smoking or smoking section; then when you are finally seated your waiter asks you what you would like to drink whilst you decide what you want to eat. The point here is that a good product/service is only as good as the relationship that underlies it.
In the context of crowdfunding, it is important to understand that you are trying to create a relationship with the individuals or companies that you are seeking funding from. This, therefore, means that you need to actively find people who would be interested in your product before you decide to launch a campaign.
This is called validation. This type of interaction helps you to take corrective measures to improve your idea over time long before you ever launch a campaign so that by the time you do launch you know you have a validated idea and a number of backers already waiting to help you succeed by sharing your idea to their circles.
- Share your story. Let your potential funders know how your product or business idea can benefit them. …
- Offer great rewards. …
- Set a funding goal. …
- Promote your campaign. …
- Update your backers as your project progresses. …
- Fulfill your promise. …
- Find a viable means to monetize your pain point. …
- Find a manufacturer you can work with!
Gosh so practical and usable, I’m so there!