The Whopping truth about Crowdfunding
Gone are the days where you dream of starting your own business but the hurdles of locking down investments keep you constrained. Crowdfunding opens up new avenues — crowdfunding is the future…
What is crowdfunding?
Simply put, crowdfunding involves raising funds for your new product idea or project whilst seeking awareness and support from target audiences. As you pitch your idea to them, crowdsourced fundraising enables you to accumulate the money needed to kick-start the project or business venture.
Crowdfunding needs to offer something sincerely groundbreaking and of great value for the investors who make a crowdfunding investment. Hence, a well laid out strategy is highly essential.
Given the soaring potential of technology, a tactful crowdfunding site is primary. Such a crowdfunding website can be created for any project; a space odyssey, fund music project, a jumpstart for an online fashion hub or a crowdfunding site non profit such as calling on support for child protection.
Online funding platforms are rapidly gaining momentum as fund sourcing has become the key to the victory of any crowdfunding campaign.
What is a crowdfunding campaign?
The magic lies in entwining your ‘most wanted’ audience of fans and customers, primarily pitching for the people who are most likely to invest in your crowdfunding site.
Targeting the right audience is key to raise money for your project. Idea financing can only begin if they like your product or idea, in which case they’ll embark on active online project funding. Should you hit your goal, you can use that crowdsourcing money to invest in or create your product.
Next, is creating a mind-blowing crowdfunding campaign to entice your investors to your project and initiate crowdfinance. The marketing campaign has to be unique and authentic, with goals that are realistic. Best is to make optimum use of technology through embedding online videos, capitalising on social media for ‘likes’ and extensive ‘shares’ so you will get a strong buzz started about YOUR great idea. Youtube live streaming too can be a phenomenal tool for this.
The bonus is that you won’t be marketing on your own; rather you give birth to a team of influencers for ‘references’ by making tweets, blogs, e-mailers or live streams.
How would you set a time target?
For how long you can keep your audience actively interested and engaged for them to make a committed investment by way of internet fundraising? A 30 day campaign would be best as success stories show and remember that marketing and cost of other resources also depend on the duration of the fundraising.
