The presence of cyberspace gave rise to the popularity of crowdfunding by providing easier access to a crowd through real-time virtual interaction. However, having a low barrier of entering the scene of crowdfunding does not guarantee success.
In fact, according to the Crowdfunding Data Center, 80% of campaigns have not met their funding goals. To be part of the 20% who succeeded, here are 5 rookie mistakes you should avoid.
#1 Not Narrating the Story
The lifeblood of a campaign is the story or the reason behind it. This is where the audience spends their first few seconds in determining whether to continue reading or to scroll away from the post. Ambiguous motives can give a feeling of uncertainty and lack of conviction which then causes the donor to hesitate.
Since anyone can put up a campaign, the platform is now saturated. This is also where the story will aid your campaign to be placed on a pedestal. With campaigns that can be similar, being specific can help yours be distinct.
#2 Being Greedy
Setting a high funding goal can be as tempting as the sun was for Icarus, but we all know how that story ended. We have to be realistic and at the same time present the campaign with a clear budget plan. Being transparent and taking accountability in its execution will manifest credibility, which is a priority of a potential donor.
#3 Barking up the wrong tree
Not everyone can be as passionate as you in your chosen cause. This is where you can be advocating your campaign but to the wrong people. You have to know your crowd to be able to speak their language.
Once you’ve decided on your audience, make a list of key supporters or backers. By building your network through family, friends, and colleagues, they will aid in keeping the ball rolling to have at least 20% – 30% of the funding goal within the 48 hours of the soft launch. David Henzel, Max CDN explains that “They will be your early adopters, people who will motivate the more hesitant observers to back you as well”.
#4 Going with the flow
This is a core part of Zen and Taoism, but in terms of crowdfunding, you should elude from treading water. The work does not stop once the campaign has been made public. Put in the time and effort to reach your possible donors through a more intimate way of communication like email and phone calls. Also, look into partnering with media outlets like journalists, bloggers, or vloggers to expand your reach.
#5 Opening the wrong door
Choosing the wrong crowdfunding platform will hinder your campaign’s success. There are a lot of options and they may seem similar but there are notable differences that can hugely affect your campaign.
Teetalk.ph offers a wide variety of services that will help set up your crowdfunding right away. Talk to our campaign organizers to get you started.
Gerber, S. (2017, Nov 10). 15 Mistakes To Avoid When Crowdfunding.
GiantSquidGroup (2017, Dec 20). 5 Common Mistakes That Will Kill Your Crowdfunding Campaign.
Indiegogo (n.d.) 9 Common Crowdfunding Mistakes To Avoid. https://entrepreneur.indiegogo.com/education/article/9-common-crowdfunding-mistakes-people-make-avoid-2/
Jarvis, A. (n.d.) 5 Mistakes To Avoid When Asking For Donations.
Patterson, H. (2016, May 1). The 5 Biggest Crowdfunding Mitakes You Make And How To Avoid Them.