In July 2013, an Indiegogo campaign for Scanadu Scout ended, raising over $1.6 million:
After raising money on Indiegogo, the team went on to raise $10.5 million in venture capital funding.
Scanadu Scout, and other projects have captured the public’s imagination as to what is possible on crowdfunding platforms like Indiegogo and Kickstarter. However, at the same time, the majority of projects on Indiegogo are not successful. According to some estimates, only 34% of Indiegogo projects are successful. To help get that number up, we’ve put together a few tips that can keep you on track before, during, and after your project.
1. Learn how to get people’s attention
Some of your backers may come from the Indiegogo platform itself. These are people who are browsing through projects looking for interesting products or campaigns. By including a colorful, eye-appealing thumbnail photo that plainly portrays your brand, logo, or high quality photo of your product, you can ensure that more people will be likely to click on your project to learn more.
Keep the summary of your project short and to the point. Don’t forget to include a hook that will make browsers want to click through and watch your video on the project page.
2. Set a realistic goal
Generally, projects with a lower goal have a higher success rate, particularly if you are running a fixed funding or “all or nothing” campaign. Set your goal at the minimum amount it will take to fund your project and distribute your rewards. Leave some wiggle room in case you run into any unexpected issues (10%). Don’t put your goal higher than it needs to be – people want to support projects they believe will be successful, and it helps when they can see how your goal fits in with the needs of the project. You can always release stretch goals later.
Explain how much of the funds will be going towards development, manufacturing, rewards, etc. Being open and transparent will increase pledges and backer trust.
3. Offer appealing rewards
Your rewards should be tailored to your project and give backers something exciting as a thanks for being early supporters. This could be a wide variety of things such as a below market price for a new product you are launching, merchandise, limited edition items, to unique things like exciting experiences and custom rewards. Some people suggest including more expensive limited rewards to attract people who can afford to pledge more and really want a behind-the-scenes look at your project. For some Indiegogo reward ideas, check out this article.
4. Save time by setting up your FAQ
Answering the same questions over and over can be time consuming. At the same time, it is important that backers feel they can get answers if they’re expected to support your campaign. You can save time by putting together a FAQ with questions you’ve been asked frequently or things you anticipate will come up. This way people can find the answers they need reading your page instead of always having to message you directly.
5. Put up a high quality video
A good quality video catches people’s attention and shows that the creators took the time to present themselves professionally. Although just about anyone can start a crowdfunding campaign, I think backers still expect a level of professionalism because it displays a creator’s level of maturity and seriousness with regards to the project. If you’re having trouble getting started or are short on funds, check out these resources to create a crowdfunding video.
6. Have a social media plan
Spend a few months before your campaign building up your networks and keeping people updated on when you are going to launch. Brainstorm anything creative or interesting you could do to stand out on social media sites. The chances of going viral can lead to increased pledges and media coverage in many cases.
You can launch a contest to name a new product, agree to tattoo yourself once you reach a certain goal, or release funny childhood pictures of yourself when people share your campaign. All of these have been used as social media strategies to drive attention to crowdfunding projects. The sky is the limit, really.
If you’re tight for time or have a small following, you can use Thunderclap or Headtalker to get everyone to share your project on social media at the same time.
7. Tell a good story
You want to craft a good story that will resonate with backers, and that will be newsworthy in the media. You will need to include some key facts and keep it interesting without rambling or losing readers’ interest. To avoid being bland or boring, record yourself reading your pitch out loud. How does it sound? When you read it out loud to your friends or family, at what point do they lose interest?
You should include who you are, what your story is (what led up to this campaign?), why your project is great, why people should support it, and what they get in return.
8. Be honest and communicate often with backers
There are plenty of little things that you can update your backers on. They will enjoy feeling like they are in the loop and it will also remind them about your project and likely encourage them to keep on spreading the word throughout your campaign. Give updates (once per week minimum) on things like increased pledges, news coverage, positive reviews, pictures of prototypes, response from users, pledge milestones, backer milestones, and finally reaching your goal.
Let them know about any challenges you anticipate and how you are planning on avoiding any issues. If something unexpected comes up let your backers know right away and give them an estimate on the time of the delay. This can help maintain your reputation and avoid backlash from unhappy backers.
Conclusion
Each of these tips are small in their own ways, but together they can make a huge different in the success of an Indiegogo campaign. Creators must take the time to present themselves in a way that is professional, interesting, unique, and to the point if they expect to keep potential backer’s attention on their page and not the million other things going on in people’s busy lives.
For further reading, check out the Indiegogo playbook, which has good fundraising tips and suggestions.
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