We often hear from entrepreneurs looking for success tips for launching a successful crowdfunding campaign. While there’s no magic solution or secret weapon to guarantee funding, studying other successful campaigns can provide you with insight on how to increase your chances of success. A perfect crowdfunding success case study comes from two young entrepreneurs who recently launched a fitness app called Bodbot through the Fundable platform. They reached their funding goal in under a week, and have since raised $32,685 with 45 days remaining in their fundraise. They utilized a number of great strategies to make sure they launched their campaign with impact that I would like to share with you.
Tap your current customer base
When beginning a crowdfunding campaign, it’s important to evaluate your network and establish exactly who will make up your base of support. The success of your crowdfunding campaign will largely rest on how effectively you communicate your launch within your various networks. Once Bodbot successfully identified who their core group of backers would be, they were able to tailor their rewards to incentivize their network to contribute. They did this by offering their personal training app for life for a low fee and saw an outpouring of contributors looking to take advantage of the limited time pricing.
Don’t be afraid to make a strong ask
It is critical that you let your backers know exactly how much you’d like them to contribute, and explain what they get in return. After sending out an initial email asking their network to contribute, Bodbot saw a good amount of pledges come in. They introduced Bodbot Plus at a discounted rate.
The team decided to send a second email to their network letting them know that the offer was a limited time opportunity and asking backers to contribute $50. They saw an incredible influx in support and reached 100% of their funding goal within hours of sending the second e-blast.
If at first you DO succeed, try try again
You know your customers and potential backers better than anyone. Think about what has worked well in the past and try to replicate your most successful strategies.
For example, have you noticed that any of your company’s emails get opened or responded to often on a certain day? Use that knowledge to plan when you send emails to your network. By making a more strategic play and timing your communication, you create an opportunity to get in front of more potential backers.
Bodbot used data from emails they had previously sent to their community members and learned what days would be most effective. They timed their emails to take advantage of these peak days and timing, and saw fantastic results.
As you begin to research successful campaigns, you’ll notice that above all, a crowdfunding campaign requires advance planning and a substantial network. If you’re contemplating launching a fundraise, start taking steps now to foster customer and personal relationships and prepare your own plan to achieve your funding goals. A successful campaign is a fantastic marketing campaign for your business now and can build momentum that will benefit your business for years to come.
Eric has spent the last 8 years building companies that help entrepreneurs thrive. Eric has been a member of the founding teams of Startups.co and Idea Buyer, and is the President and co-founder of Fundable.com. Eric was recently recognized by the White House as one of the most influential entrepreneurs under 30.
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Category: Startup Advice