Crowdfunding has been active for several years now, but entrepreneurs still can’t crack the code that could guarantee their project’s success. In fact, it might even be impossible to ensure high success rates in the crowdfunding industry because of the changing demand for goods and services. The best thing for entrepreneurs to do is to stand out from the fierce competition.
Referencing Malcolm Gladwell’s “The Tipping Point: How Little Things Can Make a Big Difference,” Forbes shares what could be a good formula for entrepreneurs looking to launch a crowdfunding campaign for their businesses.
Believe in the power of a few but influential people
What campaigners are most likely to do at the launch of their campaign is to get as many supporters as possible. However, what they fail to realize is that sometimes, quality is better than quantity. Reaching out to influencers, connectors and other prominent names is helpful as these people already have an established fan base.
Alternatively, entrepreneurs could also set their sights on bloggers first. Spark Crowdfunding suggests that campaign owners should take their time when approaching them. Follow them first on their social media accounts, and once a connection has been established, entrepreneurs can then shoot them a private message.
Understand what it means to be “sticky”
In his book, Gladwell defines the “stickiness factor” as the ability of a product or service to become memorable. Projects that aren’t “sticky” enough tend to fail halfway through the campaign. Regardless of how strong the initial reception was, backers are still bound to withdraw if they don’t see enough innovation from the project.
Before launching any project, entrepreneurs must first assure that they are bringing something new to the table. One of the most successful campaigns to this date is the Pebble Smartwatch campaign. Despite having to compete against the likes of Samsung and Apple in the wearable gadgets field, the smartwatch has raised $1 million in only an hour, according to Technology Review.
What made the device stick was its affordable price that started at $100 and the impressive battery that powered it for 10 days. It was not the biggest brand in the market, but its edge propelled it to unprecedented success.
Consider the timing and context
Last but not the least is context and timing. Entrepreneurs should have a firm grasp of what the audience needs. A lot of factors can contribute to the launch phase of a project, including the location, the trend and the timing. Project owners should first have a clear view of the market before placing in major funds towards the crowdfunding campaign.
With these factors in mind, campaign owners have fewer chances of failing. But they should also keep in mind that perseverance and hard work can go a long way as well.
This Wall Street outcast is giving everyone access to insider deals
Pre-IPO opportunities are no longer reserved for just the wealthiest one percent—thanks to a new equity investment platform.
Zoom and Pinterest surprise some with highly successful IPOs
Two unicorns, Pinterest and Zoom, made their stock debuts on the public market on the same day. Pinterest did well...
Local search marketing tips e-commerce site owners should know
Most e-commerce website owners focus on landing in the “Top 3” for Google and other major search engines.
7 simple ways to boost your website’s online sales
How do you improve your website’s buying process in order to increase sales?
3 reasons your business should still accept checks
Businesses need to embrace technology to stay competitive, but here’s why they still need to accept good old paper checks.
- Crowdfunding4 days ago
Wisdom of the crowd or herd mentality? A crowdfunding lesson
- Business5 days ago
Think you’re ready to launch a startup? Not until you take these steps
- Cannabis4 days ago
West Coast Ventures Group Corp. (OTC:WCVC) capitalizes on CBD market growth and the mainstream acceptance of cannabidiol
- Featured3 days ago
3 highly innovative restaurant stocks: Texas Roadhouse (TXRH), The Cheesecake Factory (CAKE), West Coast Ventures Group Corp. (WCVC)