11 Things Creators Do Wrong Which Have Led to Crowdfunding Failure
Posted on 25 July, 2016 by Team Wishberry
Image Source: DeviantArt.com
From the outside, crowdfunding looks
ridiculously simple. And the plethora of successful crowdfunding campaigns only
further cement that notion – after all, isn’t the internet a wonderful place?
But years of helping creative projects reach their fruition have taught us that
a great idea cannot carry the burden of crowdfunding on its slender shoulders
all by itself.
So, today we’ll tell you what is that makes even the best ideas sink faster than the Titanic.
Not setting a realistic budget
Creators often fail to take into consideration that a good chunk of the crowdfunding money is going to come from their own personal networks and community. This results in them setting a crowdfunding target that’s completely out of proportion with their reach, which in turn results in failure.
We recommend: Whenever you’re deciding just how much money you should be raising via crowdfunding, think about how much money you need and can raise from your networks, instead of how much you want!
Not giving the crowdfunding campaign enough timeCrowdfunding campaigns follows a strict preparatory phase, followed by actually launching the campaign and the rest. But we’ve often seen creators just forget about the prep phase and hop right into the campaign just waiting for the money to roll in. If creators got money for every time we said, “No, that’s a terrible idea”, all these campaigns would be successful.
We recommend: The idea is still new in India, so one of your first tasks is going to be informing people and preparing them to fund you. In addition, you’ll have to create some hype and excitement around your crowdfunding campaign on social media, to gain more traction. Rushing through will only lead to half-baked things, which isn’t going to do you any good. Take your time to package your campaign well and set up your community. Trust us, it’ll be worth it.
Not paying attention to the pitch video
You know who says, “I don’t need a pitch video, my idea is good enough on its own!”? Lazy people, that’s who! Seriously though, a crowdfunding campaign without a pitch video does nothing to establish an emotional connect or give people a proper peek into your project. The same goes for a shabbily done pitch video.
We recommend: It’s seriously just a 3-minutes long pitch video! And technology has made it possible to even shoot entire films on a smartphone. Just get a pair of steady hands (or a tripod), sit at your workspace, and shoot! It really is that simple.
Lack of personalized communication
We’re all guilty of this. In a bid to save time and energy, sending out mass emails and messages to every single person in your life seems like a smart thing to do. What’s worse, these messages and emails lack context and personalization. And then we’re all left to wonder why no one’s responding to your crowdfunding campaign.
We recommend: Don’t be that guy; yeah, that one everyone is forced to block or unfollow. Divide your networks into family, friends, followers, professional networks and so on, and craft your communication around each of these groups. Address people by their names, when emailing! Add a bit of a personal touch – understand who you’re talking to.
Not following up
Close on the heels of improper communication is the utter and complete lack of follow ups. In this age of total digital chaos and lowered attention spans, not following up with your networks means your messaging is falling on deaf ears.
We recommend: Personalize your communication is not enough. Once you’ve sent your emails/texts, give it a couple of days, track who has opened your email, who has responded and list down those that haven’t. Then, reach out to those in your network, and drop a little reminder to support your crowdfunding campaign!
This includes not doing your homework about crowdfunding, not talking to similar people who have successfully crowdfunded, and most importantly, not listening to those who study and deal with crowdfunding on a daily basis! Especially for those crowdfunding for the first time, jumping into this without listening to insights from the experts could spell disaster.
We recommend: Understand how crowdfunding works, before getting into it. Listen and brainstorm with your crowdfunding campaign manager while strategizing. This will not only ease your stress, but also ensure success.
Not updating your community (during and after)
If a stranger comes across your crowdfunding campaign, heads to your social media pages to find out more and finds absolutely nothing about the campaign – imagine his confusion! Same goes for after you get the crowdfunded money. People NEED to know what you’re doing with all their money. Not letting them in on your progress from time to time will only vex them.
We recommend: Seriously, all it takes is updating a picture and a caption on social media. Do it! If you don’t have the time for it, make sure you’ve delegate the task to someone else. But, remember, this is a journey you’re asking people to be a part of. You can’t do that by keeping them in the dark.
Going missing during your crowdfunding campaign
Crowdfunding is a full time job. If you go MIA in the middle of your crowdfunding campaign (for whatever reasons), who’s going to run it?
We recommend: We understand you have too much to do. But you have to time when you go for crowdfunding in such a way that it doesn’t clash with other equally crucial things. Set a schedule and follow it. And if you ask us, delegating tasks always works like a charm.
The hardest part of crowdfunding is (ironically) also the most important – asking people for money. We’ve seen so many creators hesitate and shy away from approaching their community for support. It’s heart breaking, because if you don’t ask people for their support, how are they going to know that you need it?
We recommend: Prepare yourself mentally as well as physically to reach out to each and every person in your network (often more than once!) and ask for their support. Have faith in your idea. If you believe it has the potential to be something great, DO NOT hesitate to shout about it from the rooftops! Your confidence and excitement should infect your community too!
Not packaging your idea well
Your idea may be what this country is waiting for, but if you don’t package it well it’s not going to create any impact. If people look at your crowdfunding campaign, and what they see doesn’t make their jaws drop or at least feel something, why would they want to put their money on you?
We recommend: Give aesthetics enough importance! Get a decent graphic designer on board to help you with your posters, social media creatives, etc. Same goes for the text – use language that’s simple and engaging.
Not giving enough information
When you’re asking for people’s money, the first thing they’re going to ask you back is what do you need it for? Failing which, they’re going to suspect you immediately. It is extremely crucial that you show people what your project is about, so they too know what they’re getting into.
We recommend: Have a prototype, or a work in progress or a trailer video ready. Put out plenty of images that paint a clear picture to your backers. If they can’t visualize what you’re asking they’re money for, they’re not going to give you any.
Got any more questions for us regarding running a crowdfunding campaign? Ask away!