Top 6 Things to Consider When Running Your Own Crowdfunding Project
As experts in running successful crowdfunding campaigns, we have seen it all. Those firms which you expect will do well -executing an equity crowdfunding marketing campaign, often don’t perform as expected.
For instance, we once worked with a well-known investment firm who had over 500 thousand followers. Those followers didn’t translate into equity and their campaign fell flat. Why? Dedication. Your driving focus must be the betterment of your campaign. Like anything else in business, crowdfunding needs to be nurtured if you want it to grow.
Use our tips below to gain insight into how you can gain engagement (and therefore investments) from potential stakeholders of your equity crowdfunding campaign.
1 – Your Budget
We usually recommend you set aside between- 5 and 10 thousand for the first thirty days of any given equity crowdfunding project.
Most funding portals allow you to withdraw cash before your target sum is reached. You can then spend beyond your initially estimated budget. Why would you do this? So that you can pull out a little of that funding to set aside for your next campaign, of course.
2 – Your Recipient’s Demographics
Have you thoroughly refined your targeted market for this equity crowdfunding campaign? If not, you risk getting the wrong investor, who doesn’t know anything about your line of work. This could be detrimental rather than beneficial.
Creating an outline of the stakeholder demographic you would like to attract can help avoid the above. Try to define your audience as narrowly as possible. Include the following:
- Their background as a financier – is it reputable?
- Their hobbies and interests – if they have no interest in your niche you could be in trouble.
- Where they live/work could be a factor.
- What niches they usually invest in.
- Any other demographics you can apply will help.
Using this method, you can develop a strong sense of what you need from your financiers. Narrowing down your targeted demographic can impact your returns dramatically.
Bonus Tips for Better Audience Definition
Still stuck? Follow these two rules or reach out to our expert team for further support.
- Examine what you sell and who you sell it to.
- Use an online persona creation tool to turn those metrics into actionable data.
3 – Are you using your Content Creatively?
All the content you already have online can determine an investor’s interest in your firm. Creative content encourages them to read more about your firm and therefore brings you greater footfall to your site.
Make sure you have a pro product photographer, and that you have some team photos lined up. You should also provide a video that accurately describes who you are and what you do. Video marketing has made massive headway in the last few years.
It is now estimated that two thirds of all consumers prefer video advertising and more than half want to see more videos on brand websites. It’s no wonder, since research shows video ads produce almost a full 50% more click through than any other form of advertising.
4 – Do you have Subscribers?
The impact of email marketing shouldn’t be underestimated. Email is especially relevant in a world of social media marketing, since it doesn’t rely on clicks, likes, or shares, to reach the target audience.
Email can be used in two ways: to form a transparent connection to your consumer, and to keep your investors up to date about your campaign.
Need to build a subscription list? Follow these top tips:
- Advertise through both Google and Facebook.
- Market your email subscription service just as you would a product on social media.
- Execute surveys on your social accounts.
- Highlight and encourage sign up on your home pages.
- Scour your network connections for potential clients.
All of this helps establish your firm as an expert. The boost to your reputation will pay off over time.
5 – Think about how you will maintain your campaign
We believe that putting up the odd comment on social media isn’t good enough to attract new investors. Your campaign needs to be consistent, actively managed, and well planned out. To do this, you need someone dedicated to managing it.
To decide who should manage your equity crowdfunding campaigns, you should place a monetary value on your own time. If you can make more per hour than it costs to hire an expert to do the same job – then hire the expert.
Outsourcing to a dedicated growth marketing team allows you to make the most of your campaign. Experts like Digital Niche Agency specialize in running data-driven marketing campaigns to acquire investors for your crowdfunding campaigns to save you and even to make you money.
6 – Plan Everything down to the Last Detail
Before you even begin to run a campaign, make sure you have planned as much of it as is possible in advance. Usually, your campaign will have the biggest impact when it is first released, which is why we always suggest you put aside that large initial investment for the first thirty days of running.
To avoid losing out on this momentum, clearly outline the following points:
- A developed social media action plan
- What you are going to put into your email marketing messages
- How you are going to reach your clients with your marketing materials
- How and where' you are going to advertise
- How you are going to produce these adverts
- What your budget is
- And the type of investor you want to attract.
Be Ready for your Next Big Equity Crowdfunding Project
You can never plan too much to make a break into equity crowdfunding. It takes time, energy, and money, and if you don’t have those things, you will never get it right.