TechMoola Offers Five Valuable Tips for Crowdfunding Success

As part of our E-Book Giveaway, Daily crowdsource is happy to present a few tips straight from the folks atTechMoola on how to run a successful crowdfunding campaign.

Present your project as clearly as you can

The way you present your project can be the difference between failure and success. People won’t get involved in a project they don’t understand; and they certainly won’t pledge their money if they don’t have a clear picture on what your project is all about.

If a picture is worth a thousand words, a video is worth even more. Create a video and speak directly to your future investors and consumers. Be detailed, explain clearly to your audience what you’re aiming for, and most of all, explain why your project is important and how it affects their lives.

Justify your budget

Many crowdfunding projects fail because the people behind them don’t explain their budget.

Remember, when people are asked for money, they want to know exactly how you intend to spend it and what your prospective returns are. Don’t forget that this includes realistic time frames and when the audience can expect to see the project that they funded in action.

Your whole project must be transparent or else people won’t step forward  to help you get the funding you need.

Get the word out

Don’t be afraid to promote your crowdfunding campaign. Use all the tools at your disposal, including social media platforms.

Spread your campaign using Facebook, Twitter, Google+ and LinkedIn. Write a press release and send it to websites and publications you think might be interested in publishing a story on your project (you’ll be amazed at how often this works.) Create a blog about your project, explain how it has evolved and give updates on how the campaign is going. Ask people for feedback and talk to them about your ideas.

And don’t forget your family and friends! Telling your own circle of friends to spread the word could help expose your project exponentially, and therefor raise more funds.

Include everyone

Are there other people besides yourself involved in your project? Include them in the funding process as well. Introduce your team to the public, explain what everyone’s role in the project is and how each and every one of them is important.

Introducing your team will not only create more awareness, it will tell the public how serious you and your project are. Not to mention, putting faces to your project will make it more personable and increase the likelihood of receiving donations.

Reward accordingly

Giving rewards is a very important part of the crowfunding process. It’s not just about encouraging people to pledge their money to your cause, it’s also about giving back and acknowledging their contributions.

An effective crowdfunding campaign must have a balanced reward system. Good rewards for small contributions are very important. Because many people today are on tight budgets, a bulk of your project may be funded by several small contributions, rather than a few large ones. But bigger contributions must also still be recognized with higher rewards, as bigger contributors should be recognized in a way that sets them apart from the small contributors. Of course, every donation helps, big or small, and everyone deserves to be rewarded for their help.

For technology crowdfunding campaigns, a great way to reward contributors is to offer early access to the technology, either by way of a prototype or an earlier design or model. Offer discounted rates to your contributors. For smaller donations you can offer memorabilia like a t-shirt or a keychain, as well. Allow larger donators to become sponsors, associating their names or the names of their companies with your product.

Remember, in crowdfunding, every pledge is important. Your rewards should reflect their importance. Not to mention, providing rewards is a great way to increase your crowd’s motivation.

Be in it for the long haul

In closing, remember, running a crowdfunding campaign can be hard but it can also be very rewarding. You’re not only getting funded, you’re also creating a market for your future product and a relationship with your future consumers, paramount in today’s economic climate.