So you’ve got a big idea for an amazing new product – maybe it’s a planner, a card deck, a skincare range, a candle collection or a yoga mat. Maybe it’s something you’re having to get drawings for and coordinate with several different manufacturers, maybe it’s something you are making locally or even by hand.
But you need CAPITAL to get it started.
And you’ve had a good idea. Why don’t I CROWDFUND my idea?
Well, you’re in the right place. Let’s talk about how to crowdfund a new product idea, how long it takes to crowdfund, and what are your chances of crowdfunding your product.
Spoiler? Your chances of funding your product are higher when you start building your audience several months before your campaign goes live.
Okay, so let’s get into it.
What is crowdfunding?
Crowdfunding is when you ask people to buy your product and/or related products and services BEFORE your product has been made.
The purpose of this is to get your manufacturing capital together quickly, so that you can launch your business.
You generally manage this on a platform such as Kickstarter or Indiegogo, which can sometimes help you reach a wider audience, and you use your campaign page to show clearly and engagingly what the product is and why people should fund it.
Generally, the advantage for your funders is that they get the product at a better price than it will be when you launch, and get cool perks that make it desireable to support you now.
Why should you crowdfund?
Running a crowdfunding campaign can get a LOT of eyes on your product launch IF it goes well.
It can also sharpen your own focus and push you to get all of your assets in place by a fixed deadline! There is great potential for a campaign to go viral, but it takes a lot of work for you to get it to that point.
How long does it take?
If you want to crowdfund your planner, for instance, you should allow seven months from idea to shipping your product.
You will still need to go through (and pay for!) the whole design and sampling process, and have a photoshoot and video with your professionally produced sample.
You should give yourself enough time to build up an audience of devoted fans on yor mailing lis and social media, if you don’t already have a network of friends and colleagues you can rely on to support you. The campaign runs for 14 – 30 days, you get your money 14 days later, and then you can go into production!
What is the biggest challenge?
You and only you are responsible for driving traffic to your campaign. You must do all the heavy lifting to drive people to the campaign within HOURS of it launching.
The faster you meet your campaign goal, the more likely you are to “go viral” and get featured on the front page of Kickstarter and THEN you will start to see the numbers go UP.
Make sure your campaign page ticks all the boxes – great video, great photos, detailed and exciting description, great perks.
Keep your campaign target as low as you possibly can.
The campaigns that fail are the ones that aim for huge sums, when they could have launched on just a couple of thousand dollars.
The faster you hit your target, the more likely you are to get wide publicity, but if you don’t hit your goal, you go home with nothing after all your hard work.
What Should You Do First?
Work out your budget. Establish what you need to put in place BEFORE the campaign, and how much that is going to cost. Set a timeline for yourself that gives you a generous amount of time to build up an audience of enough people to get you over that initial “fully funded” hurdle in the first day.
Join Make It, Sell It, my free Facebook group to get support and advice as you get started!