What do all of these have in common? The Travel Jacket, Pebble, the E-paper watch, the latest Spike Lee film, Code.org, Luna mattress. From consumer products to films by Academy nominated directors. The teams behind them all managed to raise between $1 million to just over $9 million through crowdfunding campaigns.
I know these figures by heart because I’m part of a team that’s getting ready to launch its own Kickstarter campaign for a product called, Nora. It’s a smart snoring solution and we’re really excited to see it launch.
With almost a week away from launch, for the past few months my team and I have been obsessing about the experience of snorers and their partners, as we’ve been planning for the crowdfunding campaign. Since I’ve started taking my course at BrainStation, I’ve had some time now to reflect on crowdfunding in the context of digital marketing.
For starters, the crowdfunding space has grown exponentially since the two most popular platforms, Indiegogo and Kickstarter were launched in 2008 and 2009, respectively. In 2014, Kickstarter had 22, 252 projects that collectively raised $529 million, up from the $480 million raised in 2013. Indiegogo increased their funds raised by 1,000%*.
As the size and number of crowdfunding projects increase, the creators immediate circle of friends and networks are no longer sufficient for projects to meet their goals. Creators need to reach out and to develop a larger community around their project. And that’s why digital marketing has become an integral part of crowdfunding.
For me, the most interesting part of crowdfunding is the opportunity to create a community around projects. It’s a powerful thing to have a community that’s bringing energy and excitement to the project and the only way to harness it is to be transparent and to engage with backers as co-creators.
As we launch on October 14, I’m excited to use the latest tools and learnings in digital marketing to create a genuine conversation with potentially thousands of people.