Crowdfunding as a Marketing Strategy

As you know probably know, crowdfunding is a method to raise funds for a project or business venture by soliciting small contributions from a large number of people, typically via the internet and through various platforms.  But it can also be used as a marketing strategy which involves using the appropriate crowdfunding platforms and target country to not only raise funds but also to build awareness and interest in a product, project or idea in certain parts of the world where your story hit a chord or your project has a relation with that region or country.

Not all products are suited for such a strategy, usually, it works best for innovative new products or technology, creative projects, and social impact or environmentally friendly initiatives. For obvious reasons and as it is the case for ads touching the general customers, emotionally charged stories tend to do better.

 Here are the Basic Tactics used:

1. Pre-launch marketing: Creating a buzz about the crowdfunding campaign before it launches can help generate interest and excitement. This can include creating a landing page, sharing updates on social media, and reaching out to potential supporters.

2. Storytelling: Telling a compelling story about the project or idea help capture people’s attention and drive engagement. This should include information about the problem the product is solving, the team behind the project, and the impact it will have.

3. Influencer marketing: Partnering with influencers in your target market can help spread the word about your crowdfunding campaign and reach a wider audience.

4. Incentivized rewards: Offering rewards to supporters, such as early access to the product, exclusive merchandise, or behind-the-scenes access, can incentivize people to contribute to the campaign.

5. Community building: Building a community around the project can help drive engagement and support. This can include regular updates and communication with supporters, creating a Facebook group or forum for discussion, and responding to feedback.

6. Post-launch follow-up: After the campaign is over, it’s important to continue to engage with supporters and update them on the progress of the project. This can help build long-term relationships and potentially drive future sales.

By using these tactics effectively, businesses can leverage crowdfunding not just as a way to raise funds, but also as a powerful marketing tool to build awareness, engage with customers, and ultimately drive sales.