Tapping Your Network for Crowdfunding Success
By Fundable CEO Wil Schroter
When beginning a crowdfunding campaign, it’s important to evaluate your network and establish exactly who will make up your base of support. The success of your crowdfunding campaign will largely rest on how effectively you communicate your launch within your various networks. Once you've identified a group of potential backers, take into account what is most interesting to your group and structure your rewards tiers in the most compelling way possible.
Your network can be divided into five main groups: friends, family, customers, professional contacts and audience.
FRIENDS
Your friends include those you see on a regular basis. You can reach out to this group in a variety of ways. Try a combination of social media updates, emails and personal conversations to leave no stone unturned.
FAMILY
Your family members are the most likely to support your crowdfunding campaign. While many entrepreneurs shy away from pitching family members, it’s important to let your biggest fans know about your venture!
You can reach out to your close and extended family members through a combination of emails, personal contact and social media updates. However, you’re much more likely to have a positive reaction through personal, individualized methods of outreach to family members.
CUSTOMERS
Do you have former clients or are you conducting a crowdfund to grow your current business? Reach out to let them know how to support your new business endeavors.
You can let your current clients know about your crowdfunding campaign through in-store promotional items, redirecting website traffic to your crowdfunding profile (for product purchases), social media updates and email blasts.
PROFESSIONAL CONTACTS
Your professional contacts include former partners, coworkers, employers, supportive vendors and any other people you had a significant business relationship with prior to launching your startup. Please note that it is not appropriate to solicit employees for funds.
Business contacts will respond well to email blasts and personal contact with a specific ask. This means that in your messaging, you should include a specific dollar amount that you would like your contacts to pledge. Your tone should be more formal than the messages you send to family and friends.
AUDIENCE
Your extended network of Twitter followers, Facebook friends, and fans can be referred to as your audience. Your messaging should be more casual in tone, and mixed with other messages about your industry.
About Wil Schroter, Fundable Founder & CEO
Wil is a serial entrepreneur who is just ridiculously passionate about startups.
He is the Founder and CEO of Startups.co, the world’s largest startup launch platform, which includes Fundable.com, Clarity.fm, Launchrock.com, KillerStartups.com and Bizplan.com.
Wil began his career as a serial entrepreneur at 19 by founding Blue Diesel, one of the first interactive ad agencies. Blue Diesel joined forces with a small agency in Columbus to form what is now inVentiv, a global agency with $2 billion in annual sales and 13,000 employees worldwide. Wil went on to start nine companies, including Swapalease.com, Unsubscribe.com, Startups.co and Fundable.com.
Wil has been named Young Entrepreneur of the Year by the U.S. Small Business Association and has been recognized by the Ernst & Young Entrepreneur of the Year program, as well as Business First’s Top 40 Under 40.