Hacking Crowdfunding

I had the honor and pleasure of being on of the speakers at Hawaii Social Media Summit.

I also heard Yan Budman, Director of Marketing of Indiegogo, speak about Hacking Crowdfunding.  According to Google, Crowdfunding is the practice of funding a project or venture by raising many small amounts of money from a large number of people, typically via the Internet.  Indiegogo is one of the leaders in this industry alongside Kickstarter.

Here are my notes from his talk:


Crowdfunding is shared enthusiasm with a global audience.

Give people an opportunity to share in the enthusiasm


This is an amazing thing for us to have

This is how you can contribute


Pitch video



  • Free promition and market research

  • multi-level engagement

    • custom experiences

    • custom communication

  • Identify Social Media Influencers

  • Amplify Existing Marketing Initiatives

Crafting an Awesome Campaign

  • Asking for more money can work against you

    • Green bar effect

    • 30% funded is the social proof necessary to

    • 87% of campaigns that hit their goal, exceed it.

    • Break it up in to different campaigns.

  • Keys to successful video

    • Honesty

    • Transparency

    • Authenticity

    • Campaigns with a video raise 114% more than those without.

    • Make people feel something.  Evoke an emotion

  • Length of campaign

    • Sweet spot is 30-40 days

    • Keep them engaged

    • Be consistent

  • Have a team

    • Campaigns with 4 or more people raise 138% more

      • Social Media manager

      • Editing the pitch

      • Overall marketing

      • PR person

      • Listening and engaging

  • Crowdfunding perks

    • Passion

    • Participation and pride

    • Perks

  • What can a perk be

    • an experience

      • virtual high 5

      • tweet at you a thank you

    • a digital good

    • a physical object

    • anything you can (legally) imagine

  • Perk Pricing Strategy

    • $25 (most contributed)

    • $50

    • $100 (raises the most money)

    • $1000 (create something that becomes a discussion PR point)


Running and Promoting a Campaign

  • Building the initial momentum with provide you with additional exposure

    • expect to raise 20-30% from friends and family

  • Create an action team

  • Develop a communications calendar

    • Email to network with personal email

      • I’m inviting you to be part of our action committee

      • You’re going to contribute on day 1

      • You’re going to tweet and facebook

      • Want to be in, if not, that’s totally cool

    • Soft launch

      • with the small action team first so that when media get there it looks good

  • Engage with the community

    • Two-way communication

  • Release new perks

    • 62% of campaigns that reach their goal have multiple funders

  • Send updates every 2-3 days

    • Raises 2x times $ vs sending 2-3 total

  • Provide the latest information/updates

  • Fulfill on claimed perks

  • Up-sell / cross-sell

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