Recently the Consumer Media Network posted a blog article by Chris Becker entitled “Crowdfunding: Getting the Most Out of Your Project” which tracked the lessons learned after launching his own Indiegogo crowdfunding campaign. The tips and insights included thoughts on which materials to use to promote your project and how to track and promote the progress of funds raised.
Indiegogo offers users a feature called flexible funding, which says that if the project meets its project funding goal, then Indiegogo only keeps 4% of funds raised as the platform fee. However, if the project fails to make its goal, the project coordinator still receives the money from its donors, but Indiegogo keeps 9% of the funds raised instead.
Chris was able to nearly reach his goal and was able to begin work on his Women in Jazz promotional video. But I think that as crowdfunding continues to become a major player in the art and business world, that it is important to continue sharing these stories and other short case studies of both failures and successes. Why? Because there are tons of projects out there that don’t make it and it’s good to reflect on why something does or doesn’t work.
Another article by Jeanne Pi recently had a scraper script written that was able to scrape all Kickstarter projects as of the beginning of June and found that of the 45,815 projects on Kickstarter only about half of them end up receiving funding
In this study, successful projects raised their funds in an average of 38 days and unsuccessful projects raised their funds in an average of 43 days. And successful projects raised around $5,000 and unsuccessful projects raised around $16,000. Does this mean that earlier deadlines and lower funding goals are part of successful funding? I’m not sure, but they’re still good numbers to keep in mind.
What are your crowdfunding stories? What do you think coordinators should keep in mind as they set to sourcing funds?