Crowdfunding is one of the best ways to raise funding for your project — fast. There are very few barriers to entry and it allows you to gain a large customer base very quickly while spending very little on marketing cost.
However, the most important part of crowdfunding? Backer rewards. People who back your project want to have a tangible token of appreciation — it could be something simple, like a sticker or a mug, or it could even be the product itself. Planning your campaign rewards for your Indiegogo projects is extremely important, as this could make or break the success of your Indiegogo project.
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Use perks to raise funds
There are customers and backers of every kind. Some are very passionate about your product and may have a lot of money to show it, whereas others may not have that much disposable income. Thus, it’s vital to include Indiegogo rewards of several levels. Indiegogo perks are great because it gives your supporters an incentive to back you monetarily. You can create Indiegogo perks by setting a title, price, and description. If a backer/supporter chooses a perk, you as the campaign manager will deliver the perk to them, and in return, they will be able to support you with the cost of the perk paid directly to you.
If you have the most popular perk (or one you would like to showcase more heavily), you can use the featured perk option. This will highlight your perk with a “Featured Perk” label, and the perk will appear at the top of your perk list. Make sure that your most important perk is listed as a featured perk, so that the maximum possible number of people will be able to view it.
You can even manage your perks in a more customized way by adding more options. For example, you can add a limited supply to your perk, which means only a set number of people can receive it. This makes people want to support you as early as possible since they’re worried that they might miss out. You can even include an exclusive (one-time) perk which only one person can ever redeem: this can be something like a flight to meet the team, a contractual position, or even some form of public acknowledgement. Exclusive perks are excellent when it comes to raising larger amounts of funds (and saying thank you to your super-fans!). Don’t forget to create various types of perks (these can be the item itself, a subscription to a service, products like mugs or shirts of different colors, acknowledgements or thank you videos…) so that you can cater to a wider array of backers who may be interested in different styles of perks.
Secret perks are another cool Indiegogo feature that allows you to add more customizability and flexibility to the backing process. You can add a secret perk to your campaign that is only visible to people who you give a specific link to. This is for perks that you only want to be viewable by a certain community. It creates a sense of exclusivity and provides a personalized touch to the backing process. You can give your friends and family a secret perk link if you want to give them the chance to get a perk at a lower rate than usual. Or, you can create a special link for your social media followers if you want to create a special loyalty reward perk. The possibilities are endless! Remember, the secret perks you create will not be visible on the main campaign (through the normal link or directly through the Indiegogo homepage).
Expand your market
If you only send out rewards within your country, you’re missing out on a massive potential global market. If you’re looking to maximize the reach of your product, you should definitely add global shipping to your Indiegogo campaign. Do some research on international shipping rates and figure out how many business days it will take to ship out your rewards to certain regions.
When you ship international, you unlock a whole new market. This means that your product will be spread amongst a much larger group of people through word of mouth. Your brand awareness will grow as a whole, your sales will rise, and you will face much better revenue flows. It’s also possible that your product or service becomes a smash hit in a foreign country — one that you had previously never even considered shipping to. In order to unlock this potential, it is absolutely vital that you ensure that your campaign rewards can be shipped to international locations. If you’re in the US, don’t limit your campaign to the US only! Opening it up to massive markets like China, Europe, Japan and more will unleash the true potential that is locked within your Indiegogo campaign.
Only promise what you can deliver
This is an age-old problem with crowdfunding projects. Projects make huge promises and set out delivery expectations, only to eventually fail backers. This can be due to several factors — production delays, mismanagement, miscommunications, or simply just bad planning. Some of these problems are caused by the root core of the business model: however, if you have a competent team, there are ways in which you can eliminate some of the common problems that campaigns face when it comes to order fulfillment.
Firstly, never promise what you do not have. If you are only able to produce 1000 units next month, then set the backer limit to 1000 units. Do not extend the limit without knowing for sure that your business can uphold their responsibility to all of the backers. Secondly, don’t plan ahead for things that are not concrete. If you expect to make a revenue of X next year, don’t create your backer rewards based on that expected revenue. Wait for the revenue to actually come in before putting the rewards on the website.
Another highly important aspect of Indiegogo fulfillment (and crowdfunding in general) is how to prevent shipping errors or delays. The fulfillment process must be excellent, and the process must have a great shipping system. Each item that is shipped out must be sent through registered and trackable mail so that the backer can have peace of mind at every step of the way. It’s even better if the campaign can insure the packages in the event damages or losses caused by the carrier.
Once your campaign has been successfully funded, the most important part is yet to come: actually fulfilling your orders. It’s best to hire a professional fulfillment company with a dedicated fulfillment center to ensure that your backers’ rewards are shipped out on time. If your backers don’t get their products on time, they will feel cheated and lied to, and they may even demand refunds. This can be a big blow to the business’s image and reputation. Remember, the key to a good Indiegogo campaign is making great promises and actually sticking to them. All rewards should be delivered within the shipping business day range originally specified, without any delays. The backer should be able to track the product, and of course, international markets should always be supported so that the campaign can be able to reach the highest level of success. If you follow these pointers closely, your Indiegogo campaign is sure to soar high into the annals of crowdfunding history!
