Data Driven Crowdfunding for Success
With 247 blogs posted every minute and 2 million Google searches completed in the same time period, you must have vision and purpose to raise above the chatter in the online world. Crowdfunding your idea, creating a campaign that meets your objectives must be built on content that is relevant and followed by precise moves decided on well in advance. The sheer size and complexity of online activities is enough to make one wonder how to get to the meaning of it all. One way is to look at data from online platforms and draw conclusions from the data to gain insights.
Even though crowdfunding is still relatively new having only been passed into law back in April 2012, thanks to the Jumpstart Our Business Startups Act, there is a small body of data driven research that can help shape your thinking and approach to building your own campaign. For example, The National Bureau of Economic Research in Toronto published a study of the Geography of Crowdfunding which highlights the fact that in the artist-entrepreneur crowdfunding community, the average distance between artists and investors is about 3,000 miles. This information may suggest that you can plan a broader reach if you are an artist planning a campaign because it appears that the geography of crowdfunding these types of campaigns is larger than originally thought.
Another worthy piece of research examines the language that motivates giving in a paper entitled The Language that Gets People to Give: Phrases that Predict Success on Kickstarter. These researchers used text analysis tools to examine the project pages of more than 45,800 crowdfunded campaigns. They only examined campaigns that had ended and been funded or not funded. Noteworthy were the commonly used phrases in successful campaigns. This is useful in determining how to create your supporting content for your campaign and the media you will distribute.
Ethan R. Mollick published The Dynamics of Crowdfunding: An Exploratory Study that looks at the underlying dynamics of success and failure among crowdfunded ventures. He examines everything about the 48,500 campaigns in his dataset and reveals that geography, fulfillment time, and number of investors are all key in determining success.
Lastly, take a look at the Reading Rainbow Campaign launched yesterday on Kickstarter by LeVar Burton. The campaign raised over $1 million in less than a day and with 34 days remaining in the campaign it has raised over $1.7 million today; day two. You may not be LeVar Burton with Star Trek cast and Politician buddies but you do know people that care about what you do. Study campaigns like this and mimic the process. LeVar Burton said his campaign was about reaching every web-connected child creating universal access to reading. A clear and concise mission. The project page supports the stated mission with graphics and information motivating and informing supporters. My point, study the data on what’s been done, craft your message and connect with those who care about it.
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