Most crowdfunding campaigns fail. I’ve heard 60%. I’ve heard more. Last April, we ran a crowdfunding campaign for our first startup and, though we succeeded, the experience gave us a lot of insight into the challenges, and a pretty clear idea of why so many fail.
It’s all about the community
It boils down to one thing: a community with a real, quantifiable intent to purchase. In our experience, that excluded Facebook, Twitter, or Instagram. In fact, there was only one type of community that ended up showing actual intent: email subscribers. And unfortunately for crowdfunders, a good email list takes a lot of time to build.
Why not social media
It’s important to think about the communities you build in terms of whether you “own” them or “rent” them. You rent your community on Facebook,...