Go Fund Yourself: A Primer on Crowdfunding

Go Fund Yourself: A Primer on Crowdfunding

AFP Fundraising DayJune 5, 2013

Jason Shim, RHBPathways to Education Canada

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What is the most interesting/fun way you could spend $20? Text your answer

or tweet #FRday13GOFY

CROWDFUNDING

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HISTORY

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2007 was the perfect digital storm.

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3 million donors 6.5 million donations online$500 million. 6 million < $100

Average donation: $80

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Kickstarter

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Pebble

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Bearlove good, cancer bad

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Tesla Museum

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So what?

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Case Study: Economics Camp!

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$

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$?

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$?!

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1. Specific Goal

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1. Specific Goal2. Urgency

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1. Specific Goal2. Urgency3. Reward

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You're not asking for money.You’re providing an opportunity.

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Pop Quiz

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Marketing Crowdfunding

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Marketing? Without virality

Video

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Ask yourself: Is it likeable?

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If you want to share,make it square!

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Perks

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People don't care about stuff.People care about people.

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People don't care about stuff.People care about people.People care about how stuff

makes them feel.

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Perks

8 personalized emails @ $257 postcards @ $505 videos @ $100Perks: $1050

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Have a backup plan

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Sometimes the backup plan is having none.

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The Numbers

Visitors - 389 Views - 725 Funders - 39 (Avg donation of $51)Contributions - $2,000 Favorites - 28 Referrals* - 434 * Referrals is the number of visits that result from someone sharing your

campaign using widgets, facebook, twitter and emails

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Disbursements

$2000 raised

$1835 collected(8.25% in fees)

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Case Study: Carl Wagan

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Lessons learned:-Marketing-Perk delivery-Unintended benefits

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When to Use Crowdfunding

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When to use Crowdfunding

- limited timeframe

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When to use Crowdfunding

- limited timeframe

- highly personal cause

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When to use Crowdfunding

- limited timeframe

- highly personal cause

- project-based

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When to use Crowdfunding

- limited timeframe

- highly personal cause

- project-based

- untapped network of supporters

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When to use Crowdfunding

- limited timeframe

- highly personal cause

- project-based

- untapped network of supporters

- highly engaged staff

#FRDay13GOFY @JasonShim

When to use Crowdfunding

- limited timeframe

- highly personal cause

- project-based

- untapped network of supporters

- highly engaged staff

- good digital capacity

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When not to use Crowdfunding

- substitute for regular fundraising

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When not to use Crowdfunding

- substitute for regular fundraising

- for general operational funds

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When not to use Crowdfunding

- substitute for regular fundraising

- for general operational funds

- limited digital / marketing capacity

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When not to use Crowdfunding

- substitute for regular fundraising

- for general operational funds

- limited digital / marketing capacity

- limited network

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Questions received

What are preferred platforms?

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Questions received

What are preferred platforms?

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Questions received

What are preferred platforms?

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Questions received

What are preferred platforms?

How to not cannibalize donors willing to give more?

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Questions received

What are preferred platforms?

How to not cannibalize donors willing to give more?

How does this differ from a public capital campaign or micro monthly donations?

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Best Practices

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Dance Floor

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Dance Floor

The 30% rule

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Marketing based on milestones

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Perks rewarding your fundersIs it a good deal?

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Have a logistical plan for perks

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Videos bring in 114% more funding

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PLAN. PLAN. PLAN

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Communicate!

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Reality Check

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50% of projects succeed

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1. Specific Goal2. Urgency3. Reward

Crowdfunding Takeaways

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1. Specific Goal2. Urgency3. Reward

Crowdfunding Takeaways

Capture the Imagination

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Questions?

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Jason Shimjshim@pathwayscanada.ca@jasonshim