How to create a successful Crowdfunding Website
Such platforms as Indiegogo and Kickstarter have completely changed the game of crowdfunding for new projects. Thanks to them, more than $8 billion is raised for more than 300 thous. startups. But how to build a crowdfunding platform by yourself?
Recommended article: How to Build a Crowdfunding Platform for Fundraising
Make sure that the Idea is Unique
You can create several identical projects and succeed in many fields. Nevertheless, crowdfunding doesn’t give this opportunity. Therefore, if you want to create a platform for the development of creative projects, you’ll never outmatch Kickstarter. Why? It’s world-famous and time-tested.
How to Make a Profitable Crowdfunding Website
Indiego and Kickstarter, for example, have fundamentally transformed the game of crowdfunding for new ideas. More than $8 billion has been raised for over 300,000 businesses as a result of their efforts. But how do you create your own crowdfunding platform?
How to Create a Crowdfunding Platform for Fundraising is a recommended article.
Make certain that the concept is unique.
You can construct multiple identical projects and be successful in a variety of sectors. However, crowdfunding does not provide this chance. As a result, if you want to build a platform for the creation of creative ideas, you’ll never be able to compete with Kickstarter. Why? It’s well-known and time-tested.
Establish the Investor Revenue Model.
Crowdfunding is based on various investor revenue streams. You should select a model that is more concerned with meeting the wants and preferences of your target audience. • equities; • loans; • awards; and • donations are the most popular models.
The revenue model influences the platform’s functionalities and even its design. That is why selecting a concept must be carefully researched.
Provide a Secure Investment Cycle
Most crowdfunding platforms receive numerous complaints about a lack of investors on the project. Startup entrepreneurs are unaware that this platform does not indicate project marketing.
However, you can help the situation in its early stages. You should avoid future disagreements by
One more mandatory step is an implementation of stage-by-stage crowdfunding (and creation of additional cycles). As is well known, many startups raise money in stages to attract more funds. So you as a developer must provide this opportunity.
Determine the Monetization Model
The most common model is a percent collection from every campaign, which has achieved financial goals. Specifically, Kickstarter takes 5%. However, there are other monetization models aside from this concept:
• listing fee;
• service fee;
• subscription fee;
• payment for additional services.
Along with that, you need to integrate a payment gateway. The same features it has when you want to create a video streaming website. As a rule, you better open a new bank account for the platform.
Recommended article: How to Make a Live Video Streaming Website like Twitch or Netflix
Develop the Design and Functions
Keeping in mind the niche that you’ve chosen, you need to develop the design of the crowdfunding platform. Remember that these platforms are mostly visited by organized and business people, so try not to oversaturate design with abstractions and non-standard fonts.
Ensure that it’s easy to sign up for the platform and add the project. In addition, an important component is campaign management. Respectively, you should create a user control panel.
A critical detail is data security and support. Your clients have to be sure that their project will be protected and their questions will be answered quickly.
Launch and Development
After all stages, including the actual development, test the platform. If there are no bugs, then you can launch it. The closer you are to the project launch, the more time you should devote to the marketing:
• create accounts on social networks;
• create a thread at thematic forums;
• run ads on popular video-hosting;
• tell about the project at conferences.
No matter how good your platform is, it won’t be successful without advertising. Therefore, you should develop it at all stages starting with the idea and ending with the full operation.