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7 Tips For Running A Successful Crowdfunding Campaign For Your Startup

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A lot of fans of Addicted2Success have shown interest recently in using crowdfunding for their startup. I thought I would make your life easy and bring you some tips from Rick Chen of Pozible, which is the largest crowdfunding platform in the Asia Pacific region and the 3rd largest globally. They have hosted more than 8000 projects and raised around $25 million dollars to date. The platform started out more for the creative arts industry, but now they have branched out into all sorts of different industries.

Pozible uses the reward based crowdfunding model, which is essentially pre-purchasing goods or services. The campaigns on the site must have an outcome so Pozible knows where the money is being spent. You must hit your funding target otherwise the project doesn’t go ahead, and you don’t get any of the pledges. Of course, you can always run the campaign again, but you have to get the pledges from scratch. The reason Pozible uses the all or nothing model is that they ask their users to only put the minimum amount they need. Anything you get on top of your target still gets to go towards you project. This way of thinking works well because if you know the minimum amount you need to do the project is $13k and you don’t get it, then logically speaking, you won’t proceed.

The idea came when Rick and his business partner were trying to figure out how they could help some of their creative friends raise money. One of those friends was brewing his own beer and having people prepurchase it. Rick and his business partner thought that a crowdfunding platform would be the best way for him to do that, and so, Pozible was created.

The most popular pledge amounts in order are $50, then $25 and then $175. In terms of the largest campaign so far, the award goes to a Chinese Smart Watch startup that raised $800k using Pozible.

Below are Rick Chens 7 tips for running a successful crowdfunding campaign.

1. Know the benefits of crowdfunding

One massive takeaway that I got from interviewing Rick Chen was that I always thought the whole point of crowdfunding was about raising money. While raising money is important, the main benefit you get is that it helps you build an audience for your startup and engage with your community. Even if you only raise a small amount, the raving fans you get on the platform are far more valuable, and you can build a business around them. A few Melbourne cafes have used the platform to sell coupons to their surrounding neighborhoods before they open. When the doors finally open they have had people lining up to use their coupon who now know their brand and live locally to their café – what a great way to gain exposure for your startup. As these people sit down, they can see their faces on the wall as part of their reward.

In general, technology projects tend to raise a bit more than art projects, so keep this in mind.

“If you have a product, that is based on some form of technology, you can use the platform to build your product and get real life feedback from your prospective customers”

2. Tell a great story

To be successful with crowdfunding, you must be personal, genuine and be a person with a real life story that is relatable. If your idea is airy-fairy, your chances of success are very low.

Use the format of a video to tell your story as it’s very convincing and very efficient to get your message across in the quickest amount of time. The video should be under 3 and a half minutes maximum. The one thing that should be in your video is a face, and it should be presented like you are telling your story to a friend. The questions you need to answer in the video are why you’re doing this, why your story is important and what people get out of supporting you.

Show evidence about your project like a prototype or what you have already achieved. This makes your story come across as legitimate. You do not need to do a lot of fancy things in the video otherwise it will come across as a branding video, not a pitch video. The video doesn’t have to be very professional and can just be done on your iPhone or webcam, although better quality is always a good thing, even though, the audience are not that picky. Make sure your video is trying to convince the audience and not Pozible of your story.
Don’t forget to include plenty of photos with your campaign. Rick says that photos displayed in a portrait layout work better than landscape because of the page layout of Pozible. Most campaigns on Pozible don’t have enough photos so try and put some really high-quality ones alongside the story. While it’s important to have text, a lot of people, don’t read it so make sure you have a good contrast between photos, video and text to cater for everybody’s needs.

3. Set the right minimum for your pledge

Knowing what target to set for your pledge depends on the actual project itself. Setting the target is a double edge sword because the higher you set it, the harder it is to reach. At the same time, you want to make sure you are asking for enough money to complete your project.

Once you have hit 100% of your target, there are other ways to get more pledges later on. There has been a lot of success on Pozible where campaigns have been reached and then later, a follow-up campaign is launched. An example of this is Adore Home Magazine, which has successfully funded three issues of their magazine on Pozible.

“Ask yourself, if the target of your project is $10k and someone offered you $7k to do it, would you still go ahead. If the answer is yes, then your target is too high”

4. Supporter’s care about the rewards

A good reward system combines tangible products, an experience and recognition together to attract supporters. Often people focus too much on the tangible products and discount the experience and recognition rewards.

A great experience might be if you were a musician you could have people pay $250 and you will come to their home and sing – you can’t buy this in a store. If you’re a startup and you’re trying to start a café, you could have one of your rewards as recognition where if someone pledges a certain amount, you put their name on the wall of the café.

The other thing you should think about when designing your rewards is that if your idea doesn’t work, are the rewards something that you can still deliver regardless?

5. Pre-launch and market your campaign

The maximum length of a campaign is on Pozible is 60 days. 30-50 days is usually a good place to start so that it doesn’t get too long and tedious. Before you even put your campaign up you should make sure that you have already launched it on social media to gather early stage supporters. Don’t make the mistake of launching your campaign with no marketing or traction beforehand. Most of the traction will be built from social media, not from the Pozible site – money won’t just fall out of the sky you must market it. As with any business idea or startup, you also need to have a social media strategy that involves your audience in the form of a content plan.

Rick says you should ask for pledges to your campaign around one to two times per day along with some content for your audience. Make sure you don’t ask for a pledge the same way every day and try and change it up.

One idea is to use the campaign update function on Pozible to tell your audience how far your campaign has come and what you’re working on for the campaign right now. For example, posting on social media the day the prototype becomes ready and then the next day you could say you just went to visit the manufacturer. As you approach the deadline for your project you should let people know and include some visuals, as this has been seen to be very effective in getting those last minute pledges.

6. Don’t be afraid to be quirky

There was a musician in Melbourne that wanted to raise a very small amount of money to buy a pint of beer and a chicken parmigiana at his local pub. His reason for starting the campaign was that it was hard to enjoy some of these simple pleasures being a musician, so he made the decision to turn on crowdfunding. The rewards he had on offer were anything from pledging a dollar so he will think about you when he drinks his beer, all the way up to $40 which allows you to join him in the pub to have a beer and chicken parma with him. As simple as this may sound, this campaign got a lot of media attention, and he got to have dinner with quite a few strangers after his campaign was complete.

While he didn’t make any money from the campaign, this story is very much a form of social engagement and could even be considered art. Could this be a clever way for your startup to test an idea or express your brand?

7. Take your startup overseas

On a platform like Pozible you can accept pledges from all around the world and they currently receive pledges from over 100 countries including China. Having launched in China last year, Pozible have already noticed that a lot of Chinese projects get pledges from overseas. This is a great way to gain overseas attention and money for your idea that could be the difference between success and failure.

Final Tips

If your campaign is not successful the most important thing to do is find out why, before considering to do another one. There is no exact timeframe for relaunching again, just make sure you understand why your idea is not selling. This will help you save money later on because you will have valuable market data around your idea. If you’re thinking of launching the campaign on a multiple crowdfunding platforms at the same time, this is a bad idea because people will support your idea no matter what platform it’s on. If you have two destinations for your prospects to go on and pledge, you will confuse them. Also, if you target is $50k and you set up a campaign on both platforms and only raise $25k on each, you end up having two failed attempts. If you setup on one platform you could potentially hit the $50k target instead of raising zero.

When I asked Rick what his favorite book was, he said that he enjoys content from the website “The School of Life.” This site helps educate people on the skill sets for life such as dealing with stress, managing relationships and staying emotionally healthy.

The future of crowdfunding is bright, and we will see more and more ways for it to be used. Already, Pozible are testing if research projects can be funded by their platform. They are also seeing farming being reinvigorated through crowdfunding, and having rewards be delivered in the form of fresh food from local farmers. Traditionally farmers relied on the big supermarket chains to sell and market their produce; now crowdfunding has helped to level the playing field.

If you want to try your own crowdfunding campaign, then visit Ricks website Pozible to get started and become a game changer.

Tim is best known as a long-time contributor on Addicted2Success. Tim's content has been shared millions of times and he has written multiple viral posts all around personal development and entrepreneurship.You can connect with Tim through his website www.timdenning.com

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The Truth About Marketing Every First Time Founder Should Know

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While starting your own business is an exhilarating experience, many start-up founders struggle with successful marketing more than any other area of business. So if you’re thinking about starting a business, here are some of the key things you need to know about marketing before you take the plunge. (more…)

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Lessons I Have Learned About Scaling a Business as a Startup Founder

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When I set out to start my own business three years ago, I never imagined bright lights and private jets to New York or Shanghai for business meetings. Good thing I didn’t because it is nothing like that at all. It was a struggle from day one and I had to embrace the grind to grow. (more…)

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5 Hacks to Improve Your Writing Skills in English for ESL Learners

Phil Collins

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Studying in college is hard for everyone, but ESL learners arguably suffer the most. Moving to a foreign country, learning a new language, and keeping pace with the rest of the class may seem like an unbearable burden. It’s okay to feel overwhelmed, but you have to pull through and not give up. 

In moments like this, it’s always a good idea to seek help. Whether you go to WriteMyPaper to order an essay or just talk to a friend, admitting vulnerability is an important step towards improvement. In this article, you will find some tips on how to get better at essay writing, even if English is not your native language.

 

Control Your Environment

Improving your language skills is all about constant practice. Living in an English-speaking community is the first thing you should do to start your practice. It might be tempting to surround yourself with people who already speak a familiar language. However, this way, you won’t be practicing English on a daily basis.

You need to make those lessons almost intuitive in a way that you don’t have to do anything to learn the language. If you live in an English-speaking community, for example, if your roommate speaks English, you will have to practice the language, whether you want it or not.

Still, make sure you don’t take it too far. Taking care of yourself is still as important as ever. Feeling like an alien for the sake of education is not worth it. Remember to keep in touch with your friends and family, talk to them as often as necessary.

 

Practice Constantly

Practicing language is not just about doing your homework. You can make practicing English a normal part of your daily routine by watching TV, listening to music, and reading books in this language. 

Yet, this is a bit tricky. When being surrounded by white noise, people tend to learn not to notice it. You need to ensure this doesn’t happen. As you watch movies or read books, maintain your attention on what you’re doing. If you hear or see a word that you don’t understand – translate it and write it down. Be mindful and remember what you’re doing this for.

 

Writing Is The Answer

If you want to specifically learn to write, you need to do one thing, and that is to write. Continuous practice will help you understand what mistakes you often make and, in time, eliminate them. Focus on your goal, and don’t get discouraged when something’s not working. After all, even Rome wasn’t built in a day!

Get a journal and write in it daily. Pick a new topic every time and note everything you can think of. It’s also important that you write by hand, a spelling checker in your computer is tempting, but it will not help you remember how to spell words correctly. 

Besides, journaling as a habit has multiple health benefits, and it can be therapeutic. It can help you get in touch with yourself and process your emotions better.

 

Learn In a Group

It’s proven that learning in a group is more efficient due to the sense of competition. Find a bunch of like-minded people who want to study with you or join an already existing one, like a speaking club.

The benefit of such activities is that you get all these people from entirely different backgrounds who are all good at various things. This will help you exchange experiences, which is impossible if you’re alone.

Schedule regular meetings, come up with topics to discuss and activities to do. You could watch videos or movies together, or talk about common things. Having assignments like describing an event can also be beneficial for the entire group. This way, while one person speaks, the rest think about how they would say the same things differently. 

This will help you feel more confident in your skills and, consequently, speak and write better.

 

Expose Yourself

The most important thing about learning a language is not to be afraid of making mistakes. It’s inevitable; you just have to take it as a natural part of a learning process. 

A child that is learning how to walk doesn’t give up after falling once, and you shouldn’t either. It’s most likely that your friends understand that you’re just learning a language, and they won’t laugh at you for misusing a word or a few. 

Get over that fear of error and make as many mistakes as it will take. Treat it lightly, and don’t beat yourself up for it. On the other hand, try to attend as many events as you can that will expose you to the foreign language. Not only will it boost your English skills, but also improve your social confidence!

 

Wrapping Up

Learning a language is hard; there’s no arguing about that. However, it’s going to get easier with time. Take every hard thing that life throws at you and turn it into a lesson. 

Watch your favorite movies in English, converse with native speakers, and you’ll see the improvement very soon!

Remember to be patient about it. Don’t give up, and don’t beat yourself up over something that you have so little control of. Good luck!

 

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Remote Work + Education: 3 Tips for Students Who Want to Have It All

Phil Collins

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remote work for students

Probably one of the greatest changes for the last year is the shifting to distant learning and working. There are many advantages to the issue, like, not having to commute every day, staying at a cozy home for a whole day. It makes our lives easier in terms of saving time and energy.

If you’re a student, you don’t have to bust out your textbooks every time you go to university. Instead, you have everything close and on the tips of your fingers.

However, within all the positive moments of distance learning, it is highly challenging for many of us. At college or in the office, we have a schedule, a plan which we simply have to stick to.

There is also a boss or a teacher who gives us tasks, checks and monitors our performance.

Well, now, we are our own bosses and teachers and have to come up with the plan and track our tasks independently.

So, how to stay tuned and efficient if you work and study from home? How to get the most of it and not drown in the ocean of procrastination? In this article, you will find three tips to help you out!

 

Set Up Your Workspace

When many think of a distance learning or work, they imagine themselves wearing pajamas and lying on a couch all day with the laptop. No more dress code, make-up, early mornings, coworkers or group mates, paradise!

This is a common misconception of remote work. If you want to work and study from home, it is crucial to create a space where you would stay focused and productive.

Still, if you have had a hard day and feel like having rest on your comfy couch, but there are assignments to be done, leave your worries to professionals in paperwritingservice, just place an order and enjoy your day.

When we both work and study from home, we stay with all those household essentials and, at the same time, have to focus on tasks. That is why a perfect workspace has to be created. So how to reach this ideal atmosphere at home? Here’re some pro tips.

 

Separate Spaces for Everything

This is a common problem for many that they sleep and study at the same place. Our body is a smart mechanism, which gets used to conditions very quickly.

So, as you sleep in your bed, every time you lie on it, your body gets ready to relax and concentrate is the last thing it is ready for. This principle is applied to any other space in your house.

So, your workspace should be particularly aimed at learning or/and work. Every time you get there, your brain will be ready to do the job.

 

Get Rid of All Distractions

This is a very important step if you want to stay productive at home. Your home may be a dangerous space in terms of concentration. To make it easier, help your brain and get rid of everything that might attract your attention and ultimately prevent good performance.

 

Plan Your Day

Every morning when you wake up, you approximately know what the tasks for a day are. So, what’s the sense in planning a day if you already have it all in your head?

This is one more important concept that helps us have everything done on time. Planning a day saves you time and boosts motivation and disciplines.

 

Here’s how it is done:

  • You write down a list of tasks that have to be done;
  • Prioritize them from less important to more important;
  • Hang this list somewhere, where you can always see it;
  • Mark completed tasks.

When you mark the task as accomplished, you’ll get a sense of satisfaction, which may be compared to some sort of praise. There are many tools to write a to-do list from paper to online apps.

 

Dedicate Time for Yourself

When you work and study from home, there will be a risk of abandoning our personal time in favor of more important matters. This factor leads not only to great results but also a concept called burning out.

When people face it, they feel exhausted, demotivated, and apathetic. To avoid this, it is crucial to have time for things you enjoy. It may be a sport, hobby, listening to music, watching movies, seeing friends. Your brain has to relax and get positive emotions to be more efficient in the long run.

 

Final Words

No matter if you want to work and study from home, these principles can be applied to any activity. To manage it all, just follow these basic rules, and you’ll see how your productivity boosts.

Good luck with all your endeavors!

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