Crowdfunding is not magical, successful campaigns are the result of a long and thorough preparation.The aim of the presentation is to give 5 tips to hardware entrepreneurs before launching their crowdfunding campaign.

1. questions to ask
yourself before
crowdfunding5

2. alexis
HOUSSOU
@a_houssou

3. #1.
why?

4. crowdfunding preorders
preorders vc funding
validate product market fit
validate pricing
build a community
finance 1st batch
preorders
preorders product launch

5. #2.
are you ready to
launch?

6. 3first days
= 28% total funding
average among $500k + funded projects.

7. pre-campaign formula
OK
ready to launch means…
=

8. email sign-ups
conversion rate
pre-campaign formula:
funding goal≥
×
×
average pledge

9. target = $500,000 xxxx? email sign-ups
ex:

10. target = $500,000
1st 3 days = $150,000
xxxx? email sign-ups
ex:

11. target = $500,000
1st 3 days = $150,000
day 1 = goal = $50,000
xxxx? email sign-ups
ex:

12. target = $500,000
1st 3 days = $150,000
day 1 = goal = $50,000
$100 average pledge
xxxx? email sign-ups
ex:

13. target = $500,000
1st 3 days = $150,000
day 1 = goal = $50,000
$100 average pledge 500 backers on day 1
xxxx? email sign-ups
ex:

14. target = $500,000
1st 3 days = $150,000
day 1 = goal = $50,000 10% conversion rate
$100 average pledge 500 backers on day 1
5,000 email sign-ups
ex:

15. 5,000 emails
10% conversion
ex:
$50,000
goal
≥
×
×
$100 pledge

16. #3.
manufacturable
prototype?

17. average shipping delay
= 7 months
breakdown of $500k+ funded & shipped projects per shipping delay.
4%
44%
31%
20%
on time 1-5
months
6-10
months
11-20
months

18. average expected time
between kickstarter and shipping
4months.

19. average actual time
between kickstarter and shipping
10+months.

20. manufacturable ≠ working prototype

21. manufacturable
=
factory validated
=
precise bill of materials
(=)
(you know your costs)

22. #4.
which
platform?

23. kickstarter indiegogo
✚
-
7M+ organic community
best media coverage
Kickstarter brand stamp
US-based company needed
hard to get data
flexibility
easy to get data
no US-based company needed
less audience
less prestige
many #BS# projects
vs

24. tips to decide:
is indiegogo’s flexible plan for you ?
can you easily set up a company in the US?
what is the real goal of your crowdfunding campaign?

25. kickstarter selfstarter
7M+ organic community
easy media coverage
Kickstarter brand stamp
traffic => kickstarter page
KS community ≠ your community
Post-kickstarter “valley of death”
cut middlemen fees
traffic => own website
optimize paid visits
hard without seed funding
strong PR resources needed
no leverage on existing
community
vs
-
✚

26. tips to decide:
are your target customers on kickstarter?
can you raise funding before launching a campaign?
do you/your team have past e.commerce experience?

27. #5.
what if
you fail?

28. december 2013 august 2014

29. why?

30. december 2013 august 2014
goal too high =
$125,000
corrected goal =
$50,000
never reached reached in 48h

31. set a low goal that you can reach quickly.
✔

32. december 2013 august 2014
campaign=
december 13
delivery =
august 14
campaign=
august 14
delivery =
february 15

33. campaign launch date
must fit customer needs for the product.
(i.e. it’s easier to sell a cooler during summer
even if shipping is in February)
✔

34. want to learn more ?
register to our online course

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