5 life stages of a Crowdfunding Project and the challenges posed by them

warsaw-1743565_1280
Share This Post

Crowdfunding today has umpteen stories to boast of. It has brought into life many minuscule projects that ended up becoming gigantic brands.

If you take a bird-eye view of the whole Crowdfunding process, you will easily find that the lifecycle of a crowdfunding project is indeed divided into five stages. Each stage is different with diverse challenges. Moreover, each problem needs to be tackled proficiently to guarantee not only the success of the crowdfunding campaign but the entire project.

Let us discuss each of the 5 life stages of a Crowdfunding Project and the challenges posed by them:

Stage 1: Idea Conceptualization

You have just experienced the Eureka moment of your life. Your mind is getting overwhelmed with the possible possibilities. At this juncture, you will need to do the pruning of all the excess thoughts. You will need to boil down your wandering thoughts into a concrete concept that is reasonable, achievable, and feasible.

Necessary things you need to count down on during this phase are developing a concept/prototype, creating an efficient team, and a disciplined work system.

Stage 2: Pre-Launch

You are ready with the prototype, and the idea of crowdfunding your campaign is rotating in full swing in your mind. By now, you should delay  no more and begin with the pre-launch marketing of your campaign. First thing will be creating a strategy that will perform, and the next would be to execute it.

You will need to create awareness about your product. That requires you to have a dedicated website, a blog, landing page, aggressive social media expeditions, and word of mouth advertising too.

You will also require creating a robust campaign for your project at this stage. Your campaign should have a compelling story supported with appropriate visuals and video.

 Stage 3: Launch

Your campaign is live. Audiences are looking at your campaign and enquiring about it. Create a mechanism so that you can quench the queries of your potential backers.  You can do it by enabling a live chat system or a ticketing system or both on your website/landing page.

You must continue with your social media ventures and PR to spread a message in the real, as well as, digital world. The idea is to promote your campaign as much as possible through all the available avenues.

Stage 4: Post Launch

Life after securing a crowdfunding victory is no less challenging. You have a project to complete under the stipulated time. You are on the real battlefield now. At this stage, you will have to ensure that you are able to lucratively manufacture the product of high quality and distribute it to your supporters on time.

It becomes harder to deliver in cases, where the project goes over-funded. You are supposed to create more quantity at the same time. That means you need to arrange on all kinds of resources like raw material, production unit, human resource, and distribution system at a bigger scale than the planned one.

Stage 5: Breaking into the marketplace

After a successful crowdfunding venture, wait! call it successful only after you are through with delivering on the promises made. It is time to brace up and enter into the mainstream market. You will require an e-commerce portal for yourself and also do a lot of advertising to establish your brand in your niche.

_______

This article is written by the Crowdfunders Editorial Team. In Asia, Crowdfunders.Asia is a leading portal on providing news related to crowdfunding, start-up, property and business. It is operated byCoAssets.com.
CoAssets is South East Asia’s first listed and largest real estate crowdfunding platform. If you have any Crowdfunding news or stories to share, please email [email protected]

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>