Crowdfunding Products
Ilan Cohen
Director, Hardware, Tech and Design © Copyright Indiegogo. All rights reserved. Confidential & proprietary. [email protected] Indiegogo is the world’s largest crowdfunding platform. We work with startups and existing Who is ? brands to launch new products to the international market.
2 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. $ 15 million $1B+ Unique visitors monthly funded
200+ 600,000+ countries/territories campaigns hosted
3 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Fundraising Customer Branding and Market Entry Discovery & Market Awareness Validation
4 | Indiegogo | Meet Indiegogo © Copyright Indiegogo. All rights reserved. Confidential & proprietary. For hardware startups who need funds to manufacture, crowdfunding lets them have their customers pay for their manufacturing Fundraising
5 | Indiegogo | Meet Indiegogo © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Lorenzo Maggiore dreamed of making the Bug-A-Salt, a gun that kills flies by shooting salt. But investors thought the idea was crazy. So he launched it Indiegogo.
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. © Copyright Indiegogo. All rights reserved. Confidential & proprietary. For established companies, crowdfunding helps them learn about their customers and prove demand for Customer Discovery & products. Market Validation
8 | Indiegogo | Meet Indiegogo © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Opal Nugget Ice Maker GENERAL ELECTRIC
After raising $300K+ in its first IGG campaign, GE’s FirstBuild team launched a second campaign to prove market demand for its new invention: a nugget ice making machine for the home.
Sales
• $100K in the first hour; $600K in the first 48 hours
Reach • 660K campaign page views • 15K Facebook shares • 37 unique stories • 150,000,000 impressions
$2.7M USD RAISED | 6,470 CONTRIBUTIONS
9 | Indiegogo | Meet Indiegogo © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Insights on Customers were Invaluable
Gender Price Points Offerings
Black Male Female
Pink “ “ $119 $129 $139
10 | Indiegogo | Meet Indiegogo © Copyright Indiegogo. All rights reserved. Confidential & proprietary. “Total time from concept to production: four months. If it flops, no worries. Upfront costs were 20 times less than a traditional product rollout, which can cost tens of millions of dollars. If we’re going to fail, we want to fail fast.”
Natarajan Venkatakrishnan 11 | Indiegogo | Meet Indiegogo © CopyrightHead Indiegogo. of All rightsR&D, reserved. GE Confidential Appliances & proprietary. For companies of any size, crowdfunding is an effective tool to generate interest and awareness. Branding and Awareness
12 | Indiegogo | Meet Indiegogo © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Air By CRAZYBABY
After raising $830K+ in its first IGG campaign, Crazybaby launched a second product, their Air wireless earbuds. Their goal was to drive sales, awareness, and brand visibility.
• Over $750K in just the first week
• 920K campaign page views
• 6K+ Facebook shares
$2.8M USD RAISED | 23,039 CONTRIBUTIONS
13 | Indiegogo | Meet Indiegogo © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Brandsuse Indiegogo to launch into the international market.
Market Entry
14 | Indiegogo | Meet Indiegogo © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Aurora & H1 By XGIMI
Xgimi was the market-leading smart projector in China, but had no international presence. Through their launch on Indiegogo, they were able to build a brand and expand their audience into the US, Europe, and South America.
$1.3M USD RAISED | 2,676 CONTRIBUTIONS
15 | Indiegogo | Meet Indiegogo © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Crowdfunding is still challenging
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. The Strategy
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. Crowdfunding isn’t magic. It’s marketing
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. If you build it they will come
19 | Indiegogo | Indiegogo Powerpoint Template © Copyright Indiegogo. All rights reserved. Confidential & proprietary. If you build it they will come
20 | Indiegogo | Indiegogo Powerpoint Template © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Sales & Marketing Funnel Conversion Rate
21 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. So how do you do it right?
22 | Indiegogo | Indiegogo Powerpoint Template © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Process Overview
Lock in Secure the Product Build your Drive Traffic Make a Plan right Talent Positioning Materials
1 2 3 4 5
23 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Plan
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. Raise Money Drive Awareness Learn
25 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Scale your timeline and budget based on your goals
26 | Indiegogo | Indiegogo Powerpoint Template © Copyright Indiegogo. All rights reserved. Confidential & proprietary. 1-3 months 1-6 months
Start Campaign Receive Ship Preparations Launch Ends Funds Product
60 days 15 business days
4 – 12 months
27 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Indiegogo Powerpoint Template Estimated Budget: $ 20% of your campaign’s goal If you have a lot of time, and your team has all the skills in house, this can be lower. If you’re working with many partners on a tight deadline, it will be more expensive.
28 | Indiegogo | Indiegogo Powerpoint Template © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Launch with
A Working An Engaged, Excited Manufacturing Prototype Audience Secured
29 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Set pre-launch metrics
30 | Indiegogo | Indiegogo Powerpoint Template © Copyright Indiegogo. All rights reserved. Confidential & proprietary.
End at $100k Audience Reach Audience
Time
Live Campaign
31 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary.
Start at $100k Audience Reach Audience
Time
Pre-Launch Live Campaign
32 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Talent
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. Things you need to do You or a partner will need to do everything below as you prepare a successful campaign.
• Copywriting • Video creation • Graphic design • Press outreach • Landing page setup • Paid advertising • Product photography • Email & customer acquisition • Organic social media • Campaign management
34 | Indiegogo | Indiegogo Powerpoint Template © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Divide the work between your team and partners
35 | Indiegogo | Indiegogo Powerpoint Template © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Example Division
YOUR TEAM PARTNERS
• Copywriting • Video creation • Graphic design • Press outreach • Landing page setup • Paid advertising • Product photography • Email & customer • Organic social media acquisition • Campaign management
FACTORS TO CONSIDER
Cost Time to launch Team expertise
36 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Ranges for partner cost
Video Full Service Crowdfunding Agency <$10k for video production, $10k-$30k 5-20% of your campaign + upfront fee for production and direction. ($5-$20k)
Digital Advertising PR Budget 10-20% of your target goal. You’ll $2k-$12k/mo, minimum commitment be higher or lower in that range depends on agency, some exception. depending on how advertising converts
37 | Indiegogo | Indiegogo Powerpoint Template © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Positioning
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. © Copyright Indiegogo. All rights reserved. Confidential & proprietary. © Copyright Indiegogo. All rights reserved. Confidential & proprietary. © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Sell This Not This
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. Sell This Not This
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. Have Clear Product Marketing Basics
• What amazing experience does your product enable? • What problem are you solving? • Who is your target customer? • Why you instead of a competitor?
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. © Copyright Indiegogo. All rights reserved. Confidential & proprietary. © Copyright Indiegogo. All rights reserved. Confidential & proprietary. © Copyright Indiegogo. All rights reserved. Confidential & proprietary. © Copyright Indiegogo. All rights reserved. Confidential & proprietary. © Copyright Indiegogo. All rights reserved. Confidential & proprietary. © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Talk To Your Customers
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. Content
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. VIDEOS PRODUCT PHOTOGRAPHY
How Long? Product shots • 2 min 30 seconds or less • Final industrial designed prototype • Multiple angles Which kinds? • Components demonstration • Main campaign video • Social media Lifestyle shots • User testimonials • Product in use • Team unboxing Prototype gallery • Product demonstration • Stage of development
53 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. STRUCTURE PERK STRATEGY
• Campaign title & tagline Product pricing • Product introduction • Early bird pricing (20% off) • Features • Increase prices over time • Use cases • Technical specifications Increase funds raised • Team • Focus on fewer perks • Timeline • Upsell with accessories and SKU’s • FAQ’s • Bundle shipping costs
54 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. 55 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. 56 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. 57 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. 58 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Traffic
© Copyright Indiegogo. All rights reserved. Confidential & proprietary. Plan Your Traffic
BEFORE LAUNCH AFTER LAUNCH
Email collection on Press articles linking landing page to your campaign
TRAFFIC Share great social TO Product reviews & content YOUR blog posts (Facebook, Twitter) PAGE Social referral Engaging friends program and family
60 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Understand What Works Before Launch
61 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. You must have samples to secure press
62 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Use Digital Advertising
63 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary. Discounts can But margins drive pay for traffic contributions
64 | Indiegogo | © Copyright Indiegogo. All rights reserved. Confidential & proprietary.