Do you have a great new invention that can help improve the world we live in today? Is your invention not yet on the market, and do you have a prototype that you want to show investors? Many inventions are made possible by funding methods such as Crowdfunding. This method is becoming the new standard for generating funding for a new invention, thanks to Crowdfunding platforms such as Kickstarter and Indiegogo. If you have not already heard of the Crowdfunding method, it is highly recommended that you start taking a look. Between the years of 2013 – 2015, Crowdfunding, in general, started generating from $6.1 billion to $34.4 billion and is still on the rise. Experts say that Crowdfunding will continue to grow. With the right tools and campaign strategy, you have the potential to raise the amount of funding needed to get your product out on the market.
Of course, you can always try other methods like using VC’s (Venture Capitalists) or applying for government grants. Unfortunately though, these older methods of generating funding may not have as much of an impact as you could with Crowdfunding, and here is why:
Litmus Test: Crowdfunding can provide your new invention with an environment which you can test to see if your product will fair well in the market. Even large companies take advantage of this, as they can spend the same amount of marketing as they would if they decided to release the product, without having to pay up front for production. This strategy can be applied to your new invention. You should have a prototype created so your audience can see what you have invented works. This way they know what to expect when donating to your campaign. In addition, if you reach your funding goal, you can then proceed with production. Of course, you need to calculate all of your costs you know what to set your funding goals to.
Pre Sales: Instead of using your time to convince VC’s and others to invest into the invention, you can take that time to convince your target market that you have a new product which they can purchase. By conducting a rewards-based campaign, you can generate presales of your product. This way you don’t have to go through the process of receiving funding then try to market your product, you can skip the wait time and directly market your product and generate presales. Why leave it up to individuals who may not see the potential of the invention, when you can show the world what you have to offer.
Now that you understand the power that Crowdfunding can bring to your new invention, you can understand that it will take work. Although you are trying to raise money to get your invention out on the market, you will have to do your own investing as well. It does cost money to run a successful campaign. The money you will be spending is on marketing.
If you are serious about Crowdfunding, the best advice that you can take is to be sure to do your research. Many Crowdfunders decide to launch their campaign without any pre-launch campaign and rely on the Crowdfunding platform to generate the traffic to the campaign for them. This has proven to be an unsuccessful strategy. Utilize the resources available such as forums, blogs, and videos to help you create the perfect Crowdfunding strategy.
If you are new to Crowdfunding and want to learn the basics on launching a Crowdfunding campaign, be sure to visit Thrinacia’s blog and discover all of the resources and tools that are offered.