Post on Facebook that you are trying to raise $1,000 by the end of the month and the donors will just fly in.

Not likely.

Why bother then?  You need to use social media strategically to support your crowdfunding campaign.  Here are a few tips to get social media to work for you:

#1     Diversity your posts
Don't just post your goal and progress toward it.  Post photos of yourself training. Share why you care and why you are raising money.  Post photos related to the cause that you're supporting.

#2    Thank your donors on Facebook
In all likelihood, a lot of your friends are part of larger social groups.  One friend in a social group makes a donation to your cause, and it will inspire others in that network to give.  By thanking your donor friend on Facebook you are not only honoring that person but you are reminding your other friends about your campaign.

#3     Don't be afraid to tag people
The reason why people don't give the first time they are asked is not because they don't want to give to your campaign.  It's usually because they read the email at a bad time, saw it on their phone, or want to wait til payday to donate.  If you tag people on Facebook you are reminding them to give in another way.  I like to think of this as a stronger nudge and usually try other methods first to get a yes or no answer. 

#4     Use Incentives
During my last campaign I promised everyone who gave a custom piece of digital art.  I am still working on it (I haven't forgotten!!!) but when I do finish a piece, I post on Facebook and tag my friend.  I started doing this during my campaign and believe that some people gave a gift because they were also curious about the art I'd create for them.

From my personal experience, the vast majority of donations I've received via crowdfunding have come from personal emails or in person asks.  However, about 15% of my past donors gave in response to the Facebook posts. These were people I didn't ask via email in the first place. 

Don't forget social media but also, don't rely on it to help you reach your goal.  In marketing terms, a multi-channel approach is best!

Successful crowdfunding is storytelling. Like effective short story writing, I’ve found I’ve been most effective when I was personal about my connection to the cause I’m raising money for, vivid in the multi-sensory and emotional details of some of my memories of and feelings about that cause, and most importantly, cast my network as characters in the story. I draw on my history and connection with that friend, relative, or colleague, highlighting shared experiences and worldview formation. I acknowledge and affirm people who’ve already given, to model the ways in which they’ve become part of the story, part of making it happen. I emphasize how essential their support is.

It’s important to establish a good flow in terms of frequency and type of ask. The first thing I’ll do at the beginning of any crowdfunding campaign (after creating my online profile) is to put together my list of potential supporters. Make this list as broad as possible, including people who’ve supported you in the past and people who’ve never given. In the first email, express a few key things: what you’re raising money for, why it’s important to you, and why their support is important to the cause and to you. After sending out the initial mass email, create a plan for individual follow up emails. It’s fine to copy and paste some content, but it’s really worth the time it takes to personalize it, and to engage the real relationship you have with that person. Over time, you’ll get a sense of what medium is the best for making the ask to particular friends and relations: some people respond to an email, others to a chat, others to a social media contact. Remember that unless someone explicitly tells you that can’t or won’t give, it’s worth contacting them until they do respond. If possible, wait until a few people have given before sending another mass email (then you can build a sense of momentum and excitement).

The ask needs to be very direct: “Can you support this campaign?” People are most likely to feel compelled to respond if they’re actually asked, rather than just implying the ask. Be smart about your targeting: if it’s a mass email, I’ll always emphasize that ANY amount will help, and that no donation is too small. Sometimes, people feel embarrassed about giving a small amount, but most of my successful crowdfunding campaigns have been built of dozens of small donations($10, $25, $50).  I just raised $1,078 from 45 donors--with an average donation of $23.96 and only one donation over $50.

Be sure to promptly thank people after they donate. I usually send a personal email (to communicate that I really do care and that our relationship is worth a private thank you note) and post a thank you on Facebook (so they can get the public recognition). A very important piece of the thank you is the Second Ask: "Thanks again! Also, could you please forward this to friends you think would be supportive, or post and tag on Facebook? That would be a really helpful way to spread it beyond my immediate network." 

- Avery Book

Thanks to Avery for his guest blog post.  He's still $122 short of his goal for his latest crowdfunding effort -- want to help him tell the story of migrant workers? You can learn more about the project and give at http://www.gofundme.com/3wvi0s

People have signed up, set goals, and put up their fundraising pages. You're done, right?

Not yet.

So much of the fundraiser role--which I often equate to the role of an organizer in grassroots organizations--is that of a cheerleader.  You did your job and convinced a whole group of people to raise money for your organization. But they will still need lots of support, especially in your first year.

Here are some rules to live by. 1) People don't like the idea of raising money.  Crowdfunding makes it a little more palatable, but when the time comes to ask friends, family, and others for a donation, people have a tendency to procrastinate.    2) People can and will get discouraged if they send out an email or put one post on Facebook and don't get many donations.

Grab your pom poms and lead by example!

Get a head start on your fundraising: Set a goal for yourself to start early, so other team members can be inspired by your successes. 

Share your email ask with the team and encourage others to share theirs: demonstrate how the more personal the ask, the better.  I always preface all of my asks with a personal note.


Check-in with everyone individually:  3 weeks before the event, call everyone on your team.  Ask them how it's going and if they want to talk through their fundraising strategy.  

Post fundraising best practices and tips online: and remind your team where they are.

Create pledge sheets for people who prefer to ask people offline: there's a generational difference here too - I've found that younger generations prefer to make their asks online and older generations tend to do more asking in person.

Don't push too hard: you want your team to enjoy this experience, so they'll want to do it again next year. Celebrate the successes, even if they are small.  

Have you done this before? Do you have tips for blog readers? Please post in the comment box below!  

Once you've decided to launch a crowdfunding campaign for your non-profit, you then need to decide which web platform to use to meet your goals.  The choices can be overwhelming and there is a lot to consider before you make your decision.  

Note: Specifications and options change often so use this post as a starting point.


Some Things to Consider

Are you a 501(c) or fiscally-sponsored?  If you are fiscally-sponsored, your choices will be limited because many platforms require a 501c3 number to set up the "event." If your fiscal sponsor will let you use their 501c3, then you will have more options. Fiscal sponsors that work with multiple organizations are less likely to let you do this.

Do you need to set up teams?  Some events are designed so that people can join a team.  Some platforms offer this option - others don't.

Think about how tech savvy your fundraisers are.  This is subjective, but if your fundraisers aren't used to using technology then consider a simpler platform.

How much are you willing to pay? Fees vary across platforms but in general, the more you pay, the more functionality you get.  

This list is not comprehensive -- these are the platforms that I have experience working with.

Razoo

Razoo is one of my favorite platforms because their fees are so low (4.9% all inclusive with no monthly or setup fees) and their customer service is fantastic.  They offer teams functionality. 

Things to consider:  Their system is tied to 501c3 numbers, so if you're fiscally sponsored, they may not work for you.  I found it difficult to navigate between the organization's landing page, team pages, fundraiser pages, and event pages.  The fundraising pages are not as slick and clean looking as other platforms, though their home page was recently updated so I wonder if design updates are in the works for the rest of their site.  

www.razoo.com

Crowdrise

The thing I like about Crowdrise is that they are fun. Their communications are peppered with humor and crazy challenges. Customer service is great if you choose a plan that includes Premium Support.  Plan pricing ranges from 7.9% + .30 per transaction (no monthly fees) to 5.9% + $199/month (with annual commitment).   The latter plan is worth it if you anticipate hundreds of donations. 

Things to consider: This system is also tied to 501c3 numbers like Razoo.  Their team functionality and individual fundraising pages look great and are clearly tied to the fundraising event, which is also clearly tied to an organization. 

www.crowdrise.com

Launcht

Launcht are the new kids on the block and I think they have a lot of potential.  The platform is highly customizeable and designed so you can use Launcht as a website for your fundraiser (you can additional pages, for example). Some examples of customization include adding a start and end date for your campaign, making it private or public, and listing questions for participants to answer to complete their profiles. Pricing is high for small organizations that are unsure of their ability to raise money -- $495 setup fee, $295/month, and 1% of donations. It's worth checking in to see if there's any flexibility there.  

Things to consider:  Launcht does work with fiscally sponsored organizations, which is a big plus. The landing page looks great but is missing the option of adding a thermometer to see overall progress toward goal. Once you launch your site, there are certain things that cannot be changed. Launcht has a lot of promise but they're are still working out some kinks in the system.

www.launcht.com

Below are systems that I've looked into but never worked with.  

FirstGiving:  One of the more popular peer to peer platforms that nonprofits are using. They must be doing something right! They have a set up fee and I haven't worked with anyone willing to sign up without test-driving it first.  

Rally:  Nice simple, clean pages. Low fees - 5.75%.  

CauseVox:  Nice design, build out a whole event site on this platform.  They offer a free trial.


Remember, there are other platforms out there -- this is just a sampling. Kickstarter and Indiegogo are used for Crowdfunding a specific project, which is different than this kind of fundraising (also called peer to peer - see last blog post). Please leave a comment if you know of any others or if you want to share your experience using any of the above.  The specifics of fees and functionality change regularly, so please remember that everything here is a starting point for your own research in finding the best platform for your organization.  Or you can contact us and see if Aril Consulting can help you crowdfund successfully!

Part 1 in a multi-part series on crowdfunding by Valerie Costa

There are no "get rich quick schemes" in fund development.  If you're in a pinch though, we recommend one strategy that's sure to raise thousands--crowdfunding. You've probably heard of Kickstarter, Indiegogo, FirstGiving, Crowdrise.  These are all online platforms that people use to raise money from their friends and family for their favorite cause.

Non-profits can either raise money for a project and ask their supporters to fund it by a certain date (through Kickstarter, Indiegogo, or a similar platform) OR they can ask their supporters to fundraise on their behalf, often through a personal challenge like running a road race or asking for donations in lieu of birthday gifts.  We're talking about the latter today--how your non-profit can catalyze the support of your ENTIRE NETWORK and their extended networks to raise money. 

I just raised over $1,200 through the Vermont Workers' Center and Migrant Justice's crowdfundraiser "Exercise your Rights."  I set a goal, picked a 5k to run, and asked about 40 people to help me meet my goal.  It was a great way to get back in touch with people, show gratitude for their support, get out running, and feel good about helping out two awesome organizations.  I met my goal and the whole experience was really positive (and not just because I'm a fundraiser!).

Check back here for more blog posts about how to start a crowdfunding campaign, how to ask friends/family/your network for donations, and learn about some of the online platforms currently available and some pros/cons of each.  

If your nonprofit would like crowdfunding consulting services,please contact us to find out more about how we can help you out.