Though funding is often the main goal of a crowdinvesting, it can also a fantastic way to gain visibility and grow your investor base. Crowdinvesting benefits extend far beyond the capital that can be raised. Crowdinvesting is all about the building an excited and engaged crowd. Without this crowd you will not be able to raise any fund for you project or offer. I am going to talk about the value of the crowd. Many people in the crowdinvesting realm are always looking for the return on investment. The return on Crowd is vital to receive a return on investment, but the return on crowd is even larger than the return on investment based only on dollars. The return on crowd is about the return on relationships.
The Brand is the single most important element to a business or project. Your brand is the position that has been carefully established as a set of investor promises and overall experiences based on communication and service to your investors. A positive brand experience will reduce competitiveness, customer confusion and dissatisfaction. A brand will show its form in all investor touch points which is vital for a great brand experience.
Building an excited and engaged crowd will require unique messaging that will engage investors at the emotional level and then resonate with them enough to elicit an emotional response. Remember in today’s online world that moves at the speed of internet grabbing information is like taking a drink out of a fire hydrant, your campaign must quickly establish a unique brand voice that can cut through all of the fast paced noise and connect at an emotional level. Once this unique messaging voice is found your campaign will achieve its two major objectives increasing brand awareness and raising the capital for the campaign. If the emotional connection is not made the campaign may be dead on arrival.
Market validation is the process of determining whether your product is of interest to a given target market. Market validation involves a series of interviews with people in your target market, but in the world of crowdinvesting this happens online and comes with an immense amount of data. The market validation process is expanded and the cost is reduced by being online. there is an undeniable need and significant opportunity for social entrepreneurs to leverage online platforms to access investors, and for investors to access greater dealflow.
When potential clients show interest in your startup’s product or service, you’ve generated social proof. This is essentially showing that other people believe in what you’re doing. Social proof can influence people to take actions and make decisions differently than they would if they had relied solely upon their own judgment. This will bring investor to you offer based on the other people that are investing in the project.
Media coverage could include a feature on your company in a popular news station, blog, or print publication. Press coverage will generate more eyes on your campaign and create brand awareness for your offer. It’s also a great way to bring in investors outside of your personal network. Throughout the course of your crowdinvesting offer, you’ll have the opportunity to engage supporters and grow your audience.
The value of data to businesses is tremendous and very expensive, but through crowdinvesting developers are able to collect a lot of data that you will be able to use in their business and in future campaigns. With each crowdinvesting offer you are able to collect a lot of data. This data is invaluable.
Investors are interested in ambitious developers whose ideas have garnered traction and social proof. Whether they read about your new offer on a popular blog, or hear about your innovative campaign from a friend, a successful crowdinvesting offer is a great way to capture investor interest.
Crowdinvesting is a great way to raise funds for you offer, but you may find that in the process of running your successful campaign you are able to grow your brand reach and brand awareness, receive an immense marketing and PR benefit along with the other benefits mentioned in the above post. Before you overlook the new kid on the block take a long and hard look at crowdinvesting your next real estate development.