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How To Fund A Business With Kickstarter

This article is more than 8 years old.

When Dark Energy co-founders Garrett Aida and William Lam decided to develop a portable energy charging source for smartphones--between classes—the odds were stacked against them. But these young, college students with limited experience and no money launched a wildly successful Kickstarter campaign that generated over $170,000 in a matter of days.

That’s right, Kickstarter.  No angel investors. No wealthy relatives. No selling vital organs on eBay. For Garrett and William, their path to prosperity started by designing a solid campaign from the ground up. While the monetary outcome of their Kickstarter campaign isn’t typical, the strategy they used to develop it is something from which all startup entrepreneurs can benefit. Here are three ways to make sure you get the most out of your Kickstarter campaign.

Understand the Kickstarter Audience

The traditional method of securing investors begins with researching investors and then pitching to a panel that is typically attracted to a particular industry. In contrast, a Kickstarter campaign offers the challenge of appealing to an unknown mass audience whose role is both consumer and investor. You are given a platform to pitch directly to your customer, and you must be in tune with the behavior of this audience so your pitch will connect with them.

“Build your customer database well before going on Kickstarter,” suggests John Van Den Nieuwenhuizen in the article, Crowdfunding Secrets: 7 Tips for Kickstarter Success. “Even if you don’t have a prototype yet, you can release drawings or renderings on Facebook and Twitter. You get validation of your idea while building an audience and momentum for your crowdfunding launch.”

Think Big . . . and Long-Term

When it comes to launching a successful crowdfunding campaign, sharing your grand vision can be inspiring.  “Think big!” advised Aida. “Many times we think too small. People are inspired by people who have a vision. When you feel like somebody is building something important, it is inspiring. You can create a strong team through having a vision and commitment. Envision what you want, and don’t give up.”

Along with vision, Aida stresses the importance of the details. “You need to give attention to detail. Although it may be difficult, have a big vision and nail the details at the same time. If you can, you’re a superstar.”

Finally, this vision must be able to survive fleeting trends. There is a big difference between following a trend and being merely “trendy.”  Making the right choice means enjoying an enduring and profitable campaign versus losing ground before you get started.

Remember the Mighty Triangle

Your campaign must satisfy one or all of three characteristics: It must be unique, useful, or funny. Either the product or the marketing campaign must satisfy some or all of those characteristics. For example, you can have a product that appeals to most people, but if you market it in a funny or unique way, you can still sell it well. If you happen to score on all three characteristics, you will create a shareable (and possibly viral) campaign.

Kickstarter and other crowdfunding platforms give aspiring entrepreneurs a chance at realizing their dreams.  For Garrett Aida and William Lam, the dream continues with a second successful Kickstarter campaign that helped to develop Poseidon, a military-grade portable charging device. For them, the sky is the limit.

“The Dark Energy Lifestyle is about pushing the limit and pushing the envelope,” said Aida in the Beehive Startups article, Dark Energy--Four Principles for Student Entrepreneurs.“Pushing the limit gives us satisfaction. We want to build products that will help you do that, whatever your passions or motivations may be.” By understanding the Kickstarter audience, thinking big, and promoting the useful, unique, or humorous components of your campaign, you too can push the limit and make Kickstarter work for you.