Friday, October 15, 2021

The Importance of Digital Marketing in Capital Raising

Crowdfunding platforms like Kickstarter and Indiegogo were disruptors in the technology space when they launched platforms almost a decade ago to allow entrepreneurs or artists or anyone with just an idea to use a global platform to raise capital to bring their ideas to life in exchange for a reward (usually a product). 


Crowdfunding platforms gave creators direct access to global capital which was not available to them before. With the success of rewards-based platforms like these came the advent of equity crowdfunding platforms like SeedInvest and Angelist that allowed startups to raise capital in exchange for equity from non-institutional investors.


While any of these platforms afforded the opportunity for creators/entrepreneurs to target a global audience, the success or failure of campaigns (i.e to reach or exceed the raise goal) relied heavily on the marketing efforts spent to drive awareness of these campaigns. 


For product oriented campaigns, some key marketing channels to consider are:


  • Social Media - Creating business pages and posting launch dates / product updates on all social channels.
  • Digital Ads: Creating Facebook and Google Ads and targeting based on audience will provide a solid foundation to build on content.
  • Email Marketing: Creating an audience base via newsletter signups will allow backers to stay up to date on release information and any promotional content.

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