It’s the second most common challenge* our clients face: the analysis shows their likely funds raised is less than their budget. So, what to do if you need $10,000 to produce your project, but the projections only indicate you have the capacity to raise $5,000?
- Set a target you can hit. The biggest mistake our clients make is setting a target higher than they project they can hit. It may be counterintuitive, but The Bandwagon Effect means that setting a low target and then building with Stretch Goals is enormously more effective than setting a high target and struggling to get there.
- Adjust your project to match a target you can hit. If you’re publishing a book, start with the eBook. If you’re recording an album, start with the “unplugged” version. If you’re shooting a film, simplify your shooting schedule and locations. Whatever your project, get creative about finding ways you can produce a simpler, more cost-effective version of it. Then parse out the costs between the pared-down and full versions. These become your Stretch Goals.
- Or give yourself time to build the relationships that can get you to your full budget. If there’s no way to cut your budget and still match your vision, then what you need is time. Time to court Benefactors, time to grow your email list and social media following, and time to develop Influencer relationships. Don’t set your launch date until you know you can get to at least 40% funded during your VIP Soft Launch, and you know where the rest of the funds will be coming from during the month of your campaign.
- Don’t forget Stretch Goals. We’re not sure why our clients resist the idea so strongly, but Stretch Goals are much more effective at raising more money than setting a high initial target. You can always raise more money than your target, and in fact, once your campaign is perceived as a “winner”, that is usually exactly what happens. Develop clear Stretch Goals messages well in advance of your campaign. As we like to say, ‘it’s easier to climb stairs than a cliff’.
*The most common – almost universal – challenge our clients face is that they do not realize how much time they need to adequately prepare, typically 6-12 months.
So, if you find yourself with a funding gap, don’t despair. Just find ways to improve your projections, reduce your budget, or meet halfway.
If you would like a personalized analysis of your crowdfunding plan, please fill out our questionnaire. A detailed report – a $125 value! – will be delivered for free in two weeks.