From a sales perspective, Kickstarter crowdfunding is one format of online commerce. The fundamental revenue formula for any e-commerce is: Traffic x Conversion Rate x Unit Price.
From a sales perspective, Kickstarter crowdfunding is one format of online commerce. The fundamental revenue formula for any e-commerce is: Traffic x Conversion Rate x Unit Price.
If you want to have a successful campaign, you should look into the 3 important things:
1. Make a good Video
the most important thing to make a good Kickstarter video is to tell a good story. You should list clearly what's the problem the product solves and what are the unique features of the product.
2. Be sharp about the Product description
If people just want to learn about the product details and make purchase decisions, they can just go to Amazon. It is a Kickstarter campaign - people are expecting something new, and exciting things.
You need to list a one-page product summary to help you sort out the page design.
3. Reward strategy
Now it is time to play around with the numbers. Pledging a product on Kickstarter means waiting for months till the backers receive the product. Besides the uniqueness of your product, you need to have an additional reason why backers should pay you now.
Usually creators offer an amazing discount on the super early bird reward with a limited number. Here is the calculation for reference:
If you have a product with the future MSRP (manufacturer suggested retail price) of $100 and the MAP (minimal retail price) is $90, you can have the super early bird price at $60 (40% off the Retail) with 200 seats and early bird price at $70 or $75 as the main reward.
Remember you need also set a limited number on the early bird price. Even though you want to sell it as many as possible, it can throw the urgency feeling to the potential backers and push them to pledge immediately.
4. A few more tips
You update the reward limits any time. If you want to strengthen the urgency feeling, you can always just keep a few left in the reward limit. It is time consuming if you do it manually, but there are a few tools you can use. Google it.
Post the unbox video on the campaign page is another trick to lift up the conversion rate. The biggest fear backers have nowadays is the fake product. Showing proven 3rd party reviews can solve the issue and increase the likelihood of pledges.
Don't post too many updates. Once you post an update, all backers will receive a reminder email from Kickstarter. For those who already pledged, we don't want them to stay pledged and don`t change their mind. The more reminders they get on your campaign, they may change their mind and cancel the pledges, especially when you don't post an update in good quality.
