Kick starter
So chances are you’ve heard of Kickstarter. You probably also have a good handle on the basic pros and cons of this platform, but to be thorough, let’s cover our bases and start from scratch.
Today, crowdfunding is mostly synonymous with Kickstarter. It is the largest crowdfunding platform out there. It also has a ton of metrics that are happy to sing its praises: Kickstarter campaigns have already raised over $2 billion. It has hosted 95,000 successful projects, has a total of 9.7 million backers, of which a third support various campaigns. More than 100 (132 actually) have surpassed the $1 million mark. Another 2,355 campaigns have raised over US$100k. Do I need to continue?
This crowdfunding Goliath has 15 campaign categories. The Film & Video, Music, and Publishing categories are the most popular (you’ll find most campaigns registered under one of these), but it’s the Gaming, Tech, and Design categories that really get backers excited. These last three are the most funded groups on the site (as a side note, Wednesday afternoon is the time when most patrons reach into their pockets).
Impressed yet? Well, you might be a little less so when you know that all those impressive statistics only represent 36.69% of Kickstarter supporters. The rest (more than 60%) do not achieve their goals.
But take heart, Kickstarter still has a few tricks up its sleeve. With a reputation for launching wacky, innovative, and wonderful ideas, Kickstarter gets quite a bit of coverage from the media and bloggers. A well-placed item could earn you a spot in that top 37%.
indiegogo
Initially focused exclusively on independent films (hence the name), Indiegogo began accepting projects from any category a year after its launch. Established to provide more opportunities for backers than Kickstarter, Indiegogo is generally perceived as a less strict platform. It is available in more than 200 countries and offers more categories (24 compared to 15 on Kickstarter). It also gives backers control over whether they want fixed models (all or nothing) or flexible (the creator gets the amount they collect).
It may not win the PR stakes, but Indiegogo certainly has more campaigns than Kickstarter. At any given time, it has around 10,000 live campaigns (Kickstarter has 6,000) and hosts an average of 260 new campaigns every day. It’s also not that complicated with metrics (you’ll have a hard time finding the kind of stats Kickstarter is happy to release), but you’ll come across an odd estimate or three.
If Kickstarter estimates that around 37% of their activists are successful, then the digital world puts Indiegogo’s success rate at between 8-9%. It sounds terrible, but it has a few other things going for it. Their flexible funding scheme allows you to get funded without necessarily hitting your goals, plus our successful Indiegogo activists also tell us that the customer support is second to none (not something Kickstarter activists tend to agree with). Add to that the fact that contributions are non-refundable, so the creator knows exactly how much they’ve raised (Kickstarter campaigns tend to lose 5-7% of backers; more on that later), and Indiegogo is starting to look like an attractive option.
It’s also worth noting that the culture of different crowdfunding platforms varies quite a bit, so it’s important to clearly understand your audience. If they are more likely to opt for one platform over another, then you should keep that in mind. Familiarity builds trust and makes visitors more open to promises.
So how do you know which platform is likely to be a better fit for your audience? Generally speaking, you’ll tend to find more artists, musicians, filmmakers, geeks, and tech gadget makers on Kickstarter. You’ll see more small businesses, controversial ideas, NGOs, and mass manufacturing on Indiegogo.
The demographics between the platforms also vary. Indiegogo has a more female-friendly audience and gets more traffic from Facebook than from Kickstarter.
Therefore, before deciding which platform to choose, carefully examine your project category, marketing strategy, costs, appropriate financing schemes, and goals.
important to know
Remember that the platform will not do the job on its own and you have to work hard if you want to be successful. Explore our Blog to find out how.
