Do you really know how much money you need?
I’m sure you know about Kickstarter, everybody’s favorite crowdfunding platform. People have used it to fund everything from board games to the new Veronica Mars movie. If you’re an entrepreneur with a passion and you’re trying to bring your idea to life, there’s something you need to consider before launching a Kickstarter (or any other crowdfunding) campaign.
A successful crowdfunding campaign is all about the numbers, and educating yourself about those numbers is important if you want your campaign to succeed (and we know that you do). For example, did you know that roughly 63% (at time of writing) of successful campaigns on Kickstarter had a goal of $1,000 to $9,999? That’s not to say people haven’t been able to raise more–Veronica Mars, as we mentioned, reeled in a few million in donations–but you improve your odds if you stick to the sweet spot.
So ten grand is approximately your new goal (if it wasn’t already). That number will get your product manufactured–a must when you’re trying to sell things to people–but have you considered how much it’s going to cost you to ship your product? (Especially if it’s coming overseas…) You need to think about customs fees, international shipping, and even if you’re keeping product creation in-country, you still need to store your goods and then get them to your customers. Have you priced out shipping and handling? Do you know which mail carriers will be able to carry your product, or what boxes you should use to get the best deal?
Partnering with a fulfillment company (like us, for example) will mean you’ll have an expert to find the answers to these questions for you. They can tell you how much it will cost to ship boxes from here to there, how much you’ll spend on storing, and most importantly, how much you need to ask for on Kickstarter.
If you’re not creating a physical good with your crowdfunding project, then you don’t really need to worry about shipping. But if you are, you need to know what your costs are if you want to budget appropriately.
Whatever you’re trying to launch on Kickstarter, we wish you success. (And if you need someone for your shipping and fulfillment needs, give us a shout.) If you have any questions for us on the topic–or any other topic–don’t hesitate to let us know in the comments below, or on Twitter @ShipEdge.