Crowd Funding Terms You NEED To Know
By Harry Jackman
Crowdfunding is generally seen as a relatively new phenomenon, but what
would you say if I told you that it has been going for over 300 years, sort of…
During the 17th Century something called the Subscription Business Model
was available where the public would donate money monthly, allowing the
book printing agencies to make the books/magazines/newspapers.
A similar business model was also used in 1884 to facilitate the completion of
the Statue of Liberty’s pedestal. Newspaper publisher Joseph Pulitzer
encouraged the American public to donate money in his newspaper New
York World. Pulitzer raised over $100,000 in six months with over 125,000
people donated $1 or less.
And now in 2013 we have websites like IndieGoGo and Kickstarter to help get
your projects made! So here is a list of terms that may come in useful if you
decide to start your own Crowdfunding campaign!
Ad Swap
This is when projects promote each other in a basic synergy type deal by
exchanging ad space– this is useful as it is free advertising in exchange for you
placing some poster or banner up and helping out a fellow Crowdfunder.
Audience Interaction
This one is pretty self-explanatory; it’s the audiences who are active in the
progression of your project, be it by responding to polls, leave feedback or throw in
their opinion of the plot of the story or the marketing techniques. This is ideal for
Creators who like to interact with other creative people and it breaks down the
barrier between them and the consumers.
Barker
Someone who uses social networking sites and other mediums promote a project
and help show it to the masses. This is great as friends of the Creators can do this,
and get ten times the amount of people to notice a project.
Call For Prompts
Asking the audience to offer up their ideas for input in creative matters. Prompters
may get an advanced sneak peak at the results. This activity can be done live (see
Fishbowl).
Crowdfunding
A business model in which ordinary people all donate small amounts of their money
to achieve what a big production company or bank would do. It allows the creator
to go directly to the audience and cut out the long and often unsuccessful process
of funding your project using the more traditional methods. It may even help to find
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