Within just a few hours of taking their equity crowdfunding round live on Uprise.Africa, Drifter Brewing Company, Cape Town-based craft beer manufacturers, raised more than a million rand in growth capital to help accelerate their expansion and push their brew into global markets
The company went on to further raise a total of R3,889,000 from 235 local investors by the end of their campaign.
Drifter’s success is proof of a well-executed crowdfunding campaign – they had compelling story to tell, made use of their networks and publicised their crowdfunding offer.
With more crowdfunding platforms coming into the South African market – each offering a diverse range of benefits – it’s important for entrepreneurs who are looking to take advantage of this option to do it right.
Every successful campaign takes three things – time, money and commitment to run your campaign.
To find out what else is needed to run a killer campaign, take this advice from Lisa Young and Sasha Benjamin from one of South Africa’s oldest crowdfunding platforms, Thundafund, from an interview last year.
1. Deliver a winning pitch
- A campaign pitch that explains the ‘who, what, where, how and why’ of your campaign.
- A maximum 1 – 3 minute pitch video.
2. Knowledge of your backers/potential investors
- A thorough understanding of your target audience.
- Between 4 – 8 unique project-related reward for backers that are in the form of retail, recognition and/or experience. In the case of equity crowdfunding, backers invest in early-stage businesses in exchange for equity
3. PR and marketing
- An active, updated and engaged social media presence such as a Facebook Business Page people can like and a Twitter account.
- A marketing and PR ‘campaign plan’ covering pre-launch, launch, mid-campaign, pre-closure and closure.
- A fundraising/marketing savvy campaign team-leader and/or team.
- Thorough research on previous similar successful campaigns.
4. Use your network and understand audience
- Inform your immediate network of your soon-to-be campaign and excited them about backing your campaign upon its launch.
5. Time
- A realistic, suitable and defined crowdfunding goal.
- A set time-limit suitable to your crowdfunding goal and campaign mission.
