Where Should You Advertise Your Equity Crowdfunding Campaign?
First off, if you just want to raise your minimum goal, advertising your campaign is not a requirement for Equity Crowdfunding. Portals will encourage you, but not require you, to spend your hard-earned dollars on promoting your investment opportunity. Many campaigns will hit their minimum goal with just the exposure that comes with being on a big platform. If you’re aiming to raise $10,000, and want to keep your investors to just your close circles, then read no further – your campaign is going to do great.*
But if you want to raise serious money, you have to advertise your campaign.
At first this can seem like an obvious and simple task. Of course you want more people to learn about your company, and get as many eyes on your page as possible. But now that I’ve tasked you with doing this, what is the first step you’re going to take?
(Don’t worry. That was a rhetorical question.)
The first thing you do is to figure out where the most economical and effective places are to advertise. Do you buy a billboard? Take out a newspaper ad? Spend hundreds on google search ads? Send out some mailers? There are so many places to advertise these days that it can be overwhelming even to know where to start.
Here are 3 simple tips for getting the most out of your advertising budget.
- Because your pitch is online (and the only place people are allowed to get information on your investment opportunity is online) the only place you want to advertise is…(drum roll) online. Don’t buy ads that require people to remember the name of your company or your platform name, and assume they’ll go home and google your investment. The best way to spend your money is on ads that require only one action from people to get to your page: one simple click.
- Remember that Equity Crowdfunding is still a very new concept to most Americans. You’re going to have to explain what it is, why your company is a good investment, and get people to click on your ad – all in just a few short sentences or a few seconds of video. Unless you’re raising money for an advertising business, this probably seems incredibly daunting. Don’t worry – I go over some ways to create engaging, informative, and click-worthy ads in the masterclass.
- You have to spend money to make money. When I was first starting out, the thought of spending $20 on one click seemed insane! Then a consultant pointed out to me that if one $20 click brought in an $800 investment, I was spending smart money. Correctly target your ads and find the right people to advertise to online. It may cost more to get these people to your page, but if they’re more likely to invest then it’s worth the few extra bucks. Keep in mind that if you want to raise $1 million, you’re going to have to have a larger advertising budget to get you there.
A warning for the wise: There are so many mistakes that I made, and you might make, in online advertising. Not only do social media companies have intricate and complicated targeting systems, but they seem to change their platform interfaces every week! If you don’t know what you’re doing, it is very easy to waste hundreds of dollars on ads that will get you nowhere.
But trust me, if I can do it, you can do it!
While your campaign is running, your biggest task will likely be to promote it. Advertising is a big task, and a crucial part of raising serious money. But with a few smart actions, and really targeting your ads to get them to convert to investments, you can raise $1 million, too. The masterclass will go far, far more in depth on advertising than this one post, and I recommend you educate yourself as much as you can before spending any money on ads. Don’t pour money into ads that won’t bring you any investments. Spend your hard-earned money wisely, and you WILL raise serious money.