You’ve got an idea in mind and you want to bring it to life, but you don’t have the funds for it. You’re convinced it could change the world, but money’s just a little tight right now. Crowdfunding is a way to sort out your money woes, but with all the various crowdfunding websites available, choosing the right one for your campaign can be challenging.
Global crowdfunding websites have pioneered the donation and rewards-based crowdfunding models, however there is a trend towards local and niche platforms to cater to the explosive growth in crowdfunding. To help you out, here are a few differences between Hong Kong and global crowdfunding platforms.
1. Targeting your audience
The great thing about niche or country-specific platforms is that the audience is more targeted. If location targeting is a top priority for your product to raise funds, choosing a Hong Kong-based platform may be more applicable to your business.
2. Testing your product
Hong Kong crowdfunding platforms are a great way to test out the potential value and price point of your product and receive feedback from valuable local consumers. Once you reach your funding goal on a local or niche platform and realise there is a demand in the market for your product, you can expand your scope into other global crowdfunding platforms.
3. Campaign competition
When it comes to crowdfunding, everyone is in serious need of funds, so if you use a larger global crowdfunding platform like Kickstarter or Indiegogo, you’re bound to come across more competition with other crowdfunding projects on the same platform. For less competition, more support and increased potential reach & profile, a Hong Kong or niche platform may help you reach your funding goal faster.
4. Local press
Hong Kong (or niche platforms) may have a greater media profile in your target market which a campaign can leverage to build a fan base, marketing buzz and increase the chances of a successful campaign. Often an influential blogger or press article may be a key driver of funds and new supporters.
5. Multiple funding cycles
Crowdfunders can choose a range of platforms to maximise their reach and
complete multiple funding cycles, e.g. starting with a Hong Kong platform to validate their product and do a first round of funding, then move onto a different platform for a follow-up funding round.
So when you think of crowdfunding, you can weigh up the pros and cons to running a successful crowdfunding campaign on a Hong Kong crowdfunding platform versus a global platform.
By Nicole Denholder, Nicole is the Founder and CEO of Next Chapter, a Hong Kong-based funding portal and rewards-based crowdfunding platform for female entrepreneurs.