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Crowdfunding for Business Branding

Saturday, October 7, 2017

For a business to succeed, a business needs to build upon a trifecta; Branding, customer relations management and product viability. Though it is easy to build a brilliant product and provide quality customer service, it is essential the business carves a name for itself in the fiercely competitive industry to stay relevant, not forgotten. But this could a tough feat to achieve given the overlaps between business. And what if your business needs to have funding to do effective marketing for your business? How would you be able to come out the cream of the crop, with all these obstacles in mind? The solution is simple: crowdfunding.

In today’s technological age, we have driven focus on being efficient. Crowdfunding can be an effective solution to both dilemmas. You’d get funding from investors and you’ll be able to spend the necessary funds to build your product and market it. Additionally, you’d gain the brand recognition that your investors will come to associate with. But how does crowdfunding build a brand? We take a closer look at some of the reasons why it can build a brand and reputation for your business.


1. Platform Reach

By launching your product on a crowdfunding platform, you are effectively getting free marketing and promotion for your product. The reach and target audience in each platform might be different, but you’ll still be gaining similar market exposure nonetheless. This is essential as you need the numbers to spread word of your business and it will allow you to gain a following, building your brand.


2. Target audience

Different platforms might offer different audiences and consumers. Hence it might also be wise to research on the different platforms. For instance, Kapital Boost which is a crowdfunding platform for SMEs within the ethical space. This means businesses cannot be involved in industries such as weaponry, adult entertainment, gambling and so on. That provides a good base for SME’s, as they will have undergone the necessary checks to be considered suitable for the platform. Thus, campaigns that are on the platform will always have an ethical and sustainable standing to its name. This could work in its favour as it would provide a brand recognition for SMEs.


3. Wide net of contacts

Most successful businesses tend to have a wide array of contacts with other companies and individuals. By leveraging on the crowdfunding platform, you’ll be able to expand your network as well. The platform can be a place where you may find potential clients, investors, partners or employees. This network of people can build upon your company’s successes, and help develop your business identiy.


4. Free marketing

As mentioned, you’ll get free marketing and approval of your business. Alongside building a community, you’ll be able to spread word about your company on the platform. It can be a powerful marketing tool if leveraged, as word of mouth is often the best advertising solution to gain more investors. Tech-focused platforms like Indiegogo is also able to showcase your company to visitors just looking for opportunities to invest. As one tech enthusiast might lead you to a few other consumers looking to invest in the product. It is never at your disadvantage to have the added publicity crowdfunding can offer.

These are the hallmarks of building a great brand. To get a huge following and have investors back your brand is a great testimony to your company. After this, the investors would be a loyal partner to your business as they would believe in you after a successful crowdfunding campaign. Ultimately, the success of a business is not just determined by the amount of sales you make; It is the brand that you have built and the cult following that you’ve gained.


About us

Kapital Boost is an online platform matching SME crowdfunding campaigns with retail investors looking for attractive returns. Our investments are Shariah-structured and offering returns of 18-24% per year. For a low minimum investment amount, you can participate in the funding of SMEs for community growth.

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