Lesson 2: Why Usе a Pledge Manager

Except for its primary purpose of collecting all necessary information about your backers, a pledge manager tool offers a different range of marketing services that every campaign can use to maintain the momentum:

  • Pre-order store –  if you are not keeping your crowdfunding campaign live, but are not yet ready for retail, this is a good option for acquiring more backers and not stopping your product marketing.

  • Use upsells to increase your campaign’s funding even when it’s ended.

  • Increase the backers’ satisfaction with your campaign by giving them an option to adjust their orders.

  • Manage your fulfillment with easy sorting and exporting of backers’.

  • Recover  failed payments.

Pledge manager tools are used differently for Indiegogo and Kickstarter.

For Kickstarter campaigns, they are activated 2 weeks after the campaign ends. There are 3 main reasons for this:

1. Kickstarter backers can refund during the whole live campaign period.

   2. The platform provides backers’ data only after the campaign ends.

   3. Kickstarter collects backers’ funds and attempts to restore failed payments during these 2 weeks.

That allows a pledge manager tool to send surveys with updated and correct data about backers. The same rule applies to Indiegogo funding campaigns. However, for Indiegogo Indemand campaigns you can activate the pledge manager tool during the running campaign.

And the logic behind it is that Indemand campaigns can last for an indefinite time, and you don’t want your backers to wait for the delivery forever. Refunds during the Indemand campaigns are allowed within 10 days after the order if the campaigner doesn’t lock the order. And the survey is sent to backers within 11 days after their orders.

How much can you raise in terms of additional funds for your campaign? In fact, there is no clear-cut answer to this question.

The numbers can vary depending on a lot of factors:

  • Your campaign size

  • The average ticket price

  • The add-ons you are planning to sell

  • How soon your announced shipping date is

  • Whether you charge shipping during the campaign or during the survey

And last, but definitely not least: How your backers feel about your campaign.

Some obvious facts: the larger your backer count, the more you’ll raise.

The sooner you are planning to ship, the more your backers will be inclined to invest, and get the add-ons you offer with your products.

Depending on these factors you can expect to raise an additional 5% to 30% of your total funding through a pledge management platform.

Let me give you some specific examples from the campaigns we’ve been running with BackerKit. These are the numbers of the Wicked Ball campaign, which has raised AU$284,938 with 4,321 backers. BackerKit helped the campaign raise around 15% of their funding goal.

KittySpring campaign raised 13% of their raised funds:

UVMask campaign raised 30% of their raised funds through BackerKit:

All in all, pledge manager tools can greatly contribute to your crowdfunding campaign.
Together we’ll be reviewing BackerKit, the pledge manager we’ve been using for a long time at TCF.
Let’s dive deep and show you how you need to set it up.