Why Overpriced Rewards Could Be the Kiss of Death for Your Crowdfunding Campaign
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When determining the rewards for your crowdfunding campaign, says expert consultant Sally Outlaw of Peerbackers.com, make sure supporters feel like they’re getting a good deal.
For instance, an imprudent entrepreneur might offer as a reward access to an app that they’re crowdfunding for $25. “Well, when the campaign ends, the app’s going to be a dollar at the app store,” Outlaw says. And leaving your earliest adopters with the feeling that they’re being ripped off is a ghastly ploy in the realm of retention.
For more crowdfunding rewards strategies from Outlaw, check out this short video captured at our inaugural Entrepreneur 360 conference held last fall in New York City.