BEST PRACTICES IN CROWDFUNDING STEPHANIE ANDERSON CAAE TARDY FELLOW Mizzou Alumni Association Assistant Director, Alumni Engagement

Introduction  THE BASICS  What is Crowdfunding?  BEST PRACTICES  SUMMARY OF LESSONS LEARNED

THE BASICS

What is Crowdfunding?  Peer-to-Peer (P2P) solicitation  Smaller gifts from more donors  Internet

Why is it important?  First-time donors  Resonates with recent grads  Teach students power of giving  Showcase university activities BUILDING THE BASE!

Benefits  Projects are tangible and timely  Stewardship opportunities  Valued by deans and campus departments  Goodwill to students  Pipeline for other engagement

Crowdfunding Platforms

BEST PRACTICES

Types of Projects  Student, faculty, or campus projects  Typically, not funding research  Resonate and identify specific impact  Crowdfunding for scholarships is difficult  No such thing as “perfect project”

Project Approval  Establish clear expectations  Comprehensive application  Project description  Fundraising goal  Timeline  Communication plan  Campus sponsor or department approval  Selection committee  Staff meet with project team

Timing  Campaigns last days  Academic calendar  Project “waves” or “bursts”  Consider other peak giving times

Staff Involvement  Onboarding/Planning meeting  Marketing, communication, timeline  Staff advise, but team is responsible  Crowdfunding website  Video support  Sample templates  Communicate project to advancement colleagues  Do not provide donor lists  Regular communication with campaign leaders

Spreading the Word  Peer-to-Peer   Quick, personal  Text based, not fancy graphics  Weekly updates  Social Media  Utilize organization and campus accounts  Encourage promotion using personal profiles  #Hashtags

Spreading the Word  Launch Events  Direct Mail  Partnerships  Campus and community  Newsletters, social media, radio stories, etc.  Crowdfunding Website  Photos, videos, project updates  Post updates throughout campaign

Target Markets  Tailor to specific population  Past organization participants  Target to those who have something to gain

Show Me the Money  Fundraising goals $5k–$15k  Giving levels  Link dollar amount with tangible impact  No knick-knack gifts  Experiential perks  Opportunity for matching gifts

Results  75-85% of projects fully funded  40% first-time donors  Largely recent grads  Mostly small donations  $25–$100  Giving pattern  Inverse bell curve TIME DONATIONS

LESSONS LEARNED

Lessons Learned  Crowdfunding requires an entrepreneurial spirit  The most successful groups are…  Ambitious  Understand the goal  Motivated  Identify donors  Speak creatively to donors  Faculty have great project ideas, but not best marketers

Lessons Learned  Exceeding goals does not hinder additional giving  Everyone loves a winner  Students are savvy  Pro and Con  Establish rules/expectations  Challenges work  Campaigns released in waves  Peer-to-Peer is vital

Other Considerations  Still learning how to retrain crowdfunding donors  Niche giving opportunities  Essential to have open communication with partners  Gift processing  Advancement colleagues

Top Three Tips 1. Peer-to-Peer Marketing 2. Set clear expectations 3. Communication is key

Stephanie Anderson Mizzou Alumni Association Questions