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The COMPLETE crowdfunding startup formula for $100,000 campaigns http://bit.ly/2bXra6W
Danae Ringelmann, founder and chief development officer of Indiegogo, believes that crowdfunding has changed the financial industry forever.
She believes that crowdfunding has reduced both market risks and execution risks.
Market risks relate to the market fit of the product – will anyone actually pay money for your project? Does your product solve a real problem for real customers?
You can also refine your product using real customer feedback on their preferences.
Confirm the need
Measure demand
Building a brand
Raising awareness
Execution risk refers to your initial startup risks. Crowdfunding allows you to pre-sell your product and also test what product features customers are willing to pay for.
You can test features, customers, pricing, and even future offers.
Role of traditional financiers
If cash is a commodity, what else can a cash provider offer? Each type of financing brings certain benefits through networking, business knowledge, etc.
Indiegogo is an incubation platform for traditional capital and a market testing platform to reduce investment risk.
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