Crowdfunding: Why Millennials Make the Perfect Target Market

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Campaigns that involve crowdfunding are characterized by the principle "the greater the number of people who view your page", It's a fairly simple logic. The greater number of people who visit your crowdfunding page, you have the higher likelihood of them donating. Fortunately, or unfortunately, there is more science to crowdfunding than first appears. While crowdfunding was designed to appeal to the masses it is not the only strategy. It is inevitable that certain segments of the market will respond better to crowdfunding than others. This includes the millennials.

About one-fourth the US population is comprised of millennials (18-35 years old). This market could be the perfect target for crowdfunders looking to get into the entrepreneurial world. Generation Y has been exposed to branded ads of all kinds since childhood. They've become very jaded about the commercialization process. They dismiss cliché large-scale marketing campaigns as insincere corporate strategies or artificial business models. crowdfunding marketing companies Here's where crowdfunding is a great option. The end result of crowdfunding is a personal process that requires grassroots marketing as well as peer-to–peer communication (think word of mouth and social media sharing). This is a refreshing departure from the standard TV commercials that ask people to dial 1-800 numbers and donate now. Not to mention the fact that millennials are connected 24/7 to the internet and prefer to use online channels to make charitable contributions.

So how do you create a "millennial-focused" crowdfunding campaign. Research has shown that millennials have a higher likelihood of supporting corporate altruism and donating to non-profit organizations than the baby boom generation. In an age of social media, where the causes that millennials support are more easily visible to the public than ever before, these decisions can be a part of their identity. The question millennials ask themselves is: "What does the financial contribution I make to this cause reveal about me, my beliefs, or my values?"

Think carefully about what you're asking donors to identify as when creating a crowdfunding campaign. The best millennial-targeted campaigns will be presented in a way that is relatable to millennials. Mintel conducted a survey with 2000 millennials to determine the top three social issues for millennials. They ranked education at 38 percent, poverty at 26 percent, and safety at 21 percent. With 21 percent each, environmental and mental health issues came in close second. These issues could be incorporated into your crowdfunding campaign to increase donations from a millennial audience. Also, it's unrealistic to expect large donations from millennial campaign donors. best crowdfunding promotion services According to the US Census Bureau, the largest proportion of Americans living below $25,000 annually and the smallest number of households making more than $150,000 per year are millennial households. Also, millennials give smaller donations to different organizations than they do to one cause or mission.