Crowd-funding websites allow individuals and organizations to create a page on their website and promote donations for a cause, product, or service. For nonprofits, these sites work off of a base of able and willing donors who.
Here are a few tips from The Fundraising Authority to make the most out of this technology:
Promote a specific project or campaign
Crowd-funding websites are not for your seasonal fundraisers or annual appeals. Select a very specific project your nonprofit is focusing on.
Have a marketing plan in place
Plan some initial marketing around this web-based campaign to spread awareness. The way these sites work is, once a worthy cause is recognized, people start pouring in to donate and share the cause with their friends via social media. Your nonprofit could potentially receive donations from around the world, but most crowd-based campaigns need a little push in the beginning.
Select the right site
There are crowd-funding sites based around a product or service, such as KickStarter, and then there are sites devoted soley to nonprofits, such as CrowdVox. However, maybe you are able to afford t-shirts to give out to donors or free tickets to your next event; KickStarter could be a good option after all, as site users can offer up rewards to donors who fund a project.
Also consider peer-to-peer fundraising tools, such as social media. Make sure the site enables social sharing that is easy and targets many social sites.
Create a compelling page
The buzz word "storytelling" rings loudly here. Nothing is better than a moving story, video, and photos. If your page is simply information about your nonprofit's background and not focused on the project you are promoting, you might lose potential supporters who don't see a meaningful reason right off the bat.
Start with your network
Launch your crowd-funding campaign on your organization's website, social feeds, professional networks, such as LinkedIn, and send the project to your database of supporters via email or text message.