CROWDFUNDING, MUCH MORE THAN A FINANCING LEVERAGE, A COMMUNICATION LEVERAGE.

If companies call upon crowdfunding, it will be firstly to diversify their sources of financing, in addition to their banking and equity resources. However, is also a way to gain speed, simplicity and efficiency in their development projects.

Crowdfunding enables companies to communicate on their activity, their products and services as well as their development project. Indeed, contributors on crowdfunding platform have a double will. On the one hand they want to make a diversified and profitable investment; on the other hand, they want to participate in the development of businesses by directly and concretely supporting a sector, activity or brand that speaks to them and gives meaning to their savings.

Contributors are potential clients, ambassadors and supporters who convey a positive message to their entourage. The participation to fundraising campaign allows a relay on social networks or in the press, and this strong visibility offered to companies is even sometimes viral. In addition to, a crowdfunding campaign enables BtoC companies to survey the market, present a product in preview and evaluate whether or not the general public supports an innovation or a new product.

Crowdfunding therefore becomes not only an advanced marketing tool but also a kind of pre-production evaluation tool, ideal to test the public's enthusiasm in real life, without taking too much risk. This is how large companies (Tesla, Ubuntu, Sony, Danone, Orange...) have launched or co-financed crowdfunding campaigns to create an initial communication dynamic and evaluate the potential of their products at the same time.

A successful crowdfunding campaign allows to not systematically solicit the same partners (banks, shareholders, investment funds, clients, etc.), while sending a positive message. Indeed, a successful crowdfunding campaign is a token of confidence; it is proof that the strategic direction of the company is validated by the general public, which constitutes a collective intelligence, a form of approval and adherence of the crowd to a brand, a market or a product.

Finally, the platforms have a duty of transparency and have an obligation to audit, analyze, evaluate and select companies applying for financing. Companies are challenged by the multitude of information that is requested and therefore analyzed, in order to make a clear, comprehensive and transparent presentation. Consequently, companies are encouraged to do an introspective work. These requirements information draw companies towards more rationalism and professionalism communication. Accordingly, a carefully prepared campaign allows some companies to improve their procedures, better target the company's weaknesses and strengths and be engage in a beneficial experience. Another point is that process encourage them to adopt practices of transparency and monitoring of performance indicators.

20/07/2018