Equity Crowdfunding

Crowdcube helped 105 Businesses Raise over £35.9 Million in 2014, add that to a successful advertising campaign throughout central London on the Tube and Cabs, the world’s first equity crowdfunding platform is one to know about.

So what is the key to a successful Crowdcube campaign? We took a selection of companies in the food & drink sector who have raised money recently and analysed why they were so successful.

Here’s what you need to know:

Taylor Street Baristas raised £1,713,500 although it’s target was £1,500,000 Good Egg Restaurants raised £216,080 although it’s target was £180,000 UBREW raised £93,140 although it’s target was £75,000 DeskBeers raised £111,780 although it’s target was £80,000

So why did these businesses go above and beyond their targets?

All of these businesses were offering a luxury service or product – Barista brewed coffee, market deli foods and crafted Beer. All of which The ‘Grab-and-Go’ ideal of a coffee shop & Deli, delivery direct to you.  The key thing to note here is that although most of these ideas are not unique or revolutionary, they are all building upon existing business ideas yet with an focus on exceptional quality.

The 4 W’s of Quantitative Research

Exploring your quantitative Research can help you move beyond the seemingly simple answers to survey questions. By looking into the who, what, why and where’s of your research data, you may discover more valued data..

Why

Your quantitative research primarily gathers numerical statistics, but to understand the motivation behind such figures open ended questions are essential in attaining this crucial information, that will benefit you further into your research

Who

Asking the consumer directly can help you gain an understanding the motivators. They are best approached by first attempting to understand the full picture and intentions behind their decision making. This can provide additional and valued information than simply just asking the consumer closed ended questions

Where

When surprising or insightful data emerges, it often changes the way you perceive the original question. Be sure to follow these leads and dig deeper as this can lead to unforeseen yet greater insights

What

Investigate beyond what respondents say to ascertain the motivation behind their behaviour. Consumers tend to act contrary to what they say. Of course, what they do say is incredibly useful, but there are greater insights to be gained by attempting to discover the true drivers of their behaviour

Why should you be using Secondary Market Research?

Back at business school the notion of research was drummed into my head time and time again. Writing a new business plan? – Let’s see your Research. Launching a new product? – Where is the Research on your competitors? At the start of 2014 there were an estimated 5.2 million small businesses in the UK (http://www.fsb.org.uk/stats) I found that out from conducting secondary market research for this article.
So with more and more SMEs popping up, how do you stand out from the crowd and how do you define your USP? Here’s that word again…Research!

Secondary Market Research is typically seen to be an easier method than primary market research. Secondary Market Research already exists; some kind soul has already done the dirty work for you so it saves time and money collecting essential data. It’s often cheaper than doing primary research too, no need to spend money in creating & distributing questionnaires or assembling focus groups.

Of course, there will always be disadvantages to secondary research methods, you have no control over how this data was collected, therefore there could be biases in the data, and ultimately the answers you find may not fit the question your asking.

Ultimately, any research you conduct should lead to a better understanding of your market, your customers and inform any future actions you take.

Learnings from successful 'technology' Kickstarter projects

Kickstarter is now used by various sectors to raise funding, technology is no exception. In the PDF below find the specifics of the leading companies who raised several times over the amount they were set to raise. For instance First Domestic Robot That Tracks Intruders! raised 24,952% over the amount it was meant to raise to make it’s project a reality. Here is an analysis of what’s common between the various successful companies:

To Raise Over $10k
Pre-requisite: You should be building something truly revolutionary. Like a 3D printing pen, smart-home
⁃ Making life truly easy for everyday tech i.e. home devices, keyboards, flashlights and more
⁃ Empowering everyday people to do amazing stuff at low prices. Eg: 3D printing, coding for real devices (for kids),
⁃ Become healthy with quantifiable results. Eg: vest burns up to a pound of fat per week (500 calories/day
⁃ Available for most devices. It was observed that most oversubscribed projects were universal i.e. they worked on most devices. Even if they were only for mobile devices they supported iOS and Android.

To Raise under $10k
Pre-requisite: The item is in-expensive to buy for the end user
⁃ Applicable to a large audience irrespective of gender, profession and age. Example: Yoga classes, home safe of intruders and 3D laser scanner
⁃ Fun to have or use, could be a potential hobby. Example: guitar hero for real instruments, 3D scanners for

Other observations:
⁃ All the companies that raised money via Kickstarter in the technology section had great descriptions. They were able to define their product in under 10 words. Example: The World’s First 3D Printing Pen, Calorie Burning Vest, Cool-Ink 3D Pen,
⁃ Had a wow-factor in it’s description. Example: Designed by a NASA scientist, The world’s first and best 3D printing pen and Winner of the 2015 CES Best of Innovation

Analysis based on companies: