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Crowdfunding as a Marketing Tool

Crowdfunding as a Marketing Tool
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Author(s): Fabio Allegreni (Crowd Advisors, Italy)
Copyright: 2020
Pages: 17
Source title: Start-Ups and SMEs: Concepts, Methodologies, Tools, and Applications
Source Author(s)/Editor(s): Information Resources Management Association (USA)
DOI: 10.4018/978-1-7998-1760-4.ch023

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Abstract

Most people, at a first sight, perceive Crowdfunding as a specific and exciting process to raise money. Of course, this is correct, but it is not the whole truth. A successful crowdfunding campaign must be addressed to a community of people, rather than to an indiscriminate crowd, which is also typical for any marketing strategy. Leveraging on this key element, crowdfunding can amplify almost any kind of communication activity, provided it is able to meet the needs of a community and to provide the benefits that the community expects. Therefore, if well exploited, crowdfunding is a powerful tool in the hands of marketers, whose potential goes far beyond the evidence of pre-selling a new product, to reach new marketing horizons such as branding, business development, CRM, credit scoring and even HR management.

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