How to create compelling rewards

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Creating smart rewards is not easy as it might seem. In fact, you need to find perks that can be appreciated by many and at the same time are not a big cost for you. Furthermore, you want the perks to be somehow exclusive, since in this way you can communicate better to your beckers how valuable their support can be.

Following we give some tips and suggestions to keep in mind during the perks development.

  • Have the majority of perks priced between €25 and €100. Most of the contributions from backers fall between €25 and €100, this is why you should try to develop the majority of the perks you are offering in this range.

  • People will be buying your item. If you are making a crowdfunding campaign for a tangible product, e.g. a  music album or a cool smartphone gadget, beckers will tend to pledge the amount of money needed to purchase that item.

  • Create scarcity. Make a fear of loss. Offer a limited quantity of perks to encourage people to buy right now and to create a sense of exclusivity. After a perk sells out, you can always add a new one.

  • Give people a good deal. Don’t charge retail prices to beckers, as they may wait for the product for quite some time and it would not be fair.

  • Do not forget small rewards. Perks for €2- €5 are important as they allow you to capture the pledges of those people who fancy your idea but not at the point they would commit more than a couple of coins.

  • Keep it low cost. Perks have costs, like production and shipping costs. When you calculate the reward price you have to include them in. So try to create perks that  do not cost you too much, but at the same time that can be very valuable to the becker.

  • Look for inspiration. If you are having trouble creating perks, find similar campaigns and use their perks for inspiration.

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This post was originally published as part of Startup Europe. The European Commission’s Startup Europe initiative was created to connect web entrepreneurs across Europe, providing networks, resources and information to help them startup their business and grow, creating new jobs and transforming the economy and society.
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