In the art world, finding the funding needed to carry out a project can be a challenge. Particularly for independent artists or not yet known to the general public, economic resources are crucial to give resonance to one's work and turn it into a means of livelihood. Economic support from private entities is usually targeted at a few artists and projects, which are already well known and sure to succeed, with few bets. Public funding is insufficient to guarantee a artistic and cultural ecosystem alive and diverse.

In this context, the crowdfunding for artists stands as an alternative option to traditional channels of artistic production and distribution. It not only provides access to alternative funding, but also allows people to build a community of passionate supporters and test interest in their ideas. 

Crowdfunding gives artists greater creative freedom, allowing them to pursue innovative projects without having to align with selection criteria of traditional funding bodies. The ability to Directly connecting art with its audience, eliminating the need for intermediaries, allows for the recovery of the fundamental values of art as a free means of expression and communication, which are often lost in its commercial declination.

The crowdfunding for artists represents, therefore, an opportunity to reconcile creative freedom with economic and commercial needs. In this article we find out how to make the most of this opportunity to realize your own artistic projects: painting, sculpture, illustration, performing arts, film, and any form of artistic expression possible.

We will always talk about "artists," but it is good to specify that the initiators of a crowdfunding campaign can be either individuals or cultural and artistic organizations.

Why crowdfunding for artists

Why should artists value crowdfunding as an enabling tool for artistic production and distribution?

1. Direct access to funds

Crowdfunding allows artists to raise money directly from the public without having to resort to traditional financing such as bank loans or funds from a sponsor, or financial support from an agent or production company. This democratizes access to the funding for art, allowing anyone to try to raise funds to carry out a project and anyone else to contribute to it.

2. Maintenance of rights

Unlike contracts with record labels, publishers, production companies, sponsors, and agents, crowdfunding allows artists to retain control over the rights to their works. This means both being able to decide completely independently on the nature and declination of the artistic work and being able to keep the full amount of earnings for themselves.

3. Integrated promotion

A crowdfunding campaign also serves as a promotional tool, generating visibility and interest around the art project before it is even made. This optimizes resources: by investing in a crowdfunding campaign, the artist is simultaneously investing in a fundraising and publicity operation. Operation that can even cross national borders, thanks to the pervasiveness of the web.

4. Feedback from the public

Direct involvement of supporters allows artists to test market interest and receive valuable feedback to improve the project and more accurately identify its ideal audience. This avoids investing too much time and resources in projects that fail to generate sufficient interest.

5. Creating a community

Crowdfunding campaigns help build a loyal fan base and supporters, who can also become ambassadors for the project, helping to spread the word and generate further interest. Sharing in the making of an art project from its foundation, from idea to creative process, creates a strong emotional connection. If well managed, this community becomes a valuable permanent follow-up for future projects as well.

What type of crowdfunding for art projects?

Among the different types of crowdfunding existing, there are two that are best suited to the needs of artists.

Reward crowdfunding

This type of crowdfunding is particularly suitable for the Artists who wish to fund specific projects with commercial objectives, such as music albums, plays, solo exhibitions or art installations. 

Through platforms such as Kickstarter, Productions from Below o Indiegogo, artists can offer supporters tangible rewards, such as physical copies of their work, tickets to exclusive events or personalized art objects. This creates an incentive for potential funders to contribute, facilitating fundraising in an engaging way.

Donation crowdfunding

Donation-based crowdfunding is another option, which may be congenial for artists or arts organizations wishing to fund charitable projects or working in cultural fields. For example, art initiatives to benefit a disadvantaged community or in school settings, projects to upgrade a blighted neighborhood with art installations, etc. 

Platforms such as GoFundMe and Productions from Below allow people to raise funds from donors in the name of a shared commitment to a charitable purpose, without offering rewards in return. 

How to make an art crowdfunding campaign.

Structuring a crowdfunding campaign requires careful planning, in the arts as with any other project. To delve in detail into the specifics of the individual types of crowdfunding we mentioned in the previous paragraph, along with relevant best practices, read our articles on the reward crowdfunding and on the donation crowdfunding.

We summarize here the steps to follow to prepare a successful crowdfunding campaign, emphasizing the peculiarities of the crowdfunding for artists and the implications that follow.

Step 1: Clearly define the project and objectives

It is essential that the artist clearly define his or her project, funding goals, and the message he or she intends to communicate to supporters. The budget must be realistic, cover a sufficient portion of the costs of implementing the project and also consider the costs of promoting the crowdfunding campaign itself.

Step 2: Create an effective communication plan

La promotion is crucial for any crowdfunding campaign. Social media, newsletters and personal contacts are the main tools for reaching a wider audience. For arts projects even more than for all others, the "onion" strategy is ideal: starting with one's closest contacts, such as friends and family, then spreading the message gradually to more distant layers of acquaintances, stimulating word of mouth to reach out to strangers, and finally landing on 1-to-many communication on the web. 

Art projects also lend themselves greatly to the offline communication, for example by organizing small art or live music performances. For low-cost events, you can try asking for free availability of locations such as bars, libraries, or other cultural spaces, offering entertainment and promotion of the event to attract customers or visitors.

Finally, leveraging one's professional network and the visibility of other artists is a great way to reach a target audience similar to one's own and further resonate the project in art-sensitive circles.

Step 3: Plan the rewards

It is important to create a reward plan that stimulates supporters' interest and is sustainable to implement in practice. I reward most attractive and effective are those diversified according to the size of the financial contribution and the speed of campaign membership, so as to Rewarding early supporters and those who are most generous.

Step 4: Stimulate and maintain active public involvement

Telling an authentic story that explains the artist's vision and the impact of the project creates an emotional connection with the audience that is a strong lever to economic contribution. The idea of contributing concretely to an artistic event whose values - aesthetic, social, communicative - are shared, stimulates participation in the artist's crowdfunding campaign.

Using eye-catching visual content, such as promotional videos and high-quality images that convey a preview of the art creation or its essential message allow an unrealized project to be made more concrete in the present.

It is also imperative for artists to create direct interactions with potential supporters through creation sessions or live online performances, live meetings, collecting feedback or sharing exclusive content. 

Finally, regular updates must be provided to supporters throughout the campaign to keep interest high and stimulate word of mouth. 

Step 5: Monitor and adapt the campaign as it unfolds

The crowdfunding for artists may be less structured on rigid marketing and sales processes than for corporations, but it still requires a defined strategy and monitoring of progress and achievement of goals.

Being flexible and ready to adapt strategies and communication based on audience response is critical to maintaining contact with supporters or potential supporters and increasing both the likelihood of success of the present campaign and retention of follow-through in the future.

Step 6: Thank supporters and maintain contact after the campaign

Once the campaign is over, it is important to thank supporters and continue communicating with them to build a long-term relationship. 

Publicly acknowledging the importance of the community contribution built during the campaign reinforces the sense of belonging and usefulness and fuels the desire to continue to actively support the artist.

But thanking is not enough: even more important is delivering the promised rewards on time, in the case of reward crowdfunding campaigns. This validates the reliability of the artist and proves the goodness of the decision to support his or her project.

Challenges and mistakes to avoid 

The Artists who rely on crowdfunding to fund their projects face several challenges that can jeopardize the success of their campaigns. Let's find out the main difficulties to learn how to overcome or avoid them.

1. Market saturation and competition

With the rise of crowdfunding platforms, the proliferation of art campaigns, and the crowding of social media, emerging is becoming increasingly difficult. Artists must learn to stand out through compelling storytelling, high-quality visual content, and a clear definition of their target audience.

2. Unrealistic funding targets.

Many artists, as well as entrepreneurs, make the mistake of setting overly ambitious or unrealistic goals. This can discourage potential supporters, who may perceive the campaign as opaque or poorly planned. It is essential to establish a detailed and realistic budget, accompanied by a clear explanation of how the funds raised will be used.

3. Underestimation of the time and resources needed

Running a crowdfunding campaign is a challenging business, which requires artists to devote a lot of time and material and economic resources to promotion and communication management. If time and resources are not available, it is best to postpone the project or seek support from collaborators: realizing this once the campaign is underway carries a high risk of failure or mismanagement.

Organizing one's time for the crowdfunding campaign is also crucial in order to be able to carry on one's normal daily activities at the same time.

3. Difficulties in achieving rewards

The risk of imagining grandiose and highly appealing rewards, even in good faith, without considering how they will be achieved in practice, is high. A budget and a planning of reward implementation and delivery processes, before advertising them and offering them to potential supporters.

4. Trust and reputation issues

The success of crowdfunding depends on the trust of supporters. Delays in reward delivery, lack of transparency in communication, or poor active campaign management can damage the reputation of the artist and make it difficult to conclude the operation successfully or get support in the future. 

One must earn the trust of potential supporters by demonstrating the concreteness of the artistic project and one's commitment.

5. Intellectual property risks

Sharing creative ideas online exposes artists to the risk of intellectual property theft or copyright violations. This can lead to legal disputes and damage the project.

6. Lack of post-campaign planning.

Many artists do not consider the challenges that follow successful fundraising, such as managing rewards, communicating with supporters, and completing the project on time. This can frustrate all the efforts made to complete the art crowdfunding campaign successfully.

Those who support a project with their own money demand consideration and attention, so it is important to make sure that you interact as much as possible with campaign participants even after the campaign is over, or delegate the task to a few contributors.

The issue of royalties and other risks of crowdfunding for artists

The crowdfunding for artists is a business venture and, as such, carries risks. The main one and the most feared is the risk of intellectual property theft, plagiarism, and misappropriation or reproduction of works. While crowdfunding makes it possible to avoid assigning rights to intermediaries such as agents and production companies, sharing material online and with strangers can, in fact, appear risky in this respect. However, it should be remembered that copyright is a right that arises automatically upon creation of the work. The relevant issue is proving authorship of a work and exclusive ownership of its rights of use.

To maintain complete control over one's works, one only needs to take a few simple steps:

• Protect intellectual property before launching the campaign: officially registering works allows intellectual property to be protected through means that provide legal proof of authorship of the work and restrict its use:
  • Copyright registration
  • Registration of a trademark
  • Acquisition of a patent (if applicable to the type of project).

• Use of non-disclosure agreements (NDA): If you involve collaborators or partners in the campaign, it is useful to have them sign an NDA to protect the ideas and details of the project.

• Selective information sharing: Limit the amount of details shared publicly and provide only the information necessary to attract supporters and gain their trust.

• Use of tokens or NFTs to take advantage of the transparency, tracking and property protection features offered by blockchain.

• Active monitoring: After the launch and closing of the campaign, it is important to Monitor for unauthorized uses of their works and act promptly to protect their rights.

To ensure comprehensive protection of the artist's rights during and after the campaign, you may also consider consulting an intellectual property lawyer. 

Other potential Risks inherent in crowdfunding for artists arise from the nature of crowdfunding in general:

• Campaign failure

The failure of a crowdfunding campaign for an artist is a personal disappointment, but it also represents possible reputational damage that will require focused efforts to heal and a waste of resources.

• Excessive expenditure of economic resources

If a detailed budget is not prepared before launching a crowdfunding campaign, the risk is that so many economic resources will be spent in preparing it that the funds raised will be insufficient for the realization of the art project.

• Inability to meet expectations

As we have already anticipated, raising high expectations of supporters is a dangerous way of gaining attention and promotion, because failing to meet those expectations triggers a negative reaction that is fatal to the artist's reputation and future projects.

• Incorrect fiscal management

To avoid problems, it is important to carefully check the taxation provided for each type of crowdfunding on the funds raised. Money raised in reward crowdfunding, for example, is considered taxable.

The secret to avoiding these risks is only one: plan every aspect of the campaign carefully and well in advance.

How to use crowdfunding to finance long-term art projects

Crowdfunding can be not only a tool for raising capital for a single art project, but also a piece of a larger long-term funding strategy. Here's how:

1. Solid community

The success of long-term crowdfunding depends on the ability to build a base of loyal supporters through regular interactions even outside the fundraising stages and challenging, recurring and exclusive rewards accessible only to those in the community.

2. Strategic planning

For an efficient funding strategy, it is useful, where possible, to plan from the outset a step-by-step path punctuated by successive crowdfunding campaigns for different projects, so that coordinated communication is also achieved.

3. Crowdfunding as a promotional tool

Running a crowdfunding campaign with the sole objective of raising a minimum amount of funds is inefficient. It is very efficient, however, to also use crowdfunding as a marketing tool to boost the visibility of one's art and Building a brand around one's artist name. This will facilitate access to a network of useful contacts and to sponsorships, patronage and other types of support, both financial and promotional.

4. Integration with other funding sources

The crowdfunding for artists can be combined with other modes of funding. For example, sponsorships or public funds, but also direct sales of products related to the artwork. The community and visibility built through crowdfunding can create a following of fans inclined to become recurring customers as well.

Speaking of recurrence: crowdfunding can also be a great springboard for building a loyal following to carry on platforms such as Patreon, which allow supporters to pay regular contributions to artists, providing a continuous revenue stream that can fit into the art project budgets long term.