In today’s society, there are a lot of new fundraising websites that people have come to rely on. There is a crowdfunding website for everything from business plans to philanthropic endeavors in order to raise funds. Among those sites are Indiegogo and GoFundMe which have been around for over 10 years and have raised over billions of dollars for organizations and individuals who have projects they’re trying to make happen. However, there are some fine differences between these two crowdfunding sites that you should be aware of before making your decision about which one you want to use or how you plan on using it.
What are the differences between Indiegogo and GoFundMe?
Both Indiegogo and GoFundMe are crowdfunding sites that enable people to raise funds for personal projects and charities.
Some key differences are:
Fees: Indiegogo is more expensive than GoFundMe, which means that you may have to set your fundraising goals a bit lower if you want to reach them.
Timeline: Indiegogo has a longer timeframe for campaigns as compared to GoFundMe. Indiegogo permits campaigns to run for up to 60 days whereas GoFundMe only allows 1 month or less.
Platforms: You’ll find that Indiegogo is a much larger platform with more features than GoFundMe, which means the amount of people who can contribute money will be higher with the former website.
Over the last decade, many business owners and entrepreneurs have increasingly turned to crowdfunders to raise funds. Having access to some individual donors for business projects and creative endeavors has been a needed boon to businesses in the post-financial-crisis era.
When evaluating Indiegogo vs. GoFundMe as crowdfunders, you should consider that Indiegogo is for funding tech projects and creative works whereas GoFundMe’s crowdfunding is primarily for causes which are personal (such as medical emergencies). However, it can be used for certain business crowdfundings.
Pros of Indiegogo
It is used as Crowdfunding for tech products as well as creative works
It can launch a Patreon-style ongoing crowdfunding campaign after you initially reach your funding goal.
It provides good customer support
It does not prescreen campaigns.
Cons of Indiegogo
It provides a minimal platform fee of 5%
It has a limited communication between backers and campaigners.
It can’t launch an InDemand campaign without having run a successful “traditional” crowdfunding campaign first.
Pros of GoFundMe
- It is the world’s largest crowdfunder for personal reasons and emergencies.
- No platform fee is required.
- You campaign can be kept open for an unlimited period of time.
Cons of GoFundMe
- It isn’t for all types of business projects.
- Some campaigners face trouble while withdrawing funds.
- This platform doesn’t make it easy to offer rewards.
Who have raised money on Indiegogo vs GoFundMe?
You may also be wondering if there are any popular projects that have been raised money on Indiegogo vs GoFundMe.
If you’re interested in finding out what the most funded projects are, check out these articles which give a short overview of each site’s top-funded projects.
The Campaign Process
Both Indiegogo and GoFundMe are crowdfunding platforms that allow you to raise money for your project. Both offer access to the same promotional tools, such as banners and buttons, but with a few key differences in each platform’s approach:
With Indiegogo, you can choose from a range of rewards on their site related to your specific campaign theme. You give people options on what perks they want in exchange for financial support. With GoFundMe, you must reach out yourself via email or another contact method (such as phone) and suggest an exchange item that isn’t already listed by the company themselves; these items cannot be processed via automatic means like those based on themes chosen by individuals running campaigns.
Indiegogo is more flexible of rules when it comes to running your campaign. The one and only thing you need to do is to get your project approved before going live on their site. However, GoFundMe has a review process depending on the type of campaign, which can take weeks or months should you choose that option and raise enough money for said project in question. Indiegogo may be better suited for those who are looking to run an urgent and fast-paced fundraiser without any delays while GoFundMe requires patience due to their stricter policies regarding campaigns
How do you find projects on each website?
For both Indiegogo and GoFundMe, you’ll want to search for the website’s name plus a keyword. For example, if you searched for the projects on Indiegogo that have been successful with their fundraising, you would search “Indiegogo” for “success.”
Comparison of fees at Indiegogo vs GoFundMe.
Indiegogo: 4% + $0.20 per transaction.
GoFundMe: 3% + $0.30 per transaction.
There are also some differences in reporting at these websites as well. Indiegogo allows you to track the funds that you raise so you can keep up with how much amount has been raised, how much your goal was met and how much your project has actually been spent on so far. GoFundMe, on the other hand, only provides a breakdown of how much of your goal has been raised, not what it’s been spent on yet and doesn’t allow for any tracking or reporting at all.
Comparison of perks at Indiegogo vs GoFundMe.
Indiegogo and GoFundMe offer similar perks, so it’s hard to tell which one is better for the project you’re trying to fund. In general, Indiegogo has a lot more perks that are geared towards creators and artists like photography, films, music, and books, but GoFundMe may offer a higher percentage of their funds to charities that raise money for causes in need.
The length of time varies depending on what you’re fundraising for with both websites but most campaigns on both sites are around 30 days. Campaigns with longer lengths are started on both sites as well.
The amount of money raised is different at each site with Indiegogo offering bigger funding amounts than GoFundMe. This is because you don’t have to pay any fees until your campaign reaches its target amount which means that Indiegogo will be easier to reach the goal in your project’s timeline. On the other hand, since there are no fees at GoFundMe you know exactly how much they’ll be getting all the way up until they hit the goal amount.
Last few words
Indiegogo and GoFundMe are both great platforms for raising money and getting a large amount of support. But when you’re deciding which platform to use, it’s important to consider the differences between the two.