Should I Outsource Crowdfunding Fulfillment?


What is Crowdfunding Fulfillment?

Crowdfunding fulfillment encompasses picking, packaging, and shipping a product funded online by the backers. A crowdfunding campaign can help you raise capital funds to develop a new product by appealing target audience over social media and advertisement platforms. It’s an excellent fundraising strategy that allows you to ask a large number of people to donate funds for product development projects. People who fund your product by donating to the crowdfunding campaign are called the backers. Once your product is developed and launched, your backers will receive a variety of rewards in return, including the finished products, or the gifts as promised. In a nutshell, the process of shipping the rewards (units of the finished product) is called crowdfunding fulfillment. 

What Challenges Can You Face During Crowdfunding Fulfillment?

Crowdfunding fulfillment is different and more complicated than traditional order fulfillment. It comes with various challenges that you've to overcome to ship the rewards to your loyal audience across the world efficiently and timely. Following are some significant challenges that may disrupt your crowdfunding fulfillment process:

  1. The large volume of rewards

After completing a successful crowdfunding campaign, you’re required to send rewards to the backers. These rewards can involve different types of the finished product depending on batch, color, or size. If you have a longer list of backers, you may need to ship a larger volume of product, which is a complicated process as you need a large workforce for picking, packaging, and shipping the products in order to be delivered safely, efficiently, and on time.


  1. Rewards’ size and nature

Rewards' size and nature can present themselves real challenges for crowdfunding fulfillment. If you need to ship large or fragile rewards that require extra care and shipping arrangements (such as 3D printers, electric bikes, or solar panels), it may cause you extra trouble during the fulfillment process. Oversized or overweight items are difficult and more expensive to ship, especially if you’re sending them across the border.


  1. International transportation cost

Most crowdfunding campaigns have international backers who donate funds through online channels. Shipping rewards to international backers is more expensive and demanding than domestic shipping, as you're required to pay various international transportation taxes and shipping duties to get your items delivered. You may have to pay even higher shipping costs if the backers live far away from your business location.



  1. Compensation plans

Compensation plans are similar with insurance, you hope you never need them, but you can’t really live without them. However, compensation plans further add up to your shipping cost. You need to get a compensation plan for the safety and security of your items during transit. It covers you against financial losses incurred if your products get damaged during shipping and, hopefully, leaves you financially capable of appeasing your backers.


  1. Cargo insurance

Cargo insurance is another way to protect your financial interests if your products get damaged or stolen during transit. Yet, just like compensation plans mentioned above, cargo insurance is just another expenditure on your overall shipping cost.



Why Us

All these challenges make it difficult for you to handle crowdfunding fulfillment by yourself. The best solution to overcome these challenges is to outsource your crowdfunding fulfillment to a reputable and trusted third party fulfillment company.

Yunfulfillment Warehouse is the best one-station service supplier that will take care of each and every procedure of your crowdfunding fulfillment. Whether it’s inventory management, picking, packing, and shipping the rewards, we won’t disappoint you with its top-notch crowdfunding fulfillment solutions and white-glove customer care service.

If you want peace of mind, efficiency, and perfection regarding your crowdfunding fulfillment, outsource it to us. We offer the advantage of white-label, world-class fulfillment services, such as real-time tracking of shipments, expert consultation, and service customization to all of our partners.

If you have further questions regarding crowdfunding fulfillment service, feel free to send us an inquiry.


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