Indiegogo

stevetam

(Steve Tam. Image from: http://100ac.re/steve-tam/)

Questions:

  • How do you ensure that the campaigns on Indiegogo are legitimate and not a scam project to get money?
  • Does Indiegogo connect individuals for specific projects or do teams apply together?
  • Is Indiegogo a good company to start kickstarter campaigns? A group of us have various projects and ideas in mind like building iOS apps or cross platforming applications, and are in need of some funding to progress the research. Would Indiegogo support projects like that? Would Indiegogo help with the campaigning

 

Summary:

A speaker from Indiegogo, named Steve Tam, came to speak with our class about crowd funding. He was sharing experiences and tips as to what and what not to do when one starts a crowd funding campaign. He expressed six essential steps: 1) Don’t define the audience to the board room, 2) Forget the focus group, 3) Create exclusivities such as memberships, 4) Finding your niche and not worrying if people understand the concept or not, 5) Create the sense of urgency, and 6) Dethrone the gate keeper. He explained that ideas couldn’t grow when it is set in stone for a specific audience. When starting a crowd-funding project, it is important to expect the unexpected, meaning that audiences outside the target range may be interested in the project. Creating membership deals can make people feel the need to join to be part of a certain community, which can tie into the sense of urgency, where people are given a “limited edition” version of the product and have a set time to buy the product. Opening up to communities or trying to make people understand the product, however, can alter the original idea. It is essential for crowd funding projects to create something that fits the creators’ original thoughts. Lastly, dethroning the gate keeper refers to having the ability to say no to businesses, banks, lawyers, etc. when they make suggestions or statements about the project. It is possible for them to be wrong, and it would take some stepping up to prove “the gate keepers” of their mistake.

 

Personal Response and Reflections:

In Steve Tam’s presentation on how to make a successful crowd-funding business, I thought of possible flaws that may contradict to his statements. Although I agree with majority of his methods, I disagree with his comment about ignoring if people understand the product or not. Assuming majority of the audience does not understand the point or usage of an item/product, the item would not sell. It would be a more effective method by creating an idea that is within the creator’s thoughts, as well as making it clear and understandable to the public. With clear communication of what the product is intended to be, the creator may get more support from the community. Steve Tam also specified special procedures in order to start a crowd-funding campaign. In order to start an Indiegogo kick-starter, one can just apply an idea, write a proposal and business plan, and submit it. However, Steve Tam stated that anything related to health couldn’t be funded through Indiegogo. Many applications and projects are based around health, to either better daily lives or help keep track of needed values. If it is not because of a legal issue, I would like to see more health applications be publicized, as it would help the world a little more.