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Crowdsourcing - Starting a Business with a Cast of Thousands
You have a great idea for a startup but need research, development and innovation to make it happen. Stumped? Don’t be. Just ask the crowd.
With the Internet constantly making business easier and more accessible, the time is ripe. Crowdsourcing – the term was coined by Wired contributing editor Jeff Howe – happens when a company relies on outside volunteers and low-paid amateurs for ideas, direction, content, problem-solving and sometimes even product launch.
“It’s a model for the creation of intellectual property, although you also see it in the sciences,” Howe says.
Case in point: Cambrianhouse.com. Self-defined as “crowdsourced software,” Cambrian House’s mission is “to discover and commercialize software ideas through the wisdom and participation of crowds.” Contributors earn royalties.
Another good example: Lego Mindstorms NXT. The robotics toolset lets users build, program and personalize robots. Looking to develop a new version of Mindstorms, the company asked its “most enthusiastic users and consumers” to help develop the next product generation, says Michael McNally, brand relations director for Lego Systems, Inc.
The company’s always had an involved consumer base, McNally says. “We knew that the people who were still passionate Lego robotic hobbyists – spending hours per week – could best speak to the improvements we could make to reignite consumer excitement.
Copyright 2009 StartupNation, LLC