1. Team 2
GOPIKA SHREE V 33017
VELVIZHI P 33056
AFSAR MOHAMED A 33062
PRIYADARSHINI S 33095
SAM BRYAN 33100
Help bring creative projects to life
2. Kickstarter – The Crowdfunding
Breakthrough
› Launch – April 28, 2009 by Perry Chen, Yancey
Strickler and Charles Adler
› Funding platform for creative projects
› Projects – Finite work with clear goals
› Funding – All or nothing
› Project approvals by Kickstarter staff – Approval rate
>50%
› Transaction – Tech-driven category
› Business Approach – Hybrid
3. 13.7 millionpeople have backed a Kickstarter project
5,93,000
people have backed 10 or more projects
4.4 millionpeople have backed more than one project
$3.3 billiongenerated
4. › 2001 – The story of Perry Chen from New Orleans who
wanted to see a band perform at the local Jazz
festival.
The idea of “What if you can present an idea to
the public and then ask them to support it?” emerged
› 2005 – Collaboration with Yancey Strickler
› 2007 – Joining of Charles Adler
› 2009 – Kickstart of the KickStarter
Kickstarter – The Idea Inspiration
5. › Key Partners: Creators, Backers, Payment providers
› Customer Segments: Creators & Supporters
› Key Activities: Developing partnerships, Platform
development, Marketing and Bringing creative ideas to
the market
› Key Resources: Crowdfunding platform, Digital social
network, Partnerships
› Value Propositions: Creators, Consumers, Patrons
› Revenue: Project Commission @ 5%
› Cost: IT, Marketing, Staff salaries, Payment processors,
Users
Kickstarter – The Business Model
6. Kickstarter – The Disruption
› Reinventing the wheel
› Personal story videos
› 5.9 million backers took a leap of faith in the last 5 years
› Disrupted Indiegogo, Crowdtilt, Patreon
› Indiegogo focuses on an open platform
“Kickstarter is all or nothing and that sort of generates a bit of panic amongst us
because if you don't actually reach your goal you get zero”
7. › Based in Brooklyn – creative community
› First mover advantage
› Network effects
› Creating a paucity effect
Kickstarter – The Traction
8. › Branding – founders were artists
› Collaborative artistry – Backers; not donors or investors
› Threshold-based reward system – Pre-order mechanism
- Exclusive access
- Deals on products
- Product itself
› Brand Storytelling – Project owners are required to
submit ‘Story videos’
Kickstarter – The Marketing Strategies
9. › Gimmicky products – Silly waterproof iPad stand
› Theft of original ideas
› High rewards to be given
› All or nothing funding scheme (Rival Indiegogo has
‘Whatever You Raise’ funding scheme)
› Celebrities using KickStarter – draws away attention
from budding artists
Kickstarter – The Pitfalls
