There are lots of entrepreneurs who have great ideas. However, only very few of these ideas come to life, the reason being a lack of funding. Venture capitalists are very careful with their investments, so they tend to stay away from all start ups that don’t promise a huge success.
Luckily, there’s an alternative method to get the money needed to put your brilliant ideas into practice. This is crowdfunding or crowd sourcing. This is an opportunity for everybody who believes in an idea to invest in it. I can contribute as much as I can, and I’ll get compensated accordingly. A friend of mine runs a blog (shameless plug: www.mnroofingideas.com) who is dabbling with the idea of running a crowdsourcing campaign to fund his blog so he can get more advertisers, which will help his blog reach more people. Should be interesting.
The only problem I see is that, in order to be successful, a crowd sourcing campaign has to be supported through a solid plan. You need to do in-depth consumer research, and then to develop messages that appeal to this type of individual. Moreover, you need to select your communication channels carefully, and to make sure you are consistent across all of them. This is what big brands do, and that’s exactly what I’m going to do for my next crowd sourcing initiative. If it works, my idea is going to be the next big thing.