6 Trends That Are Shaping the Future of Crowdfunding Understanding these innovations will help you get the most out of the brave new world of peer-to-peer financing.
Before introducing PopSlate, a case that turns the back of a smartphone into a second screen, Yashar Behzadi needed to test the market for the high-tech product and get feedback from first-generation users. Crowdfunding, he suspected, would achieve both goals.
Behzadi launched a 30-day campaign on Indiegogo in December 2012 seeking $150,000 and ended up raising more than $219,000 in funding from 1,532 backers.
"A consumer-based crowdfunding campaign helped us engage early adopters and hone the product before it went to market," explains the Palo Alto, Calif.-based entrepreneur. "For us, it was less about the funding and more about the crowd."