Identifying challenges in crowdfunded product development: a review of Kickstarter projects

Lasse Skovgaard Jensen*, Ali Gürcan Özkil

*Corresponding author for this work

Research output: Contribution to journalJournal articleResearchpeer-review

368 Downloads (Pure)

Abstract

This paper provides an empirical review of the reward-based crowdfunding platform Kickstarter.com, with the aim to explore and identify challenges in crowdfunded product development, which consequently can lead to failure of the crowdfunding campaign. The review was based on the analysis of a total of 144 successfully funded ‘technology’ campaigns, which all concerned the creation of physical consumer hardware preordered by campaign backers. The analysis was built around a failure mode model, which was established through a pre-study. The study reveals that (i) no more than 32% of the campaigns managed to deliver the crowdfunded products on time, and, if campaigns are delayed, (ii) there is a significantly higher probability that the delivered products might lack expected attributes. The causes for delay have many reasons, but (iii) a set of particular product development issues were identified as the main challenges. A better understanding of crowdfunded product development can help researchers and practitioners to better understand and utilize the opportunities of this new product development paradigm.
Original languageEnglish
Article numbere18
JournalDesign Science
Volume4
Number of pages29
DOIs
Publication statusPublished - 2018

Bibliographical note

Copyright; The Author(s) 2018 Distributed as Open Access under a CC-BY 4.0 license (http://creativecommons.org/ licenses/by/4.0/)

Keywords

  • Product development
  • Crowdfunding
  • Tech. entrepreneurship

Fingerprint Dive into the research topics of 'Identifying challenges in crowdfunded product development: a review of Kickstarter projects'. Together they form a unique fingerprint.

Cite this