Kickstarter

Definition

Kickstarter is a crowdfunding platform that allows individuals and organizations to raise funds for creative projects by soliciting contributions from the public. It connects creators with potential backers who support projects they find interesting or innovative, allowing diverse ideas to gain the financial backing needed to bring them to life.

5 Must Know Facts For Your Next Test

1. Kickstarter was launched in 2009 and has helped fund over 200,000 projects across various categories like art, technology, and film.
2. The platform operates on an all-or-nothing funding model, meaning if a project doesn't reach its funding goal, no money is collected from backers.
3. Creators often offer tiered rewards to backers, ranging from a simple thank-you note to exclusive products or experiences related to the project.
4. Kickstarter has played a significant role in democratizing funding for creative projects, enabling independent creators and small businesses to bypass traditional funding sources.
5. Successful projects on Kickstarter often utilize strong marketing strategies and community engagement to build momentum and attract backers.

Review Questions

• How does Kickstarter facilitate the connection between creators and potential backers, and what implications does this have for digital activism?
  • Kickstarter serves as a bridge between creators seeking funding and backers looking for innovative projects to support. This connection empowers individuals and groups engaged in digital activism by providing a platform to fund initiatives that might not receive support through traditional channels. By leveraging the community-driven aspect of crowdfunding, creators can mobilize supporters for social causes, raise awareness about issues, and foster a sense of collective responsibility among backers.
• Discuss the impact of Kickstarter's all-or-nothing funding model on project success rates and creator strategies.
  • The all-or-nothing funding model used by Kickstarter incentivizes creators to set realistic funding goals and effectively promote their projects within a limited timeframe. This model encourages thorough planning and marketing strategies as creators must engage their audience before launching their campaigns. The pressure to meet funding goals also fosters community involvement, as backers are more likely to share projects with their networks to help reach the target amount.
• Evaluate how Kickstarter has transformed traditional funding methods for creative projects and what challenges this presents for future innovators.
  • Kickstarter has significantly transformed traditional funding methods by enabling direct access to capital from the public rather than relying solely on investors or grants. This shift empowers creators but also presents challenges like market saturation and competition for attention among projects. As more innovators use crowdfunding platforms, standing out becomes increasingly difficult, leading to a need for enhanced marketing tactics and clearer communication of project value to attract backers in an overcrowded space.

Related terms

Crowdfunding: A method of raising money from a large number of people, typically via the internet, to fund a project or venture.

Backer: An individual who contributes money to a project on Kickstarter, often in exchange for rewards or early access to products.

All-or-Nothing Funding: A funding model used by Kickstarter where a project must meet its funding goal within a set time frame; if the goal isn't met, no funds are collected.