What is Kickstarter & How Does it Work?

Tech Life Unity

5 Dec 201603:04

EducationalLearning

32 Likes 10 Comments

TLDRKickstarter is an online crowdfunding platform where creators can post their projects and raise funds from the public. It operates by setting monetary goals with deadlines, and if not met, no funds are collected. The platform is known for its diverse project categories, creator accountability, and incentives for higher donations, making it a popular choice for bringing creative ideas to life.

Takeaways

💡 Kickstarter is an online platform for creative project funding.
🌐 It allows creators to post their projects and ideas for public funding.
🎯 Creators set a monetary goal and a deadline for their projects on Kickstarter.
🤝 Crowdfunding reduces the financial burden on individual donors by spreading it across many supporters.
🚫 If a project doesn't reach its funding goal by the deadline, no money is collected and supporters are not charged.
🔍 Kickstarter features a wide range of project categories, including music, technology, food, and design.
📝 Creators are encouraged to maintain transparency with supporters by providing detailed project specs and updates.
🔑 Accountability is a key feature, with creators expected to address potential challenges and feedback from backers.
🎁 Incentives are often offered to backers who donate above certain amounts, such as exclusive rewards or products.
📚 An example given is a cookbook project offering digital and physical copies as rewards for different donation tiers.
📚 Techboomers offers a free course for those interested in learning more about Kickstarter.

Q & A

What is Kickstarter?
-Kickstarter is an online fundraising platform where creators can post their projects and ideas, along with specifications for their finished product, potential risks, and progress updates. It is often referred to as a crowdfunding platform.
How does the crowdfunding model on Kickstarter work?
-On Kickstarter, creators set a monetary goal and a deadline to meet it. Supporters can pledge money towards the completion of the project. If the project doesn't meet its funding goal by the set deadline, the creator receives no money and the supporters are not charged for their pledges.
What are the three key features of Kickstarter mentioned in the script?
-The three key features are: 1) Kickstarter is full of diverse ideas and inventions across 15 different project categories. 2) Creators are encouraged to be accountable to their supporters by being open about their projects. 3) Many projects offer incentives for donations above a certain amount.
How does Kickstarter ensure that creators are accountable to their supporters?
-Creators on Kickstarter are encouraged to be as open as possible about their projects, which can include writing project specs, submitting proofs, identifying potential challenges, providing progress updates, and responding to feedback from supporters.
What kind of incentives do projects on Kickstarter offer for donations?
-Projects on Kickstarter often offer incentives for people who make donations above a certain amount. For example, a cookbook project might offer a desktop wallpaper for donations over $10, a digital copy of the book for donations over $25, and a hard copy of the book for donations over $65.
What are some of the project categories available on Kickstarter?
-Kickstarter has 15 different project categories, including music, technology, food, and design.
What happens if a Kickstarter project does not meet its funding goal by the deadline?
-If a project does not meet its funding goal by the set deadline, the creator receives no money and the supporters are not charged for their pledges.
How does the internet facilitate the Kickstarter business model?
-The nature of the internet makes the Kickstarter business model easy to implement by allowing creators to reach a larger number of potential donors at once, reducing the amount of money that each donor has to put in.
What is the role of supporters in a Kickstarter project?
-Supporters play a crucial role in Kickstarter projects by pledging money towards the completion of the project. Their donations help bring the creators' ideas to life and they also receive updates and sometimes incentives for their contributions.
Where can one learn more about Kickstarter and its workings?
-To learn more about Kickstarter, one can check out the free Kickstarter course on techboomers.com, which provides detailed information on how to use the platform effectively.

Outlines

00:00

🌐 Introduction to Kickstarter

Kickstarter is an online fundraising platform where creators can post their projects and ideas, seeking financial support from the public. It operates as a crowdfunding platform, enabling creators to receive donations from a large number of individuals, thus reducing the financial burden on each donor. Creators set monetary goals and deadlines for their projects, and if the funding goal is not met by the deadline, no money is collected, and supporters are not charged. The platform is known for its diverse range of project categories, including music, technology, food, and design. It also emphasizes accountability, encouraging creators to be transparent about their projects by providing detailed specifications, potential risks, and progress updates. Additionally, many projects offer incentives for supporters who donate above a certain amount, such as rewards like digital or physical copies of a product.

Mindmap

Keywords

💡Kickstarter

Kickstarter is an online crowdfunding platform where creators can post their projects and ideas, seeking financial support from the public. It is central to the video's theme as it is the platform that enables the funding of creative projects. The script mentions that creators post their projects with specifications, risks, and updates, and supporters can pledge money towards these projects.

💡Crowdfunding

Crowdfunding is the practice of funding a project or venture by raising money from a large number of people, typically via the internet. In the context of the video, Kickstarter is described as a crowdfunding platform, emphasizing how it allows creators to receive donations from many individuals simultaneously, thus reducing the financial burden on each donor.

💡Project

A project, in this context, refers to an idea or invention that a creator wants to bring to life. The video script explains that creators post their projects on Kickstarter, detailing the finished product, potential risks, and progress updates. Projects are the core of Kickstarter's offerings and the reason why people pledge money.

💡Monetary Goal

A monetary goal is the specific amount of money that a creator sets as the target for funding their project on Kickstarter. The script mentions that if a project does not meet its monetary goal by the set deadline, the creator receives no money and supporters are not charged for their pledges, highlighting the importance of this goal in the crowdfunding process.

💡Deadline

A deadline is a fixed date or time by which a project on Kickstarter must meet its monetary goal. The video script uses the term to explain the urgency and time sensitivity associated with crowdfunding projects, as creators must achieve their funding targets within a specified timeframe.

💡Supporters

Supporters are individuals who pledge money towards a project on Kickstarter. They are crucial to the success of crowdfunding campaigns, as their financial contributions determine whether a project will be funded or not. The script describes how supporters can donate money and potentially receive rewards in return.

💡Rewards

Rewards are incentives offered by creators to supporters who pledge money above a certain amount. The video script provides an example of a cookbook project, where different levels of donations result in different rewards, such as a desktop wallpaper, a digital copy of the book, or a hard copy of the book. Rewards are a key feature of Kickstarter projects, motivating supporters to contribute.

💡Accountability

Accountability in the context of Kickstarter refers to the responsibility that creators have to their supporters. The script mentions that creators are encouraged to be open about their projects, which can include providing project specs, identifying challenges, and providing progress updates. This transparency is essential for maintaining trust and support.

💡Innovation

Innovation is the process of creating new ideas or improving existing ones. The video script suggests that Kickstarter is a platform for people with creative ideas to bring them to life, implying that innovation is a driving force behind the projects posted on the platform.

💡Techboomers

Techboomers is mentioned in the video script as the source of the information and the provider of a free Kickstarter course. It is a website that offers educational content on technology and popular websites and apps, which is relevant as the video is about understanding Kickstarter.

Highlights

Kickstarter is an online fundraising platform where creators can post their projects and ideas.

It is often referred to as a crowdfunding platform, allowing creators to get donations from a larger number of people at once.

Creators set a monetary goal and a deadline to meet it by, and supporters can pledge money towards the completion of the project.

If the project doesn't meet its funding goal by the set deadline, the creator receives no money and supporters are not charged.

Kickstarter has 15 different project categories including music, technology, food, and design.

Creators are encouraged to be open about their projects, including writing project specs and identifying potential challenges.

Supporters can receive incentives for donations above a certain amount, such as rewards for a cookbook project.

Rewards can include digital or physical items, such as a desktop wallpaper, a digital copy of a book, or a hard copy of a book.

The nature of the internet makes the Kickstarter business model easy to implement.

Creators stay accountable to their supporters by providing progress updates and responding to feedback.

Kickstarter enables people with creative ideas to get the funding they need to bring their ideas to life.

The platform is popular for helping turn ideas into reality with the help of the internet and its global reach.

Supporters can pledge money towards projects they believe in and help bring them to fruition.

Kickstarter provides a platform for creators to share their vision and engage with a community of potential supporters.

The platform's success relies on the trust and engagement between creators and supporters.

Kickstarter offers a unique opportunity for creators to test the market viability of their ideas before full-scale production.

The platform has been instrumental in launching many successful projects and products.

Transcripts

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Takeaways

Q & A