Indiegogo

Indiegogo
source
Name	Indiegogo
Type	Private
Founded	2008
Founder	Danae Ringelmann, Slava Rubin, Eric Schell
Location	San Francisco, California

Indiegogo is a prominent crowdfunding platform that enables individuals and organizations to raise funds for various projects and ventures, often with the support of Facebook, Twitter, and other social media platforms. Founded by Danae Ringelmann, Slava Rubin, and Eric Schell in 2008, Indiegogo has become a leading platform for entrepreneurs, artists, and inventors to showcase their ideas and secure funding from a global community of backers, including those from New York City, Los Angeles, and Silicon Valley. With its headquarters in San Francisco, Indiegogo has facilitated numerous successful campaigns, including those for Pebble Watch, Form 1, and Ouya, which have gone on to gain recognition from CES, SXSW, and other prominent tech conferences. Indiegogo's success has also been recognized by Forbes, Fast Company, and Inc. magazine, which have featured the company in their lists of top startups and innovators.

Introduction

Indiegogo is often compared to other crowdfunding platforms, such as Kickstarter, GoFundMe, and Patreon, which have also gained popularity in recent years, particularly among creatives and small business owners in Brooklyn, Austin, and Portland. However, Indiegogo's flexible funding models and open platform have made it a preferred choice for many project creators, including those from MIT, Stanford University, and University of California, Berkeley. Indiegogo's community of backers includes individuals from Google, Apple, and Microsoft, as well as influencers and thought leaders from TED, World Economic Forum, and South by Southwest. With its global reach and diverse community, Indiegogo has become a hub for innovation and entrepreneurship, with many successful campaigns going on to receive funding from venture capital firms like Andreessen Horowitz, Sequoia Capital, and Accel Partners.

History

Indiegogo was founded in 2008 by Danae Ringelmann, Slava Rubin, and Eric Schell, who met while attending University of California, Berkeley and later worked together at J.P. Morgan and Goldman Sachs. The company's early success was fueled by its participation in Y Combinator, a prestigious accelerator program founded by Paul Graham, which also backed Airbnb, Dropbox, and Reddit. Indiegogo's growth was further accelerated by its partnerships with PayPal, Amazon, and Facebook, which enabled seamless payment processing and social sharing for campaign creators, including those from Harvard University, Massachusetts Institute of Technology, and Columbia University. In 2012, Indiegogo raised Series A funding from Kleiner Perkins Caufield & Byers, Insight Venture Partners, and MHS Capital, which helped the company expand its team and develop new features, including those for mobile devices and virtual reality.

Functionality

Indiegogo's platform allows users to create and manage their own campaigns, setting funding goals, deadlines, and rewards for backers, similar to Kickstarter and GoFundMe. Campaign creators can share their projects on social media platforms like Twitter, Facebook, and Instagram, and engage with their backers through comments and updates, using Slack and Trello for team collaboration. Indiegogo's flexible funding models include fixed funding and flexible funding, which allow campaign creators to choose between all-or-nothing funding and partial funding, respectively, similar to Patreon and Substack. The platform also offers a range of tools and services, including campaign analytics, marketing support, and fulfillment services, which are also used by e-commerce platforms like Shopify and Etsy.

Notable_Campaigns

Indiegogo has hosted numerous successful campaigns, including those for Pebble Watch, Form 1, and Ouya, which have raised millions of dollars in funding from backers around the world, including those from China, Japan, and South Korea. Other notable campaigns include Exploding Kittens, a card game that raised over $8 million in funding, and Flow Hive, a beekeeping system that raised over $12 million in funding, both of which were featured in The New York Times, Forbes, and Wired. Indiegogo has also been used by non-profit organizations, such as Charity: Water and DonorsChoose.org, to raise funds for social causes and charitable projects, including those supported by Bill Gates, Mark Zuckerberg, and Richard Branson.

Business_Model

Indiegogo's business model is based on a transaction fee of 4% to 9% of the total funds raised, depending on the type of campaign and the payment method used, similar to PayPal and Stripe. The company also offers a range of additional services, including campaign promotion and fulfillment services, which are designed to help campaign creators succeed and build a loyal community of backers, including those from Amazon, eBay, and Alibaba. Indiegogo has also partnered with venture capital firms like Andreessen Horowitz and Sequoia Capital to provide additional funding and support to successful campaigns, including those in the artificial intelligence, blockchain, and cybersecurity spaces.

Controversies

Indiegogo has faced controversy and criticism over the years, including concerns about fraud and scams on the platform, similar to those faced by Kickstarter and GoFundMe. In 2015, the company faced a class-action lawsuit alleging that it had failed to adequately protect backers from fraudulent campaigns, which was later settled out of court, with the company agreeing to implement new measures to prevent fraud and abuse. Indiegogo has also faced criticism for its handling of campaign failures and refund requests, with some backers expressing frustration with the company's customer support and dispute resolution processes, which have been compared to those of Amazon and eBay. Despite these challenges, Indiegogo remains a popular and influential platform for crowdfunding and innovation, with a strong community of backers and campaign creators, including those from Google, Facebook, and Microsoft. Category:Crowdfunding platforms