Crowdsourcing for Developing a New Product

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New Product Development – Crowdsourcing refers to the tactics used by an organization to expand upon the initial idea by taking the help of a wise and experienced group of people or in simple terms a crowd.

New Product Development – Crowdsourcing is highly used when a team has a general idea about the direction it wants to take.

Example –

1. Uber
2. Airbnb

Crowdsourcing - Benefits

1. Crowdsourcing offers simple scaling solutions for the workforce and boosts scalability.

2. Reach out to people that have relevant skill sets so that they can fill the knowledge gaps.

3. Accomplish tasks at a faster pace and this facilitates completing projects within the deadline.

4. Minimizes operational costs associated with a project.

5. Boosts consumer engagement.

6. Creates user-generated content that improves brand loyalty.

7. Provides a fresh perspective.

Crowdsourcing - Example

1. Waze

Waze takes the help of crowdsourcing and leveraging the user’s actions on its app.

2. McDonald’s Burger Builder

McDonald’s gave their customers free rein to submit ideas of a perfect burger. Crowdsourcing helped the company in getting to know about some great ideas and it continued to release a burger weekly with a short bio of the creator.

3. Lego

Lego has a website where users can submit innovative ideas and if approved are eligible for 1% of the royalties. Crowdsourcing has helped in improving customer engagement and knowing a good number of product ideas.

4. Lays

Lays invited consumers to come up with a new flavour in their campaign “Do Us a Flavor”. The winning flavour increased 8% sales immediately and the winner was awarded 1 million dollars.

5. Airbnb

Airbnb uses crowdsourcing to collect videos of extensive locations that travellers must visit.

6. Apple’s “Shot on iPhone”

Apple encouraged regular people to take a picture shot with their Apple iPhone as part of Apple’s “Shot on iPhone” as part of their promotional campaign.


This video is on Crowdsourcing for New Product Development and it has the following sub-topics.

Time Stamps

0:00 Introduction to Crowdsourcing for Developing a New Product
01:05 Crowdsourcing Benefits
02:48 Crowdsourcing Example
02:51 Waze
03:45 McDonald’s Burger Builder
04:10 Lago
04:37 Lays
05:03 Airbnb
05:48 Apple’s “Shot on iPhone”