Demystifying crowdsourcing
The ability to tap into a large global pool of talent is a crowdsourcing drawcard, but there are risks mid sized businesses must be aware of. Cassidy Poon explains how to navigate this popular new world.
Crowdsourcing is “on fire” in Australia but First 5000 members must use it with caution.
While there are positives, it is important to keep in mind the downfalls of the growing crowdsourcing practice. Those negatives include talent only being paid for the winning ideas, which undervalues freelancers.
1. Does it hurt the designer who can’t get work because mid sized companies are using crowdsourcing websites to get their sites and logos made?
2. Does it hurt participants of crowd sourced projects? Or does it hurt the companies or businesses that use a crowdsourcing model?
The short answer is that it hurts everyone. Without the traditional client and designer interaction I believe a project is “just a jumbled, one-sided affair”. While good things can be produced from just the client’s brief, truly great things come from reciprocal relationships between a client and designer.
Crowdsourcing could be of benefit to low-income workers in developing countries as the only criteria for employment is the ability to complete the task at hand. In addition, the working hours are completely flexible, allowing workers to earn money whenever they have extra time.
As they are unlikely to have a computer at home they need to establish an alternative way to perform the work online. Some crowdworking platforms have taken these issues to heart already. Many are starting to set minimum wages for its workers tied to the cost of living in the country they are working in. Each worker is assigned to a manager who watches their work and pushes suitable tasks their way, and there are opportunities to ascend the corporate ladder.
Is Crowdsourcing the Future of Advertising for mid sized businesses?
Maybe. Right now it’s too early to tell. There are many upsides, and many downsides. But as the downs fall on the shoulders of the creative talent, and the industry thrives on creativity, it’s likely that crowdsourcing will probably remain a very small part of the advertising industry.
What are the positives of crowdsourcing?
Take an example of the recent Boston bombings, thousands of people played armchair detective as police searched for the suspects in the deadly bombing at the Boston Marathon, showing the pitfalls and benefits of new crowdsourcing technology. The bombings have been the highest-profile case in which the public has joined an active investigation, using ever-evolving crowdsourcing tools, showing the pitfalls and benefits of new technology. It’s certainly not vigilantism, but it’s not standard policing, either. It’s something in the middle, perhaps something new — the law-enforcement equivalent of citizen journalism.
Negatives for the ‘freelance’ worker for your mid sized business?
There are designers out there are great, but they don’t know it. They undervalue their work. They enter these contests as a way to make money without charging the rates that they deserve. Does it hurt the designer who can’t get work because companies are using crowdsourcing websites to get their sites and logos made? Does it hurt the participants of crowd sourced projects? Or does it hurt the companies/businesses that use a crowdsourcing model? The short answer is that it hurts everyone. Without the normal client/designer interaction, a project is just a jumbled, one-sided affair. While good things can be produced from just the client’s brief, truly great things come from the reciprocal relationship between a client and designer.
Possible negatives for the mid sized business ‘employer’?
From an intellectual property perspective, tapping into the intelligence of a crowd potentially can provide a vast, yet inexpensive, resource and mechanism for acquiring new ideas, solutions, or content. But crowdsourcing also presents risks, of which your client should be aware. No verification that submissions are non-infringing result in costs/burden associated with clearing infringement risk may be too high. Potential increase in
(a) contractual obligations
(b) insurance coverage issues, and
(c) liability and damages exposure
Cassidy spoke to marketing magazine B&T on crowdsourcing and this article appears with permission from the publication. Cassidy Poon is the National Marketing Manager for LogicalTech Group. He is an experienced marketing communications professional with more than 10 years’ experience predominantly in B2B marcomms with significant B2C exposure. His strengths lie in his ability to see the big picture, identify gaps and construct solutions. He is leading a key technology portfolio across Oracle, Microsoft and Enterprise Mobility Product Solutions. Cassidy also plans and executes all marketing activities through direct and partner channel markets along with LogicalTech’s global solutions providers. He also has vast experience in digital, online and social marketing, budgeting, product development, advertising, tradeshows, sponsorships and PR.
