The pros of crowdsourcing is that with a targeted audience, you have a group of potential buyers for your product too. A group of people who are gathered because of a product are more likely to buy it. This is also because they put in some effort or ideas too. This is one of the biggest advantages for a company. Essentially, they can build something created by the customer.
The company could then take out whichever idea they like to make their product. Phonebloks is a good example of their use of crowdsourcing. A group of people who are interested in this concept put in their ideas which is coming to life. The concept of Phonebloks is that they are smartphones which have different components like an audio output, microphone, flash, camera, etc. The only difference is, these things can be arranged behind the phone in which ever way is more comfortable to the user, like Lego blocks.
These ideas are now coming to life because of their use of crowdfunding too. They gather money from those who are interested, and those who’s ideas it was in the first place. Those who are interested are probably grouped together because of crowdsourcing. This could be due to blogs or any website in general which shows new potential products for the future. Their products will also spread to people who weren’t interested before. Or those who had no idea such a thing could ever exist such as myself. I had no idea this existed but once I found out about it, I realized that it was all created by people who are interested in designing such an amazing thing. I now also became a potential buyer.
Because of this, there is no crowdfunding without crowdsourcing. Both go hand in hand.
There are of course cons in crowdsourcing. I would think the hardest thing is to find the right people who are interested in these products. Especially products which might not relate to anything at all since they are all new to this century/generation. However, for products which are relatively famous, this is not really a problem. Almost everything that exists has some sort of facebook group or website dedicated to those things. There is also the possibility of “junk” ideas which is hard to filter out in a large group. For better ideas to come together, the crowdsourced group should be a lot smaller and a lot more dedicated with their ideas and opinions.
In general, crowdsourcing is a good thing. The ideas you can get from other people is always good. Companies can really benefit from such a low budget thing. If they are willing to pay to find a source, such as in the form of advertisement, then they can do that too. But with the internet, crowdsourcing is really doable since people there are a lot of people out there who most likely share the same interests.