Kickstarting Your Business with Crowdsourcing

What Is Crowdsourcing? Crowdsourcing is the practice of obtaining needed services, ideas, or content by soliciting contributions from a large group of people — especially from an online community — rather than from traditional employees or suppliers. The term was first coined in a 2006 *Wired Magazine* article and has since grown into a cornerstone strategy for innovative businesses worldwide. At its core, crowdsourcing represents **the act of a company or institution taking a function once performed by employees and outsourcing it to an undefined, generally large network of people in the form of an open call.** This can take the form of peer-production (when the job is performed collaboratively) or work completed by sole individuals. A Brief History Although the term is relatively modern, the concept itself is not new: In the **18th century**, France used crowdsourcing to create an encyclopedia. British and American versions followed over the next several centuries. In **1916**, Planters Peanuts held a contest to choose a new logo. A 14-year-old boy won, and his design still appears on Planters products today. **Procter & Gamble's** crowdsourcing efforts resulted in several flagship products, including the Swiffer®. **Pebble**, one of the first widely available smartwatches, was financed entirely through crowdfunding. Key Crowdsourcing Terms Familiarizing yourself with crowdsourcing vocabulary will help you navigate campaigns with confidence: **Crowdsourcer:** Someone