What Is Crowdsourcing?

“Mass collaboration is the future of competitive advantage in business.”

  – Nick Wright, Crowdicity

What Is Crowdsourcing?crowdsourcing

Crowdsourcing can be defined as the method of obtaining needed services, ideas, or content by soliciting contributions from a large group of people specifically belonging to the online community rather than approaching an employee or a specialist. Crowdsourcing is also conventionally called Customer Co-Creation where businesses co-create with their customers.

Everyone must be familiar with the famous international Quiz Game “Who wants to be a Millionaire”.

Recall few instances when the player on the Hot seat finds him /her stuck at one question where he has lifelines to choose from, for help. If we leave alone flip the question we are left with,

1- Phone a Friend 2- Audience Poll

Which one to you is more reliable? Obviously, the answer is an audience poll and the reason behind that is the combined intellect of a group of people working together for a common goal. As per research, it has been found out that a public opinion from a defined audience is more than 90% reliable. This is the idea behind crowdsourcing.

In the present marketing scenario, brands are more focused on letting their potential audience participate in their business decision-making process. The data collected in form of surveys, reviews, reactions, etc are processed by companies (SOCIAL MEDIA MANAGERS) to make informed decisions.

The most common trend followed by different brands is asking their social media followers to suggest innovation or changes in the line of products or services offered by the brand. Some also ask their customers to post online content related to the use or experience of the product or services that the brand has to offer.

Let us start by taking up few case studies diving back in time:


2020 / 2021″

Pepsi’s Fritolay took crowdsourcing to a new level by running a campaign called “Do us a Flavour” where it promised a person $1 Million who submits a new flavor for their potato chips. Similarly, PEPSICO has been running similar crowdsource campaigns all around the year to create a constant touch with its customers and to know about their expectations of the Brand.


Lay’s launched four consumers co-created flavors. The results for the “Give Us Your Delicious Flavour” that was launched in October 2009 by Frito Lay’s had an amazing response. Four flavors have been shortlisted from around 1.3 million entries from consumers. Each of the entries that got shortlisted gets Rs 5 lakh, for their ideas. Following a three-month-long campaign, the flavors shortlisted are Cheesy Mexicana, Tangy Twist, Mastana Mango, and Hip Hop Honey & Chilly.

Not only these but crowdsourcing is being used by almost all sectors now. IT sector related to software development uses it for testing their software for errors. Governments use crowdsourcing to understand their audience by tapping into their ability to see connections understand issues and coordinate actions. Note that if you ever reviewed anything on google whether it be a restaurant or any other local business then you are a part of the business’s crowdsource team as you are giving valuable information regarding services offered by the brand using google crowdsource platform.

The process of crowdsourcing is of both active and passive nature. Sometimes the brand demands active participation from its audience by running tailored campaigns or else make use of passive platforms to constantly collect data and analyze (ANALYTICS TEAM)so that it may be used as a resource for its future campaigns.

The Sharing Economy

CrowdSourcing is conventionally also called the consumer Co-Creation where businesses create products or services with their community. This Co-Creation model led to the formation of an entirely new business model called the Sharing Economy Model. A sharing economy business is defined as a technology-enabled platform that enables its users to resources that may be crowdsourced. Let us understand with a few examples;


An online platform that enables a user to rent an automobile, driven by someone who is an owner in collaboration with UBER, to reach his / her destination. The resources that a sharing economy provides are usually owned by external individuals and provided via online digital platforms.

RTR (Rent The Runway)

Is an Apparel business that does not sell clothes. It rather Owns a huge collection of clothing that is available to consumers on a rental basis. In this case, the resource which is clothing is owned by this sharing economy business.

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