Can Crowdsourcing save Small Businesses?

It is never easy to set up and run a small business. Raising the capital for a small business can pose a major problem for potential entrepreneurs. There are many small enterprises that close down after being set up, due to a shortage of funds, and this is where crowdsourcing comes in to save the day.

Quick and time-saving

Crowdsourcing makes the fundraising process much easier and quicker, and it helps to save marketing funds that would be needed to make a pitch, in order to get a favorable response from investors. It is a cost-effective way to get strangers interested in your small business.

Maximizing resources

Crowdsourcing helps to maximize existing resources. Often, small businesses lack the luxury of trying out various services and products and not worrying about an immediate return on investment. At times, even a failed test run can hit the profitability of small businesses. Hearing directly from customers can help small businesses determine what is important for them. Small business owners can save money on focus groups that can be expensive, and make maximum use of your resources.

Customer Engagement

Customer engagement is another important benefit that small businesses can derive from Crowdsourcing. Crowdsourcing helps customers know that you take their opinion seriously, and helps in gathering important information and improve customer loyalty. Small businesses use their own customer base to ask about the type of services or products that customers do not have at present. The answers to the queries can help in saving time that would otherwise be used in developing products not suitable to the target market

Getting brand ambassadors

If you are able to use an innovative crowdsourcing campaign and make participants enthusiastic, they can become brand ambassadors for your business quickly. For instance, you can offer some of your products to participants for product testing. When the product testers use them, they can be brand ambassadors for your items. You can get free marketing for what you have to offer.

Over time here at CrowdForce, we have seen the many benefits that crowdsourcing can bring to businesses. Our financial service platform for instance, provides business with an increased range of “brand ambassadors” that make their products readily available in any location our agents are found. The ideology of crowdsourcing is set to open up a whole new horizon for small businesses and CrowdForce is here to help you navigate and scale.