CrowdSPRING Analysis

We're the marketplace for creative services.


Crowdspring is a privately held online marketplace for buyers and sellers of creative services, including graphic design, website design, print design, illustration, product design, and other types of design. CrowdSPRING was co-founded in May 2007 by Ross Kimbarovsky and Michael Samson. They launched its online marketplace publicly in May 2008, the company it is based in Chicago.
More than 40,000 graphic designers from over 170 countries work on crowdSPRING, helping thousands of small and medium size businesses from around the world with logos, websites, marketing materials, and other graphic design services.
Unlike traditional marketplaces, where buyers select from among bids and proposals, crowdSPRING uses an innovative business model - buyers choose from actual designs, from multiple designers, to the buyer's specification.

Problem Solved for Owners:
-They handle full project management, file transfer, payment, legal contracts, and communication.

Problem solved for Designers/Creatives:
-Designers can create profiles and create portfolios on the site.
-CrowdSPRING marketplace offers feedback,statistics,ratings,community forums
-Possibility to be better known
-Develop talented people and encourge them to get in touch with potential clients
-Large pannel of creative activities: graphic design, web design, photography and industrial design.

Problem solved for companies/clients:
-Set their price & deadline: saving time & money, affordable for small & developing companies.
-Launch project on their terms.
-Money back guarantee
25 entries or a full refund,including CrowdSPRING fee.
-44,000+ creatives
Virtual design team in over 150 countries.
-Buyers average more than 80 designs per project
-Small & medium size companies can outsource their creative department (less internal costs)
-CrowdSPRING services & assistance 7 days a week.
-Large pannel of creative activities: graphic design, web design, photography and industrial design.
-Designers compete by posting their work, for free and buyers can offer instant feedback.
-Free contract
Customers will have full ownership of final design.


A particular business model:

crowdSPRING was started to help people from around the world access creative talent, and to help creatives from across the globe find new customers.
-Revenue souces:
Fees of 15%

-The Model is unique to the web & Business Model used are:

Community (important in this model: both clients & creative's have a high investment)

Brokerage (bringing buyers & sellers together to facilitate transaction)

Manufacturer (allowing designers to reach buyers directly


-This model could be enhanced developing revenue maximization, creating partnership (affiliation business model) with recognized advertising companies, designer's schools for example. As well as subscribing to freemium services.

-Application to other industry:
It would be interesting to observe the development of a community marketplace model in another creative activity as fashion industry. Where stylist and designers professional or not from all over the world could offer their creative ideas in clothes, shoes & accessories to all size of fashion brands. Creating prizes and fashion show awards.






Similar application of the model (hiring/recruiting expert in this cases):
http://www.guru.com/
http://www.elance.com/

Interesting Links

-Creativity of crowds:

http://www.forbes.com/forbes/2009/0216/062.html

-Criticism/ Debates on this subject:

CrowdSRING & Competitors are democratizing the industry or is it harmful for the profession of designers? Equal opportunity & access to clients. Internet gives people all over the world the opportunity to access market & clients: professional designers are being devaluated by all this web marketplace industry?

http://37signals.com/svn/posts/1253-the-nospec-campaign-vs-crowdspring

http://www.youtube.com/watch?v=YQu0292dftA