Crowd-sourcing  Case Solution & Answer

Crowd-sourcing  Case Solution

Examples of business using crowd-sourcing

In order to understand the significance and effectiveness of crowd-sourcing, let’s consider the case of companies using the distinctive crowd-sourcing methods, which are:(Senn, 2006)


Thread-less is a focused web-based attire store sent off in 2000 by “Jake Nickell and Jacob DeHart”, with $1,000 in seed cash with the idea of entering into the web-based shirt configuration challenge. They started to begin with the rivalry plan of their own, but rather than recruiting a person; they asked the creators to pick the champ themselves.

“Source: Thread-less:”

How the company perform?

Individuals from the Thread-less group present their shirt plans on the web, the plans are then put to a vote part. The defeater would vail a free Tees comprises of unique designs, whereas everyone would buy the shirt. But now, the thread-less receives thousands of designs per week,out of which, just ten plans are casted which have most unique and attractive designs to print and sell through an internet based store. The company also increases the quantity of incentives and gifts for the winner.

How successful was Thread-less?

According to Jeffrey, the chief officer of the company, the company boosts incredible success and profits. It seems that eachproduct that sells between $15 and $25 can be produced very feasibly at the cost of $5. Moreover the company doesn’t need any extra advertising technique to market its products because the designers will push their friends or circles to vote for their products. This shows that crowd sourcing strategy helps Thread-less to grow and gain higher profits than average.

Amazon Mechanical Turk

Starting at 2010, Mechanical Turk has become a publicly supporting web center for different workplace where organizations distribute assignments or tasks and ask laborers to complete them in a desired payment sent in by the requestors. “MTurk” gives organizations prompt admittance to a different, worldwide, on-request, versatile labor force and provides Workers with a choice of thousands of assignments to finish with its continence.

“Source: Amazon Mechanical Turk:

How the company works?

In this process, firstly the companies will post ads and jobs at “MTurk” and deposit the amount in their account. Once the ads are published; the worker or members of Turk will look out for their desired task and opt for it. Once the task assignment is completed; the members perform their task and submit it to the same web, which results in direct execution of money in the member’s account along with the annual bonuses and surprise gifts.

How successful was “MTurk”?

Since the company’s establishment, its number of workers has significantly grown. The company has faced several criticism due to its low cost labor and incentives. However, after all of these reasons; the company is still attracting numerous workers, particularly those living in different economies, in light of the fact that the effect of acquiring those couple of additional dollars will be amplified many times over.

Crowd-sourcing as a powerful E-Commerce methodology

By looking into different features and cases of crowd-sourcing in different companies; it is perceived that crowd-sourcing can possibly boost E-commerce business organizations.However, like all business systems; it doesn’t completely ensure a positive outcome. Nevertheless, it can be an effective strategy which helps the companies in numerous ways, such as:

  • Helps in understanding the market desires by predicting the crowd.
  • Helps the business in drawing information and innovating according to the market desires.
  • Helps in solving the company’s internal problem.
  • Helps in tackling external issues, such as: marketing.
  • Cost effective.


Many ecommerce companies are using crowd-sourcing to expand their offerings and improve their performance. Some are using it as a competitive advantage, while others are simply supplementing their existing teams.First, it is important to understand the crowd. Companies that rely on crowd-sourcing typically target a particular community defined by a common interest, such as: fashion or technology. To make the most out of crowd-sourcing; you must understand the strengths and weaknesses of that community. For example, if your company’s website is focused on fashion and clothing, you might not get quality submissions, so you’d need to hire an accounting firm or external development company.

Moreover, crowd-sourcing is best applied when businesses seek out consumers themselves. While traditional marketing methods tend to hold the consumers’ attention for shorter period of time, businesses that seek out consumers, gain valuable attention. Many significant companies are already experimenting with crowd-sourcing as a way to create innovative new products, improve current offerings and collect valuable consumer data. (Gupta, 2014)…………………….

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