Indiegogo

RR
Ryan Rutan

Indiegogo

Indiegogo is a reward and flexible-funding crowdfunding platform launched in January 2008, predating Kickstarter by over a year. It is distinct from Kickstarter by offering both fixed-goal campaigns (all-or-nothing, similar to Kickstarter) and flexible-funding campaigns (where creators keep what they raise even if the goal isn't met), with significantly stronger international reach and a broader category mix that includes social causes and non-product projects Kickstarter rejects. Indiegogo has facilitated billions of dollars in funding across millions of campaigns since launch, though it lags Kickstarter in total funded volume and brand recognition for major product launches.

The structural distinctions from Kickstarter:

  • Flexible funding option: campaigns can collect pledged funds even if the funding goal isn't met (with higher platform fees typically applied to flexible-funding campaigns). This appeals to creators who want to take whatever they raise rather than all-or-nothing.
  • Broader category acceptance: Indiegogo accepts charitable causes, personal cause campaigns, and other categories Kickstarter explicitly rejects. Some categories Kickstarter doesn't allow (politically charged campaigns, health treatments, etc.) often appear on Indiegogo.
  • Stronger international reach: Indiegogo accepts campaigns from more countries and has historically been more accessible to creators outside the US.
  • InDemand: Indiegogo's post-campaign sales mechanism. After a successful campaign, creators can continue selling their product on Indiegogo as e-commerce, extending the campaign-style sales model beyond the formal 30-day window.

The fees: Indiegogo charges 5% platform fee on fixed-funding campaigns (similar to Kickstarter) and higher fees on flexible-funding campaigns. Payment processing adds another 3-5%. Famous Indiegogo campaigns: Flow Hive ($13M in 2015, beehive innovation), Anonabox (initial $585K raise then controversies, eventually delisted), Solar Roadways (~$2M in 2014 with subsequent controversy). The platform has hosted both major successes and notable failures with disputed delivery. The 2020s reality: Indiegogo has maintained relevance as a Kickstarter alternative but hasn't surpassed Kickstarter in major product launches. The flexible-funding model and international reach remain its primary differentiators.

Ryan's Take

Indiegogo occupies a useful position as the Kickstarter alternative when the all-or-nothing model doesn't fit. The flexible-funding option is a real difference: a creator raising $50K toward a $100K goal can keep the $50K on Indiegogo, where Kickstarter would return all of it. That flexibility cuts both ways: campaigns that fall short can deliver less than promised and still take customer money, which the Kickstarter model specifically prevents. For products with strong fixed costs that need full funding to execute, Kickstarter's all-or-nothing model is the right structure. For projects with scalable funding requirements, Indiegogo's flexibility can be the better fit.

What founders get wrong: Choosing Indiegogo's flexible funding when their product actually needs full funding to deliver. Taking $30K toward a $100K hardware project usually means delivering a worse product than the campaign promised, which destroys backer trust and the creator's reputation. Use flexible funding when your delivery is genuinely scalable, not when you just want to take partial funding.

Related: Kickstarter · Reward-Based Crowdfunding · Types of Crowdfunding

FAQ

What is Indiegogo?
A reward and flexible-funding crowdfunding platform launched in January 2008. Distinct from Kickstarter by offering both fixed-goal campaigns (all-or-nothing) and flexible-funding campaigns (creators keep what they raise even if the goal isn't met), with stronger international reach and broader category acceptance.

What's the difference between Indiegogo and Kickstarter?
Indiegogo offers flexible-funding option (Kickstarter is fixed-goal only), accepts broader categories including charitable causes and personal cause campaigns, and has stronger international reach. Kickstarter has higher brand recognition for major product launches and stricter project requirements. Both charge ~5% platform fees plus payment processing.

What is Indiegogo InDemand?
A post-campaign sales mechanism. After a successful campaign on Indiegogo, creators can continue selling their product on Indiegogo as e-commerce, extending the campaign-style sales model beyond the formal 30-day campaign window. Useful for creators who want to capture demand from late-arriving customers.

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