Crowdsourc

1. The Wisdom Of Crowds
CROWDSOURCING FOR PRODUCERS
Blaine Graboyes – April 30, 2012 – The New School

2. The crowdsourcing phenomenon has had many success
stories in the entertainment industry in recent years, from
Yair Landau’s crowd-sourced animation project in 2008, to
the phenomenal rise of Kickstarter for crowd funding.
Now, crowdsourcing is being used by major brands to
make marketing decisions; motivate feature film and
t.v. audiences, and create dedicated distribution channels.
This session will examine different angles of crowdsourcing.

3. How do you make
decisions from crowds?
Metrics!

4. Let’s examine one of the
most powerful metrics...
K-Factor

5. K-Factor = Crowds

6. K-Factor defines the
viral rate of social growth

7. How did CityVille How did Pinterest
reach 70MM players? acquire 20MM new users?
K-Factor
How did Draw Something
grab 35MM players?
How did Instagram
inspire 1B photos?

8. K-Factor ...is also known as the viral coefficient and
is borrowed from epidemiology where it
describes the spread of actual viruses
Image From: Spreading Patterns of Mobile Phone Viruses

9. K-Factor is the product of distribution and infection
"Distribution" measures how many
people, on average, a host will make
contact with while still infectious
K-Factor = Distribution x Infection
"Infection" measures how likely a
person is, on average, to also become
infected after contact with a viral host
Excerpt From: Wikipedia

10. K-Factor is a product of the rates of distribution and infection for an app (or virus)
K-Factor Rules Of Thumb
"Distribution" measures how many
people, on average, a host will make
contact with while still infectious
If K-Factor is....
< 1 than your in decline and needx Infection
K-Factor = Distribution to make improvements
= 1
than
your in a ‘steady state’ with no growth
> 1 than you are experiencing some degree of viral growtha
"Infection" measures how likely
≥ 1.5 than
you are minting your own gold coins to) also become
person is, on average, :
infected after contact with a viral host

11. Example Of
Dramatic Growth
via K-Factor
CityVille Growth
In One Month!
Data From: Silicon Alley Insider

12. Example Of
Distribution Activity
40-60% Of Pinners
Are Active Hosts!
Data From: RJ Metrics

13. Example Of
Dramatic Growth
via K-Factor
Draw Something
In One Month!
Data From: AppData.com

14. Example Of
Dramatic Growth
via K-Factor
Instagram
vs. Facebook & Flickr
Data From: mattryall.net

15. If you are not currently
tracking these metrics
STOP EVERYTHING
and implement a basic
metrics program today!
Sketch From: VisionHelp

16. Fundraising Donation Donors Donors
$59,000,000 ÷ $10 = 5,900,000 5,900,000
÷
Participants Actions Contacts Contacts
450,000 x 10 = 4,500,000 4,500,000
=
K-Factor = Distribution x Infection 1.3

17. Fundraising Donation Donors Donors
$59,000,000 ÷ $10 = 5,900,000 5,900,000
÷
Participants Actions Contacts Contacts
450,000 x 10 = 4,500,000 4,500,000
=
Each Distribution Resulted In 1.3 Infections
K-Factor = Distribution x Infection 1.3
K-Factor = 1 x 1.3
K-Factor = 1.3
Example From: Movember.com

18. “If you don’t have any facts,
we’ll just use my opinion.”
– Jim Barksdale (former president and CEO of Netscape)
Excerpt From: Data Driven Decisions For Startups

19. blaineglobal
For Tips On Improving K-Factor Download:
blaineglobal.com/metrics.pdf