Misfit Shine appeared poised for success on crowdfunding platforms, aiming to tap into the booming fitness tracker market with its compact, machined-aluminum device that syncs with iPhones. The team had spent a year developing the product and had a functioning prototype ready for launch.
However, eight days after submitting their application, the team found themselves without a campaign to promote. Disheartened by the lack of communication from the platform, despite having their campaign page ready, they began considering other options.
“We decided to switch to Indiegogo,” explained Sonny Vu, co-founder and CEO of Misfit Wearables. “Then, the very next morning, we received a rejection notice stating that they could not accept any health and fitness products.”
Misfit’s journey highlights the challenges facing startups in today’s crowdfunding landscape, particularly as platforms tighten their criteria. Following a series of delayed and questionable projects that raised concerns, the crowdfunding platform amended its regulations, specifically regarding technology and design submissions. Consequently, many rejected entrepreneurs have turned to alternatives like Indiegogo or have even developed their own crowdfunding solutions.
Under the updated platform guidelines, projects in technology and design must disclose their risks and challenges and cannot feature photorealistic images of non-existent products.
Vu remarked on the cautious nature of platforms in the current environment, suggesting that the heightened scrutiny may have unfairly impacted his team. Despite Misfit Wearables having a wealth of experience—including backing from former Apple CEO John Sculley—the product was deemed unsuitable. Nonetheless, Vu believes Indiegogo proved to be a more compatible environment, noting the platform’s customer support and the broader range of payment options available for backers.
Misfit Shine quickly surpassed its fundraising goal, hitting $100,000 in just nine and a half hours, ultimately raising nearly $480,000 with 15 days left in the campaign, becoming one of the most successful projects on Indiegogo.
“There are many projects that come through our platform,” commented Indiegogo co-founder and CEO Slava Rubin. “However, it’s evident that some individuals grow frustrated with our competitors.”
While no crowdfunding project can be regarded a complete success until it reaches backers, Misfit Shine remains in the funding phase. Indiegogo has previously welcomed successful endeavors that had been rejected elsewhere, such as Bugasalt, a unique device that uses a pinch of salt to eliminate insects mid-air.
However, not every tech project finds the same success on Indiegogo as others have. Lumawake, for instance, presented itself as another strong candidate for crowdfunding. Like Misfit Shine, the founders possessed industry experience, a desirable product, and a working prototype—an iPhone dock designed to monitor sleep and sync with household devices—but ultimately faced rejection on their initial platform.