“If you build it, they will come.” Sounds poetic—until you’ve built a two-sided marketplace and realized they don’t. Nettfunder, a Crowdfunding portal we helped develop, was a real-world lesson in what it takes to manage an MVP and a marketplace startup.
Why Two-Sided Marketplaces Look Easy (But Aren’t)
Platforms like Kickstarter, eBay, and Airbnb have made it look simple: connect two groups of users and let the magic happen. But the reality is harder. Without active participation from both Creators and Backers, there’s no traction. Nettfunder aimed to solve this with two innovations:
- A Funnel Web showcasing and peer-reviewing early-stage ideas before launching
- A Network Funding Program that rewarded Backers who promoted campaigns, helping campaigns get discovered
The MVP Path: Fast, Focused, and Flawed
Our goal was to launch quickly and test the idea in the market. We built Nettfunder on WordPress to take advantage of available plugins and reduce development time. AWS micro-servers gave us low-cost, scalable hosting. We built custom plugins for features like:
- Campaign promotion rewards
- Site analytics
- Popularity tracking
- Admin controls
But even WordPress had its limits. Plugin conflicts caused site crashes. We had over 100 bugs to work through. Our process? Prioritize critical bugs, run regression tests, and accept a level of “tech debt”—all part of MVP reality.
Lessons from the Build
One tough experience came from hiring a contractor tied to an early investor. We paid upfront without seeing deliverables—a mistake. Despite repeated requests, the promised work never came through. The takeaway? Never sign off without a working demo.
Eventually, we completed the portal, held a launch party at Darling Harbour in Sydney, and introduced our first campaign—a new eBike concept. We had our platform, a campaign, and early users.
So Why Didn’t It Work?
The platform worked. The concept made sense. But traction never came. Why?
- Overcrowded Market: By 2013, dozens of crowdfunding sites were launching, even colleges had their own. Being “better” didn’t matter without visibility.
- Lack of Niche: Kickstarter grew by focusing on artists. Airbnb leveraged Craigslist. Nettfunder lacked that narrow starting point.
- No Real Community: A two-sided platform is only as strong as its community. Nettfunder didn’t find its tribe.
What We’d Do Differently
- Start with a niche: one creator type, one backer base.
- Build real engagement before scaling.
- Test MVP features with actual users and iterate.
- Align tech partners with accountability.
Final Thoughts
The Nettfunder project is still live. The tech worked. But the traction didn’t. And that’s the ultimate lesson: MVPs are not just about what you build. They’re about what you validate. Without users, feedback, and momentum, features mean little.
For Program Managers, the takeaway is clear: MVPs should be simple, testable, and targeted. Focus not just on shipping—but on learning. Because in startups, traction beats perfection.
