Mike Dolan is the co-founder of Igobono, a fun and safe way to trade and donate objects and services. In this interview, Mike tells us his vision for Igobono and his goal to empower individuals and organizations to be economically in control. Taylor Kuhn interviewed Mike to find out more about he and his co-founder Max Volskys’ new platform.
1. What is Igobono and how is it different from other barter and exchange models?
Igobono is an online social marketplace where members can buy, sell, and donate goods and services, using a social currency called “bonos” instead of money. Additionally, it allows members to identify those in need and connect with them through donations or volunteering. It’s a social economy that members create on their own terms, and is unaffected by lack of money or economic downturns.
Strategically, we decided to launch a social marketplace, which is inherently more efficient than a barter exchange, because what one considers valuable may be less worthy to someone else. We also steered clear from auction models because we wanted our users to be able to instantly buy or sell directly with one another, fostering a simpler, retailer-like experience.
Igobono is truly built on a free-market model where people can value their items at any price and trade with whomever they wish. Harnessing and leveraging technology, we created the platform that empowers consumers to manage these transactions themselves. We firmly believe that people have been seeking ways to take control of their own economic decisions, as well as be part of a community that values helping others and rewards good deeds. Those were the two driving forces behind creating igobono.
2) Why did you choose to use a social currency instead of money? Can you explain why users can move up five reputation levels and what is valuable about this feature?
We decided to use social currency – or bonos — instead of real money because we wanted to create a social marketplace that can provide immediate spending power to those who need it most. Not surprisingly, people are uncomfortable accepting money from friends when providing or receiving goods or services. Therefore, we needed to create a new medium of exchange that is personal and speaks to their values.
To create a trustworthy environment, igobono uses a reputation system to help members evaluate each other and discourage abuse. Reputations consist of two metrics: social level (Apprentice, Fellow, Freeman, Maestro, and Boniak) and trading score, both of which are prominently displayed in your profile to help other members evaluate you. Reviews are an important part of the community’s reputation system and helps members know whom to trust for a better and safer trading experience. The social level is our use of gamification to provide an element of fun, as well as offer an easy way to increase comfort levels among new members — before they trade. To advance to the next level, you must collect a certain number of points by engaging in social and trading activities in igobono, with each social level unlocking higher spending power.
3) What was the thinking behind allowing a donation-based option, where no Bonos are used, but products are given away?
We understand that people are seeking ways to take control of their financial decisions, especially after the last recession. Additionally, there are others that simply need help, and we wanted to develop a system that addresses their critical needs, too. Not long ago, I was looking for a simple way to connect with charitable organizations and, surprisingly, discovered that it was not as straightforward as one would imagine. As a result, I wanted to provide a way for people to connect with philanthropies so both donors and recipients could benefit.
Through igobono, charitable organizations can request goods or services to obtain items they need, freeing up their disposable income. Every day, igobono users donate goods or services, view requests, ask questions, and accept those requests. Fundamentally, it was designed to make it easy for people to donate and trade with each other.
Unfortunately, many people have lost faith in charitable organizations that accept monetary donations, especially when only a small portion of the proceeds actually reaches those in need. With igobono, we enable users to vet and accept the recipient of their donation, whether an individual or charitable organization. Also, charities can use the platform to leverage their social connections to build private-trading communities so its members can trade privately and securely with each other.
4) What is your vision for igobono in the near future? What about for sharing-based practice as a cultural shift?
Harnessing the power of technology and community, igobono’s mission is to deliver the most robust social marketplace, empowering people to improve their lives. Our vision celebrates all types of individuals, businesses, charities, and other organizations that will use igobono to create their own social economy. With nearly 50% of all Americans living near the poverty line, the good that igobono can provide to its members is limitless. However, we will be focused on three things: enabling our members to earn as much spending power as possible; expanding as a global resource to those in need; and customizing in vertical markets. As we grow in the US, we expect to launch in other key countries that need help, and we plan to launch a Spanish-language version of the site, as well as a mobile app. Eventually, we aspire to be a supplemental economy where people can get the things they need without money and free up their cash to use in the real world. Every member that comes to igobono to get something they need and build their community connections is considered a success for us.
We see the rise of the collaborative/sharing economy born from the fundamental shift that is taking place in our society. People see the need to do things differently, especially post-recession, and are seeking new ways to leverage their idle skills and assets to generate value. Consumers are increasingly concerned about relying only on the economy for vital goods and services, and are increasingly open to alternatives. Inherently, people have what they need to help themselves, and igobono provides the necessary platform for them doing so safely and effectively. Igobono empowers them to control their own economic decisions, which makes us proud to get up and go to work every single day.
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This interview was conducted by Taylor Kuhn
