The “Designs” are complete, patents filed, component suppliers selected, the manufacturing process is defined, the CM [contract manufacturer] chosen so all we need is your support in this project as we size the first myIDkey production run and ship product in September 2013. Please make a pledge and receive your myIDkey!

So the product was ready to go directly to manufacturing…What happened? They over promised and promising more until they ran out of money. I see this happen so many times I could cry. I mean really!!!! This product was very promising. The idea solid. The problem; stop adding features and making changes. JUST STOP!!!!

Feature creep is an easy pit to fall into, but you must resist the temptation to change your product after you have made commitments. Also don’t change your product unless you really have to do so. It will cause delays. Have you ever played the board game Monopoly? Think of it this way if you change something, add something then you do not pass go, do not collect $200 and you have to start at the beginning.

Here is an example. Lets say I want to change a button. You might say well that is not a big deal…right? However after you select the first button you had to work it into your PCB design, industrial design, package design, and your manufacturing plan. When you select a new part you have to go back and work through all those plans you before did again. What happens if the button just does not fit the enclosure right, then industrial design must take place. Then what if you try to get the button in the MOQ and price you can afford, then find out it is a strange type of button that is not common in the market. In that case you will have very long lead times and may not get the part at all. You must ask yourself some business questions (not technological questions):

1. Is this going to bring added value to the market by adding this feature?
2. Will this increase the revenue I hope to get for my product in a substantial way to justify the effort?
3. Will I be able to meet my deliverable commitments, for sales, marketing and volume?

If any of these are no, do not add the feature. Wait till version 2.0 to reconsider it.

via Kickstarter project spent $3.5M to finish a working prototype—and ended in disaster | Ars Technica.