That does seem like a better model. I might have to check that game out.
Games should produce the base game they promised, and then just add expansion packs or additional levels (free to initial backers) to try and get everything else in until the money runs out.
Maybe even the old shareware style route of releasing Episode 1, 2 and 3 (although in the shareware days, Ep1 was free and 2/3 were commercial .. like 1 was a really long game demo).