USD 1.43 billion
Crowdfunding Market Size, Share, Growth Analysis, By Product Type(Reward-based Crowdfunding, Equity Crowdfunding, Donation, Others.), By Sales Model(Reward, P2P Lending, Equity Investment, Hybrid), By End-user(Cultural Sector, Technology, Product, Healthcare), By Deployment(On Premise, Cloud), By Region - Industry Forecast 2024-2031
Report ID:
SQSG40D2002 |
Region:
Global |
Published Date: February, 2024
Pages:
165
|Tables:
120
|Figures:
77
Crowdfunding Market Insights
Global Crowdfunding Market size was valued at USD 1.43 billion in 2022 and is poised to grow from USD 1.67 billion in 2023 to USD 6.7 billion by 2031, growing at a CAGR of 16.7% in the forecast period (2024-2031).
Crowdfunding is the process of attaining a huge number of small donations from a crowd of people from various landscapes and areas. Contribution and charity for a specific cause and need could also be defined as crowdfunding. The contributor’s decision to participate in crowdfunding could be driven by various marketing strategies that are being performed on various social and mass media platforms by influencing the crowd to donate towards a greater cause. Crowdfunding organizations are expanding their influence to a global audience through various social media platforms nowadays. This is an easier way of promoting and conducting sales marketing of products for various businesses. So, increasing crowdfunding activities in social media is expected to increase the demand, and various models such as P2P funding, and growing smartphone and internet usage in return will push crowdfunding market growth in the forecast period.
US Crowdfunding Market is poised to grow at a sustainable CAGR for the next forcast year.
Market Snapshot - 2024-2031
Global Market Size
Largest Segment
Equity Crowdfunding
Fastest Growth
Reward-Based Crowdfunding
Growth Rate
16.7% CAGR
Global Crowdfunding Market, 2021-2028 ($ Bn)
Country Share for North America Region- 2021 (%)
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Crowdfunding Market Segmental Analysis
The Global Crowdfunding Market is segmented on the basis of Product Type, End-user, and region. Based on Product Type, the Crowdfunding Market is segmented into Reward-based Crowdfunding, Equity Crowdfunding, Donation, and Others. Based on End-user, the Crowdfunding Market is segmented into Cultural Sector, Technology, Product, and Healthcare. Based on sales type the Crowdfunding Market is segmented into Reward, P2P Lending, Hybrid, Equity Investment, and Others. In terms of deployment the Crowdfunding Market is bifurcated into on-premise and cloud. Based on region, the global Crowdfunding market is segmented into North America, Europe, Asia-Pacific, South America, and MEA.
Crowdfunding Market Analysis by Product Type
The global crowdfunding market is segmented into Reward-based Crowdfunding, Equity Crowdfunding, Donation, and Others. Equity crowdfunding holds the largest revenue share of the total funding market in 2021, as the seed capital is an important expectation to keep the business running in the long run. As start-ups when in the pre-profit-making stage need this large capital, they prefer raising it through equity crowdfunding and attracting investors to the company. This all enables the companies to engage and build new networks and socialize that could be leveraged later. Reward-based crowdfunding and donations are the fastest growing method for doing so as it is driven by a specific cause and many people want to associate themselves with a greater cause that is why donations have seen a significant increase in revenue and are expected to grow more during the analysis period.
Crowdfunding Market Analysis by End-user
In 2021, the technological and product segment holds the largest revenue share for the crowdfunding market and some other segments of the crowdfunding market are the cultural and healthcare sector. Increasing the use of various AI and ML technological advancements in various fields is one of the reasons for increasing funding and growing revenue share of the technological and product sector. The increasing internet usage and growing awareness regarding individual health is expected to drive the cultural and healthcare sector in the coming years.
Global Crowdfunding Market By Product Type, 2021(%)
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Crowdfunding Market Regional Insights
In 2021, the global crowdfunding market was dominated by Europe which accounts for 44% of the total market revenue globally. This market size and revenue growth are expected to boom at the same pace because of the growing participation of countries in the region to accept and adapt the process of crowdfunding. The European Union has decided to expand the use of the crowdfunding system beyond the EU countries to various other regions present in Europe. North America and the Asia Pacific are expected to grow at the highest CAGR in the coming time period and this will be driven by penetration of the internet and the growing use of social media for supporting a cause by doing crowdfunding. These initiatives taken up by crowdsourcing organizations and various multimedia platforms will enable growth in the sector in the coming years.
Global Crowdfunding Market By Geography, 2021-2028
- Largest
- Fastest
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Crowdfunding Market Dynamics
Crowdfunding Market Driver
- With the increasing use of crowdfunding platforms in supporting and helping with donations to people who have lost a lot in the pandemic in driving the awareness and utility of these platforms. Capital donations for charities that support and empower people are some of the social causes that are fulfilled by these crowdsourcing platforms which in turn is driving the demand in the market globally.
- Growing startup companies around the world is also a reason for the growth of the crowdfunding market as these markets allow start-up companies to raise capital from in the pre-profit stage of their venture and North America has witnessed a share of around 17.5% of people engaged in the startup of its whole population. This shows the large number in the field and is expected to grow in the future too which will result in the growth of the crowdfunding market.
Crowdfunding Market Restraint
- The Crowdfunding industry is expanding at a faster rate but one of the restraints that it might face in the coming time will be the management and use of the funds for the purpose it is donated for. If some of the donations are used for the personal benefit which otherwise would be used for a better cause then the trust in this crowdfunding will get a dent and this will further slow the growth of this market for the upcoming period.
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Crowdfunding Market Competitive Landscape
The Crowdfunding market is relatively fragmented, with a high level of competition. Few large players, like Kickstarter, Patreon, and Indiegogo Inc., now control the market in terms of market share. These industry leaders are extending their customer base across several areas, and many corporations are creating strategic and collaborative initiatives with other start-up enterprises to enhance their market share and profitability.
Crowdfunding Market Top Player’s Company Profiles
- Indiegogo Inc.
- GoFundMe Inc
- Crowdcube Limited
- Kickstarter
- Crowdfunder
- Patreon
- Fundable
- RocketHub
- Seedrs
- CircleUp
- Kiva
- FundRazr
- Ulule
- FundedByMe
- Tilt
- Chuffed
- Experiment
- AngelList
- Fundly
- Razoo
Crowdfunding Market Recent Developments
- In May 2022, president of Ukraine volodymyr zelensky launched a global crowdfunding platform to raise funds that would directly be transferred to the national bank of the country and will help Kyiv for rebuilding its infrastructure.
- In May 2022, an equity crowdfunding service provider named Crowdcube started operation in France. It plans to help France's technology startup to raise a Series A fund through their equity from this crowdfunding platform and seems to be a great initiative.
- In April 2022, Indiegogo Inc. a crowdfunding company helped various entrepreneurial ideas and one of such ideas that has been encouraged and funded by the organization on earth day was clothing from ocean plastics to reduce plastic wastage in the ocean which is harming the environment.
Crowdfunding Key Market Trends
- The raising demand for seed capital through online platforms and offering investors the perk for their contribution to the development of a company is reward-based crowdfunding. Here the capital is raised from a bank by the company on the basis of its project and the bank receives a reward. This type of funding is raised by early-stage companies or for a specific project that needs to be executed which will generate higher revenue in the future. This all enables the crowdfunding market to grow at a faster rate.
- Raising capital for smaller projects through crowdfunding on social media platforms is rising and one of the examples of this process is a company that raised USD 45,000 for the project in the initial stage and after the prototype was launched got recognition from the administrative body and got grants for the same. This shows that crowdfunding could be a possible way to raise capital for a specific cause and execute it.
Crowdfunding Market SkyQuest Analysis
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Co-relates, and Analyses the Data collected by means of Primary Exploratory Research backed by the robust Secondary Desk research.
According to our analysis, the global crowdfunding market was dominated by Europe in 2021. Equity crowdfunding holds the largest revenue share of the total funding in 2021, as the seed capital is an important expectation to keep the business running in the long run. As start-ups when in the pre-profit-making stage need this large capital, they prefer raising it through equity crowdfunding and attracting investors to the company. North America and the Asia Pacific are expected to grow at the highest CAGR in the coming time period and this will be driven by penetration of the internet and the growing use of social media for supporting a cause by doing crowdfunding. These initiatives taken up by crowdsourcing organizations and various multimedia platforms will enable growth in the sector during the analysis period of 2022 - 2028.
| Report Metric | Details |
|---|---|
| Market size value in 2022 | USD 1.43 billion |
| Market size value in 2031 | USD 6.7 billion |
| Growth Rate | 16.7% |
| Base year | 2023 |
| Forecast period | 2024-2031 |
| Forecast Unit (Value) | USD Billion |
| Segments covered |
|
| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
|
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Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on Crowdfunding Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on Crowdfunding Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the Crowdfunding Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Crowdfunding Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Crowdfunding Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Crowdfunding Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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