Major players in the market are Kickstarter, PBC, Indiegogo Inc., GoFundMe Inc., Fundable LLC, Crowdcube Limited, GoGetFunding, RM TECHNOLOGIES, INC., SeedInvest Technology, LLC, Crowdfunder Inc., Alibaba Group Holding Limited, Wefunder Inc., Fundly, Jingdong Inc., Suning.com Co. Ltd., Owners Circle, Realcrowd Inc., Patreon, Nav technologies Inc., Thunder Funding, and Pozible Pty Ltd.
The global crowdfunding market is expected to grow from $13.40 billion in 2022 to $15.54 billion in 2023 at a compound annual growth rate (CAGR) of 16.0%. The Russia-Ukraine war disrupted the chances of global economic recovery from the COVID-19 pandemic, at least in the short term. The war between these two countries has led to economic sanctions on multiple countries, a surge in commodity prices, and supply chain disruptions, causing inflation across goods and services and affecting many markets across the globe. The crowdfunding market is expected to reach $27.81 billion in 2027 at a CAGR of 15.7%.
The crowdfunding market includes revenues earned by entities through reward-based crowdfunding, prosocial lending-based crowdfunding, and Lending-based crowdfunding (LBC).The market value includes the value of related goods sold by the service provider or included within the service offering.
Only goods and services traded between entities or sold to end consumers are included.
Crowdfunding refers to a way to raise funds for a specific cause donated by a large number of interested people in small amounts and usually during a relatively short period of time, such as a few months.This is frequently done through social networks, which allow supporters to easily share a cause or project cause with their social networks.
It allows fundraisers to collect funds from a huge number of individuals using online channels.
North America was the largest region in the crowdfunding market in 2022.Asia-pacific is expected to be the fastest-growing region in the forecast period.
The regions covered in the crowdfunding report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
The main types of crowdfunding are equity-based crowdfunding, debt-based crowdfunding, and others types.Equity-based crowdfunding often referred to as investment crowdfunding is used by startups and early-stage companies to raise money.
The various platform types include open service platforms, and managed service platforms and are used in various applications such as food and beverage, technology, media, real estate, healthcare and others.
Increasing the use of social media platforms is expected to boost the growth of the crowdfunding market going forward.A social media platform offers a service to the general public for the purpose of disseminating communication, speech, news, or other content, usually in the form of messages, videos, pictures, or sound files.
Social media acts as a tool to promote and publicize crowdfunding initiatives and also fetch funds for crowdfunding campaigns using an internet platform, as a result, the increasing use of social media increases the demand for crowdfunding. For instance, in January 2023, according to Hootsuite, a Canada-based social media management platform, globally, 4.2 billion people used social media regularly. This suggests that social media is continuing rapidly developing, with 490 million more users than at the start of 2020. It also has 53.6% of the world’s population (around 7.8 billion people). Therefore, the increasing use of social media platforms is driving the growth of the crowdfunding market.
Innovative crowdfunding solutions are a key trend gaining popularity in the crowdfunding market.Major companies operating in the crowdfunding market are focused on developing new technological solutions to strengthen their position.
For instance, In May 2022, Crowdcube, a UK-based investment crowdfunding platform unveiled its new equity crowd-funding solutions, in France. With its French Tech ecosystem, it launched the Finary fundraising A Series crowd-funding campaign, which raised €2.17 million ($2.4 million at today’s currency rate) from 983 Finary users in 21 minutes.
In September 2022, Republic, a US-based private investment firm, acquired Seedrs for $100 million (£86.5 million). Through this acquisition, the Republic Company gained not just further geographical expansion but also the team’s talent, technology, and knowledge in the market. Seedrs is a London-based online equity crowdfunding company,
The countries covered in the crowdfunding market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
The crowdfunding market research report is one of a series of new reports that provides crowdfunding market statistics, including the crowdfunding industry global market size, regional shares, competitors with a crowdfunding market share, detailed crowdfunding market segments, market trends, and opportunities, and any further data you may need to thrive in the crowdfunding industry. This crowdfunding market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.