The worldwide crowdfunding market is driven by one of the main variables that it is used as a free promotion instrument. It offers the chance to pre-sell a product as a free instrument for cost marketing. An active crowdfunding campaign can, therefore, go beyond than only purchasing the necessary resources. These campaigns are cheap, and various channels can be quickly accessed.
Campaigns are intended to communicate the project's mission and vision readily. Crowdfunding has proved itself as a practical way to raise resources, in particular with the extensive use of the Internet. However, it is difficult for creators and sponsors to anticipate the achievement of a campaign to limit existing crowdfunding platforms. With the use of Social media, one can track the transfer of traffic to the websites for several crowdfunding campaigns. This report has a detailed classification of different market segment based on its type.
The crowdfunding market is broadly divided into,
In an equity crowdfunding the investors, invest in exchange for stocks, or a small stake in your company, project or undertaking. This kind of crowdfunding could be best used by growth-focused businesses in fields with prospective returns.
Reward based crowdfunding allows investors to contribute for non-financial advantages to your business. Such reward-based crowdfunding is usually used for creative projects. The more investors donate to your fund, the more the reward they receive.
The Donation crowdfunding is intended for charitable organizations to collect a community online and allow them to make a donation to a project or receive cash for social or charitable projects. Based on the analysis, it is estimated that there are approximately 19 times as many reward based crowdfunding campaigns in comparison to the equity crowdfunding.
The use of advertisement campaigns on social media for crowdfunding is one of the primary crowdfunding market trends, which is believed to impact the growth of the crowdfunding market drastically. The world market for crowdfunding is estimated to be USD 10.2 billion in 2018 and is expected to reach USD 28.8 billion by the end of 2025, with a 16 percent increase from CAGR in 2018 to 2025. It is anticipated that the market will develop exponentially by the end of the forecast period and become extremely fragmented.
The overall competition of the crowdfunding market is fragmented as different organizations target and focus on niche segments and verticals. Some of the significant players amongst them include,
The GoFundMe is an American crowdfunding platform that helps to raise funds for activities ranging from festivities and graduations to severe health conditions such as cancer and heart-related illness. GoFundMe enables users to build their website to raise the required funds.
Kickstarter is a crowdfunding community based on creativity and creative initiatives. The Kickstarter platform is accessible to supporters from around the globe and artists from numerous nations
Indiegogo is a cross-financing platform that allows individuals to raise cash for their products, services, and creative undertakings from a broad range of individuals.
Apart from these organizations, there are several other crowdfunding firms that are competing in the same crowdfunding sector of the market. This includes organizations like Fundable, Crowdcube, GoGetFunding, Patreon, Crowdfunder, CircleUp, AngelList, RocketHub, DonorsChoose, Crowdfunder.
This report provides a in-depth analysis of the market's competitive landscape along with information on the services offered. This report will help companies to identify and strategies a new development approach to stabilize themselves in the market. Read Full Report