Global Crowdfunding Market Insights Forecasts to 2033

• The Global Crowdfunding Market Size was Valued at USD 1.19 Billion in 2023
• The Market Size is Growing at a CAGR of 14.00% from 2023 to 2033
• The Worldwide Crowdfunding Market Size is Expected to Reach USD 4.41 Billion by 2033
• Asia Pacific is Expected to Grow the fastest during the forecast period.

The Global Crowdfunding Market Size is Anticipated to Exceed USD 4.41 Billion by 2033, Growing at a CAGR of 14.00% from 2023 to 2033.

Market Overview

Crowdfunding is a method for entrepreneurs, businessmen, and other creators like filmmakers, musicians, and artists to raise money for their enterprises, businesses, and projects by appealing directly to the public for support. Crowdfunding makes it probable for fundraisers to custom online platforms to collect money from a large number of individual investors. Moreover, startup companies and an increasing number of companies normally use crowdfunding as a technique for gaining access to alternative capital. Crowdfunding platforms have made it simple for entrepreneurs, artists, and other creatives to admittance funding for their projects, deprived of having to go over traditional channels like banks or venture capitalists.  In addition, to provide financial support or help, it uses a variety of methods, including equity investment, peer-to-peer lending, reward-based, donation-based, and hybrid models. In the assessment of traditional methods, it is observed as a scalable, adaptable, and efficient fund-raising substitute. Crowdfunding platforms could be intermediaries between donors and beneficiaries. This transitional could deed a surfeit of marketing practices to stimulate the behavior of the potential donor. Thus it is crucial to look for the influencing factors that are being used on crowdfunding platforms such as social media platforms for raising funds. The rapid growth in technological advances and innovations in crowdfunding platforms with the help of integrating various advanced technologies such as artificial intelligence and machine learning, along with the growing number of crowdfunding services providers across the globe to help startup companies raise funds from investors, are major factors driving the growth of the global market.

Report Coverage

This research report categorizes the market for the global crowdfunding market based on various segments and regions forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the global crowdfunding market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the global crowdfunding market.

Driving Factors

The rise and development of social media and digital platforms have suggestively boosted the visibility and accessibility of crowdfunding campaigns. These platforms are seizing attention while educating the civic about the campaigns, thereby enhancing engagement and fundraising efforts. Furthermore, the use of social media as a source of free-of-cost promotion is notably driving the market growth, although factors such as time-consuming processes might impede the market growth. Furthermore, a key element driving the increase of the crowdfunding market share is the use of campaigns as outlets for crowdsourcing. Customers had relatively little involvement with the product before it reached them in typical funding, marketing, and product launch methods. Though, one of the aids of campaigns is that they tolerate businesses to connect with clients and even test the success of a product before it is released. Through the admiration of crowdsourcing, campaign owners can connect with the target audience to scale interest in the project and to learn about their expectations.

Restraining Factors

Lack of awareness of crowdfunding among the general public is a significant restraint to the growth of the crowdfunding market. Several individuals are still not aware of the concept of crowdfunding and how it works, which is limiting the number of potential investors. Moreover, there is less advertising and education about crowdfunding, which makes it difficult for individuals to learn about it. Furthermore, some individuals do not trust the concept of crowdfunding as a way of making investments due to a lack of regulatory oversight and potential fraud or misuse of funds. In addition, a high percentage of crowdfunding fail to meet their funding goals, which can discourage potential investors from participating in future campaigns. In contrast to traditional investments, crowdfunding investments are frequently not protected by law.

Market Segmentation

The Global Crowdfunding Market share is classified into type and application.

• The debt-based crowdfunding is expected to hold the largest share of the global crowdfunding market during the forecast period.   

Based on the type, the global crowdfunding market is divided into debt-based crowdfunding, reward-based crowdfunding, equity-based crowdfunding, donation-based crowdfunding, and others. Among these, the debt-based crowdfunding segment is expected to hold the largest share of the global crowdfunding market during the forecast period. This can be attributed to useful alternatives for borrowers who might not qualify for traditional forms of financing, such as bank loans, and for investors looking for a relatively small hazard venture chance with a fixed rate of return. Furthermore, the growth of the segment market can be mainly attributed to the rising demand for debt-based crowdfunding by many startup companies to raise funds over a traditional bank quickly. This crowdfunding technique permits startups to get laidback access to funds at a minor cost and be deprived of navigating through banks’ large and complicated procedures. In addition, it provides investors with better interest rates for monthly installments to fund projects, which drives the segment’s growth.

• The food and beverages segment is expected to hold the largest share of the global crowdfunding market during the forecast period.   

Based on the application, the global crowdfunding market is divided into food and beverages, technology, media and entertainment, real estate, healthcare, and others. Among these, the food and beverages segment is expected to hold the largest share of the global crowdfunding market during the forecast period. The reason behind this is an extensive rise in the number of food and beverage startup companies worldwide, coupled with the high implementation of fundraising programs, which are significant factors that propel the growth of the segment market worldwide. Furthermore, food startups are expanding their business to increase their presence in the market. For instance, in November 2022, 8 Myles, a macaroni and cheesemaker, hurled an equity crowdfunding campaign and elevated money to enlarge its operation, buying manufacturing equipment to raise volume, and build brand awareness. Moreover, beverage brands such as Waku also launched a crowdfunding campaign to fund their development plans.

Regional Segment Analysis of the Global Crowdfunding Market

• North America (U.S., Canada, Mexico) 
• Europe (Germany, France, U.K., Italy, Spain, Rest of Europe)
• Asia-Pacific (China, Japan, India, Rest of APAC)
• South America (Brazil and the Rest of South America) 
• The Middle East and Africa (UAE, South Africa, Rest of MEA)

North America is anticipated to hold the largest share of the global crowdfunding market over the predicted timeframe.

North America is anticipated to hold the largest share of the global crowdfunding market over the predicted timeframe. This is attributed to the fact that the increase in competition among platforms has driven innovation and improvements in the crowdfunding experience for users. In addition, the amount of funding raised in North America has reached billions of dollars in recent years. This has been driven by the growth in the popularity of crowdfunding, as well as an increase in the number of successful projects & campaigns, in the region. Furthermore, the growth of the regional market is mainly driven by increasing internet penetration, the increasing number of social media users, and the rapid surge in the number of startup companies in the region. Moreover, early adoption of advanced technologies and increasing efforts by the government to support crowdfunding platforms, coupled with the high focus on developing blockchain-based platforms to simplify the complete process of funding in the region, are likely to augment market growth shortly.

Asia Pacific is expected to grow at the fastest pace in the global crowdfunding market during the forecast period. Growing digitalization, fortunate economic conditions, and easy access to internet facilities, especially in evolving economies such as India, China, and Indonesia, are key factors estimated to drive the growth of the segment market at a high rate. In addition, various crowdfunding platforms in the region, such as ArtisteConnect.com, ToGather.Asia, Wujudkn.com, is the rising prevalence of these crowdfunding solutions because of their high adaptability and scalability are anticipated to propel the growth of the segment market. The rising adoption of crowdfunding in the Asia Pacific is providing new opportunities for individuals and businesses to introduce new and creative ideas.     

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the global crowdfunding market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Fundly
• Crowdcube Capital Ltd
• ConnectionPoint Systems Inc. (CPSI)
• Indiegogo
• Seedrs Limited
• Kickstarter
• PBC
• StartSomeGood
• Fundable
• GoFundMe
• Wefunder Inc.
• CircleUp Network Inc.
• Crowdfunded Limited
• Fundrise LLc
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting And Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Developments

• In June 2023, CircleUp Network Inc. announced that it had been acquired by Brightflow AI, a platform for financial data and intelligence that aids small businesses to take ownership of their cash flow and make choices supported by facts.

• In March 2023, Enabot launched a Kickstarter campaign to raise funds for its new EBO X robot companion. The company is trying to make the EBO X the first commercially available household robot, which is now available for preorder on Kickstarter.

Market Segment

This study forecasts revenue at global, regional, and country levels from 2020 to 2033. Spherical Insights has segmented the global crowdfunding market based on the below-mentioned segments: 

Global Crowdfunding Market, By Type

• Debt-based Crowdfunding
• Equity-based Crowdfunding
• Reward-based Crowdfunding
• Donation-based Crowdfunding
• Others

Global Crowdfunding Market, By Application

• Food and Beverages
• Technology
• Media and Entertainment
• Real Estate
• Healthcare
• Others

Global Crowdfunding Market, Regional

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • Uk
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of the Middle East & Africa