Market Insights Financial Capital Raising Digital Capital Raising

CrowdLending (Business) - Nordics

Nordics

The country in Nordics is expected to see the total transaction value in the Crowdlending (Business) market market reach US$67.41m by 2024.
When comparing globally, it is evident that China leads with a projected transaction value of US$15,970m in the same year.
In the Nordics, CrowdLending platforms are gaining momentum as a popular alternative for capital raising in the business market.

Key regions: China, United Kingdom, Brazil, Israel, India

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Analyst Opinion

The CrowdLending (Business) market in Nordics is experiencing significant growth and development.

Customer preferences: In the Nordics, businesses are increasingly turning to CrowdLending as a source of financing. This is due to the ease and convenience it offers, as well as the ability to access funding from a wide range of investors. Businesses appreciate the transparency and flexibility of CrowdLending platforms, which allow them to choose the terms and conditions that best suit their needs. Additionally, the lower interest rates and fees compared to traditional banks make CrowdLending an attractive option for many businesses in the region.

Trends in the market: One of the key trends in the CrowdLending market in the Nordics is the rise of peer-to-peer lending platforms. These platforms connect individual investors with businesses in need of funding, cutting out the middleman and reducing costs for both parties. This trend is driven by the increasing popularity of online platforms and the desire for more direct and efficient financing solutions. Another trend in the market is the emergence of specialized CrowdLending platforms catering to specific industries or sectors. These platforms offer tailored financing solutions and expertise in a particular field, attracting businesses looking for industry-specific funding options. This trend reflects the growing demand for niche financing solutions and the recognition that different industries have unique financing needs.

Local special circumstances: The Nordics have a strong culture of entrepreneurship and innovation, which has contributed to the growth of the CrowdLending market. The region is known for its high levels of trust and transparency, making it an ideal environment for CrowdLending platforms to thrive. Additionally, the Nordics have a well-developed financial technology (fintech) sector, with many innovative startups and established companies offering CrowdLending services. This supportive ecosystem has helped to drive the growth and development of the CrowdLending market in the region.

Underlying macroeconomic factors: The strong economic performance of the Nordics has also played a role in the development of the CrowdLending market. The region has a stable and well-regulated financial system, which provides a solid foundation for the growth of alternative financing options like CrowdLending. Additionally, the low interest rate environment in the Nordics has made traditional bank loans less attractive for businesses, leading them to explore alternative financing options like CrowdLending. In conclusion, the CrowdLending (Business) market in the Nordics is experiencing significant growth and development, driven by customer preferences for transparency, flexibility, and lower costs. The rise of peer-to-peer lending platforms and specialized industry-focused platforms are key trends in the market. The strong culture of entrepreneurship and innovation, as well as the supportive fintech ecosystem, are local special circumstances that have contributed to the growth of the CrowdLending market in the region. The stable and well-regulated financial system, along with the low interest rate environment, are underlying macroeconomic factors that have further fueled the development of the market.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on transaction values / revenues / assets under management and user data of relevant services and products offered within the FinTech market.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending, population, internet penetration, smartphone penetration, credit card penetration, and online banking penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.