Definition:
Reward-Based Crowdfunding is a financing form independent from financial institutions, location of the campaign creator or investor. Reward-Based Crowdfunding campaigns can be initiated for a wide range of different purposes such as product launches, art-, music- and film-financing, software development, scientifc research etc. Usually there is a financing goal defined by funding volume and time to reach this goal for every campaign. The campaign creator publishes engaging content (e.g. photos, videos, text) that explain the goal and motivation of the fundraising. Almost everyone can participate in reward-based crowdfunding campaigns as an investor. The only prerequisite is a valid payment account.Additional Information:
Key players in the reward-based crowdfunding campaigns are Kickstarter and Indiegogo.Notes: Data was converted from local currencies using average exchange rates of the respective year.
Most recent update: Mar 2024
Source: Statista Market Insights
Notes: Data was converted from local currencies using average exchange rates of the respective year.
Most recent update: Oct 2024
Source: Statista Market Insights
Most recent update: Oct 2024
Source: Statista Market Insights
Most recent update: Oct 2024
Source: Statista Market Insights
Most recent update: Oct 2024
Source: Statista Market Insights
Crowdfunding is gaining significant traction in New Zealand, with a growing number of individuals and businesses turning to this alternative funding method.
Customer preferences: One of the key reasons behind the development of the Crowdfunding market in New Zealand is the changing preferences of customers. Traditional funding methods, such as bank loans and venture capital, often come with stringent requirements and high interest rates. As a result, customers are increasingly seeking out crowdfunding platforms that offer a more accessible and flexible way to raise funds. Crowdfunding allows individuals and businesses to reach a larger pool of potential investors, who are often more willing to contribute smaller amounts. This not only helps to diversify the risk for investors, but also allows entrepreneurs to tap into a broader network of supporters.
Trends in the market: The Crowdfunding market in New Zealand is witnessing several key trends. Firstly, there is a growing popularity of reward-based crowdfunding, where backers receive a non-financial reward in return for their contribution. This type of crowdfunding is particularly appealing to creative projects, such as films, music albums, and art installations, as it allows them to engage directly with their audience and build a loyal fan base. Another trend in the market is the rise of equity crowdfunding. This allows investors to purchase shares in a company, giving them a financial stake in its success. Equity crowdfunding has gained traction in New Zealand due to regulatory changes that have made it easier for businesses to offer shares to the public. This has opened up new opportunities for startups and small businesses to access capital and grow their ventures.
Local special circumstances: New Zealand's geographic isolation and relatively small population have traditionally posed challenges for entrepreneurs seeking funding. However, the rise of crowdfunding has helped to overcome these barriers by providing a platform for individuals and businesses to connect with a global audience. Crowdfunding allows New Zealand-based projects to tap into the international market, reaching potential backers from around the world. This has been particularly beneficial for projects in niche industries, such as sustainable agriculture and renewable energy, where there is a global demand for innovative solutions.
Underlying macroeconomic factors: The development of the Crowdfunding market in New Zealand is also influenced by underlying macroeconomic factors. The country's strong entrepreneurial culture and supportive government policies have created an environment conducive to crowdfunding. The New Zealand government has introduced initiatives to promote innovation and entrepreneurship, providing grants and tax incentives to startups and small businesses. These policies have helped to foster a vibrant ecosystem for crowdfunding, attracting both local and international investors. In conclusion, the Crowdfunding market in New Zealand is experiencing significant growth due to changing customer preferences, the emergence of new trends, local special circumstances, and supportive macroeconomic factors. As more individuals and businesses recognize the benefits of crowdfunding, we can expect this market to continue to expand and evolve in the coming years.
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.Notes: Based on data from IMF, World Bank, UN and Eurostat
Most recent update: Sep 2024
Source: Statista Market Insights