Reward-Based Crowdfunding - Portugal

Portugal

Highlights

The Reward-Based Crowdfunding market in Portugal is expected to see a total transaction value of US$1.93m by 2024.
When comparing globally, the United States leads with a projected transaction value of US$465m in 2024.
Portugal's Crowdfunding market is gaining traction among startups seeking alternative capital raising options to traditional bank loans.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Crowdfunding market in Portugal has been experiencing significant growth in recent years.

Customer preferences: Portuguese consumers have shown a growing interest in supporting innovative projects and small businesses through crowdfunding platforms. They appreciate the opportunity to contribute to the success of these ventures and feel a sense of ownership in the projects they support. Furthermore, crowdfunding allows individuals to support causes and projects that align with their personal values and interests, creating a strong sense of community and engagement.

Trends in the market: One of the key trends in the Portuguese crowdfunding market is the rise of reward-based crowdfunding. This type of crowdfunding allows individuals to receive non-financial rewards or products in exchange for their contributions. This trend can be attributed to the growing popularity of online shopping and the desire for unique and exclusive products. Additionally, equity crowdfunding has been gaining traction in Portugal, providing individuals with the opportunity to invest in startups and small businesses in exchange for equity ownership.

Local special circumstances: Portugal's entrepreneurial ecosystem has been flourishing in recent years, with a growing number of startups and small businesses emerging in various sectors. Crowdfunding has become an attractive financing option for these ventures, as it offers an alternative to traditional funding sources such as banks and venture capital firms. The Portuguese government has also recognized the potential of crowdfunding and has implemented supportive policies and regulations to foster its growth. This has created a favorable environment for crowdfunding platforms to operate and attract both entrepreneurs and investors.

Underlying macroeconomic factors: The Portuguese economy has been recovering from the financial crisis of 2008, and this has had a positive impact on the crowdfunding market. As the economy improves, individuals have more disposable income to contribute to crowdfunding campaigns. Additionally, the low interest rate environment in Portugal has made traditional savings and investment options less attractive, leading individuals to seek alternative investment opportunities such as crowdfunding. The increasing use of digital technology and social media platforms has also played a role in the growth of crowdfunding, as it has made it easier for entrepreneurs to reach a wider audience and for individuals to discover and support projects they are passionate about. In conclusion, the Crowdfunding market in Portugal has been driven by customer preferences for supporting innovative projects and small businesses, as well as the rise of reward-based and equity crowdfunding. The local entrepreneurial ecosystem and supportive government policies have also contributed to the market's growth. Lastly, underlying macroeconomic factors such as the recovering economy, low interest rates, and digital technology have created a favorable environment for crowdfunding to thrive in Portugal.

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.