massolution-crowdfunding-volume-growth-2009-2012-may2012.jpg Key Trends Consistent As Online Ad Revenues Grow Another 17% in 2013 Online advertising set yet another peak in Q4 2013, growing by 17.5% to reach $12.1 billion, the largest quarter on record, according to the latest revenue report [pdf] from the IAB and PricewaterhouseCoopers (PwC). Needless to say, the full-year total of $42.8 billion was also the largest seen yet, representing a 17% increase from the […] Read more » Who’s Using Marketing Automation to Manage Email, And How Many Messages Are They Sending? Some 24% of marketers say they don’t use any tools to manage their email campaigns, according to a recently-released Marketo study [download page]. Dollar for dollar raised, Kickstarter dominates Indiegogo SIX times over — on startups While freelancing in the crowdfunding space, Edward (@ejunprung) and I noticed a huge size discrepancy between Kickstarter and Indiegogo. We decided to fully size Indiegogo up and compare their numbers with Kickstarter’s publicly available statistics to see just how much bigger Kickstarter is. 6 Eye Opening Insights Cumulatively, Kickstarter (KS) has over 110,000 campaigns while our scrape found 44,000 campaigns on Indiegogo (IGG). However, through multiple scrapes over a month, we discovered that IGG de-list failed campaigns that raised less than $500.KS ($612M) has successfully raised over 6 times more dollars than IGG ($99M).KS has had 40 projects raise $1M+ while IGG only has had 4.The average success rate on KS is 44%. Based on the total number of campaigns we found in our scrape, we calculate IGG’s success rate to be 34%.
Book excerpt: The Crowdfunding Revolution (Editor’s note: Kevin Lawton is the author of “The Crowdfunding Revolution”. The following is an excerpt from the book.) My journey into crowdfunding was not exactly typical.Originally, I began exploring a new concept for an early-stage VC firm, one that was a radical departure from the old-school model, which seems to hold a belief that the minds of a few partners and their ‘Rolodex’ can outperform the collective wisdom of the billions of people on the planet. In researching this new model, I became increasingly exposed to and excited about crowdfunding, which shares many of the dynamics. While in many ways still in its “first inning”, crowdfunding is already on an exponential tear, and has the potential to be a powerhouse of capital formation and an integral part of Venture Capital’s future. Fortunately, there are many activities afoot, that bode well for even equity-based crowdfunding, regardless of regulatory resistance.
A Look at the Proposed Amendments to the Crowdfunding Bill Wednesday, the Senate cloture vote on H.R. 3606, better known as the JOBS Act, passed 76-22--the package will allow companies to offer securities to non-accredited investors via crowdfunding platforms. The JOBS Act passed the House by a 390-23 vote on March 8 and in a rare showing of bipartisan agreement on the economy during an election year. The Obama administration has expressed support for the JOBS Act, which the President intends to sign into law when the legislation reaches his desk. Immediately after affirming the vote, Senators Jeff Merkley (D-OR), Scott P. Brown (R-MA) and Jack Reed (D-RI) proposed two additional amendments: S. 1884 from Merkley and Brown; and an amendment to S. 1844, S. 1931, from Reed.
Kickstarter vs Indiegogo – By the Numbers The Ubuntu Edge campaign, which raised $10,267,352 on Indiegogo from more than 22,053 contributions, highlighted the enormous potential of crowdfunding campaigns. At the same time, it also highlighted the limitations of Indiegogo as compared to Kickstarter, since the campaign fell far short of its desired goal of $32 million.Kickstarter and Indiegogo, both launched at around the same time in 2008-09, are unquestionably the two big dogs in this arena. But which one is better? To be more precise, which one is better suited for your project? Let’s hash out the numbers and examine each platform’s policies. Crowdfunding Platforms Raise $1.5 Billion and Successfully Fund One Million Campaigns in 2011, Finds Research Firm massolution(TM) LOS ANGELES, CA--(Marketwire -05/08/12)- massolution™, a research firm specializing in crowdsourcing and crowdfunding solutions, released its first comprehensive Crowdfunding Industry Report. After collecting data from more than 170 crowdfunding platforms (CFPs) and other sources, the results revealed that CFPs raised almost $1.5 billion and successfully funded more than one million campaigns in 2011. The majority of these campaigns were in the donation-based category totaling 1,067 campaigns, and North America was the largest market for fundraising at $837 million.
Review of Crowdfunding Regulation 2013 - Symbid Interpretations of existing regulation concerning crowdfunding in Europe, North America and Israel The ECN Review of Crowdfunding Regulation 2013 considers the varying applications of the single market legislation to Crowdfunders across Europe both now and in the foreseeable future. Furthermore it takes a look at the Crowdfunding regulation in other relevant countries abroad.. Published by: European Crowdfunding Network, Belgium (2013). The rise of crowdfunding over the past decade is a result of the on-going digitalisation of processes and communication in our society, with easy access to high-speed internet and digital devices. Crowdfunding in numbers: stats The global edition of our Internet Statistics Compendium saw further expansion this month as the e-commerce chapter grew to accommodate fresh data looking at the rise of crowdfunding. Crowdfunding platforms (CFPs) such as KickStarter, Indiegogo and Sponsume are providing another option for musicians, social enterprises, writers, artists and start-ups to raise capital for their projects. During a month which saw a number of high-profile crowdfunding milestones – including cult musician Amanda Palmer reaching $1m to fund her new record via KickStarter and Indiegogo closing a $15m series A funding round – industry website Crowdsourcing.org have also published a report bringing together data from themselves and Massolution, as well as from 130+ CFPs. CFP numbers grow
Extraordinary popular solution: funding from crowds? Executive Summary “Crowdfunding” allows early-stage companies, projects, and artistic ventures in the US to attract financing from the masses over the Internet and provides developing world microfinance initiatives a new avenue to secure capital. To date, crowdfunding has provided more than $500m for enterprises or ideas normally unable to raise money even from venture investors by aggregating funds from thousands of motivated and unaccredited individual investors. With the recent passage in the US of the JOBS Act, this novel method of financing stands to grow rapidly. Given the often small, distributed nature of clean energy development, a small, distributed financing model holds real potential though there are potential pitfalls as well.
The Dynamics of Crowdfunding: Determinants of Success and Failure by Ethan Mollick University of Pennsylvania - Wharton School June 26, 2013 Journal of Business Venturing, Volume 29, Issue 1, January 2014, Pages 1–16 Abstract: Crowdfunding Webinar Series: Kevin Lawton - Research Commercialization and SBIR Center PresentsCrowdfunding Webinar Mini-Series Kevin Lawton A Progenitor of PC Virtualization, Kevin Lawton’s experience in business and technology has made him a trend-maker in the Crowdfunding and StartUp industry. Kevin holds a B.A. in Computer Science from the State University of New York at Oswego and catapulted his career at MIT Lincoln Laboratory in space-based radar and satellite communication. He is a serial startup entrepreneur and has founded and lead various startups and open source projects. He is the author of the book: The Crowdfunding Revolution l Social Networking meets Venture Financing and is a contributor for VentureBeat, Huffington Post and Seeking Alpha.
Crowdfunding raised $1.5B last year — and is on track to double in 2012 Until Kickstarter started gaining attention for giving people a place to raise huge amounts of money very quickly, the term crowdfunding didn’t mean much. Now, crowdfunding has become a full-fledged industry, contributing $1.5 billion to new ventures in 2011. That total includes pledges from average people backing quirky projects like the Pebble smartwatch as well as seed funding for startups. The first ever Crowdfunding Industry Report, from research firm Massolution, reveals that crowdfunding platforms, such as Kickstarter and Crowdfunder, raised $1.5 billion spread out over one million campaigns in 2011. Of that $1.5 billion, $837 million came from North American investors. Survey: 92% say legalise crowdfunding - and will invest too! Following our recent crowdfunding survey 92% say legalise crowdfunding – but 8% have real concerns about potential abuse. Of those willing to invest (80% of our audience), 65% would invest upto or in excess of £10,000 or US$10,000 per year. Although a significant number – 30% would be interested in investing up to £1,000 or US$1,000 per year. That means that the most typical annual investment would be around 10,000 – and we can speculate that this might consist of investments in 1,000 dollars or pounds chunks.
2011: The Stats » The Kickstarter Blog 2011 was a year of milestones. In April we celebrated our second birthday by announcing $50 million in pledges. In July we reached 10,000 successfully funded projects.