Skip to main content

Top 50 Crowdfunding Campaigns

Image
By
The chart below results from an analysis of the Top 50 crowdfunding campaigns on Indiegogo, 'Top' measured by total dollars raised. The X axis shows the dollar amount of the reward or  perk ($1 to $10, $11 to $20, etc.) The Y axis shows the cumulative number of rewards/perks collected across all 50 campaigns, so the chart shows that, for the top 50 crowdfunding campaigns on Indiegogo, 100,000 rewards/perks with a  value ranging from $1 dollar to $10 dollars were selected by supporters. 
Normally, we might expect this chart to be convex, declining steadily from $1 to $5000. This is not what we see, however. It seems that people are willing to donate small dollar amounts, up to about $50, and then contributors look to donate at least $100. What's going on here? To explain this phenomenon, classify backers into two categories:
1. The first category are people who simply want to help. They donate less than $50 dollars and do not donate for the reward (normally a T-shirt, poster, etc.) They are “angels” who simply want to make the thing happen.
2. The second category are people who actually want the service or product being offered. These are the core customers for whatever the future product or service is.
For the full report ($129.00) and a description of the crowdfunding tactics that follow from this analysis, see: https://www.paypal.com/cgi-bin/webscr?cmd=_s-xclick&hosted_button_id=77A2P3AZJ3TA2

Questions? Contact us at wmc@nationalcrowdfundingservices.com. 
Data collection and analysis by:

Hanna Kim, University at Buffalo, The State University of New York, May 2015
Bachelor of Science in Accounting

Ziqi Chen, Master of Science in Finance, August, 2014
Johns Hopkins University Carey Business School 

Frank Catanzaro
BSBA in International Business The Catholic University of America May 2014

NCS Interns, Summer 2014

Edited by William Michael Cunningham
Labels:

Comments

  1. Kevin EppsJuly 29, 2015 at 10:45 PM

    i have been following your news and information reporting and recently launched www.filmbread.com is a crowdfunding platform for film, content creators, digital storytellers. Thanks for sharing insightful and invaluable info.

    ReplyDelete
  2. blogerOctober 13, 2015 at 9:09 AM

    This comment has been removed by the author.

    ReplyDelete

Post a Comment

Popular posts from this blog

Crowdfunding heads to Georgetown

By
So first Fundrise raises $31Million for real estate crowdfunding.  Now Realty Mogul, a real estate crowdfunding platform, responds quickly with a rare opportunity to be a part of a $31.8 million project in the exclusive Georgetown neighborhood of Washington DC. #crowdfundrealestate Realty Mogul, along with   JOSS Realty Partners ( "JOSS" ) , is introducing the Georgetown Plaza to the crowdfunding world. This 150,097 square foot   Class B office building is  located on Wisconsin Avenue, Washington DC's major north-south artery and half a mile north of Georgetown University's main campus and Georgetown University Hospital. The primary objective of this investment crowdfunding campaign is to acquire, lease-up, and reposition the office building before reselling. In this crowdfunding transaction, Realty Mogul investors will hold a partnership equity stake in Realty Mogul 19, LLC.   Realty Mogul 19, LLC will subsequently invest in 2233 Wisconsin NY Member L
Post a Comment
Read more

Crowdfunding Accounting 101 - Revenue Recognition in Crowdfunding

By
A start-up using crowd funding to create a product is different from a normal company. The start-up has cash inflows from donations but does not have a product, yet. In this situation, we recommend using completed-contract method to recognize revenue. Under this way of thinking, we assume the start-up is akin to a project or a long-term contract. The crowdfunding company will find it difficult to estimate the revenue from crowdfunders and, hence, the cost of rewards or perks. Under International Financial Reporting Standards (IFRS) and GAAP guidelines, if the firm cannot reliably measure the outcome of the project, revenue should be recognized based on contract costs. These costs should be expensed when incurred. Profit is recognized only at the completion of the project. In summary, for crowdfunding companies, revenue, expense, and profit are recognized only when the crowdfunded product is actually manufactured. 1 For example, assume that AAA Corp. wants to manufacture bicyc
Post a Comment
Read more

Why we are so optimistic about crowdfunding for minorities

By
Dr. Mark Dean - On the IBM team that developed PC : "Mark E. Dean (born March 2, 1957) is an African American inventor and a computer engineer. He led the team that developed the ISA bus, and he led the design team responsible for creating the first one-gigahertz computer processor chip. Dean has also helped in the early development of the computer keyboard. He holds three of IBM's original nine PC patents." Jesse Russell , recognized father of digital cellular technology: "Jesse Eugene Russell (b April 26, 1948) is an African-American inventor and one of the visionaries’ whose innovative perspectives profoundly influenced the wireless communications industry, (a) driver of growth in the 21st century. Trained as an electrical engineer at Tennessee State University and Stanford University , and recognized globally as a thought-leader, technology expert and inventor in the field of wireless communication for over 20 years.." Emmitt McHenry , Founder of Ne
Post a Comment
Read more