Crowdfunding is a rapidly growing industry. Below, we explore key statistics including the average raise sizes, the impact marketing has on average raise, and the underlying demographics driving crowdfunding.
Key Crowdfunding Statistics
Smaller Goals are More Attainable
- Average successful crowdfunding campaign is around $7,000
- Average campaign lasts around 9 weeks
- Campaigns that can gain 30% of their goal within the first week are more likely to succeed
Marketing Drives Raises
- There is a direct correlation between the number of outside links to a crowdfund and the success of the fundraise.
- Social Media is a critical factor in crowdfunding success: for every order of magnitude increase in Facebook friends (10, 100, 1000), the probability of success increases drastically (from 9%-, 20%, to 40%)
Demographics of the Crowd
In mid-2012, the American Dream Composite Index surveyed a sample of the U.S. population to establish demographics for general crowdfunding participants.
- Age. Individuals ages 24-35 are much more likely to participate in crowdfunding campaigns; those over 45 are significantly less likely to back campaigns
- Gender. Men are much more likely to take a risk on an unknown startup
- Income. Those earning over $100,000 per year are the most likely to invest in startups through crowdfunding