Search Results (11)

This study focused on investigating the factors that drive reward-based crowdfunding in Africa, particularly considering the increasing limitations that entrepreneurs face in accessing traditional financial resources globally, by analysing 215 crowdfunding projects from prominent platforms like Kickstarter, IndieGoGo, and Fundraised. The research aimed to identify the key drivers of crowdfunding success. The results from an econometric logistic regression analysis revealed that while images, longer campaign durations, and videos positively influenced crowdfunding, they did not significantly contribute to achieving success. In contrast, the number of backers showed a positive and significant impact on outcomes, whereas the targeted funding amount negatively influenced the success. Notably, the presence of spelling errors was found to have a positive, though statistically insignificant, relationship with crowdfunding success. These findings enhance the existing literature on crowdfunding and offer valuable insights into concepts such as information asymmetry and signalling theory within the context of reward-based crowdfunding. Full article

Crowdfunding nowadays has become a significant source of financing for all those entrepreneurs who require funds to start their operations, specifically for social ventures. Furthermore, determining what factors decide whether a project will successfully raise funds is a very relevant question. Past literature has examined various factors that influence fundraising success. Of these factors, information efficiency is the determinant of successful fundraising due to precise project descriptions and effective message delivery. Despite this fact, few studies have investigated how such project descriptions affect the success of crowdfunding campaigns, specifically sustainable projects. The present study tries to fill this gap by examining the relation between the length and readability of the crowdfunding project descriptions and the success rate for sustainable projects in a reward-based model. For the analysis, data were obtained from Kickstarter, the largest crowdfunding platform in the world, with a sample of 12,613 projects, employing a multiple logistic regression model. The results show that the word count and readability of the project descriptions are positively related to crowdfunding success. Furthermore, the analysis shows that using more words related to SDG keywords results in positive fundraising. Such insights reflect that good project descriptions are important for crowdfunding success and, on the theoretical level, provide practical value for project owners. Full article

This paper investigates points of vulnerability in the decisions made by backers and campaigners in crowdfund pledges in an attempt to facilitate a sustainable entrepreneurial ecosystem by increasing the rate of good projects being funded. In doing so, this research examines factors that contribute to the success or failure of crowdfunding campaign pledges using eXplainable AI methods (SHapley Additive exPlanations and Counterfactual Explanations). A dataset of completed Kickstarter campaigns was used to train two binary classifiers. The first model used textual features from the campaigns’ descriptions, and the second used categorical, numerical, and textual features. Findings identify textual terms, such as “stretch goals”, that convey both elements of risk and ambitiousness to be strongly correlated with success, contrary to transparent communications of risks that bring forward worries that would have otherwise remained dormant for backers. Short sentence length, in conjunction with high term complexity, is also associated with campaign success. We link the latter to signaling theory and the campaigners’ projection of knowledgeability of the domain. Certain numerical data, such as the project’s duration, frequency of post updates, and use of images, confirm previous links to campaign success. We enhance implications through the use of Counterfactual Explanations and generate actionable recommendations on how failed projects could become successful while proposing new policies, in the form of nudges, that shield backers from points of vulnerability. Full article

Stakeholders’ support is essential for the effective and successful implementation of policies that prioritize enhancing and preserving ocean and coastal ecosystems. However, cross-national studies examining factors influencing stakeholders’ policy support are still lacking. The current study aimed to provide preliminary evidence on factors (e.g., socio-demographic factors, country income levels, and perceived impacts of marine and coastal ecosystems) that affect stakeholders’ endorsement of a policy centered on preserving marine and coastal ecosystems. To conduct the study, we applied the Bayesian Mindsponge Framework (BMF) to a dataset of 709 stakeholders from 42 countries generated by MaCoBioS—a research project funded by the European Commission Horizon 2020. The BMF allowed us to adopt a distinctive and innovative approach to analyzing the data and drawing valuable policy development and implementation insights. The results show no differences in policy endorsement levels across stakeholders with different ages, education, and country income levels. However, female stakeholders tended to support the policy prioritizing ocean protection more than their male counterparts. Stakeholders perceiving the impacts of marine and coastal ecosystem preservation on human wellbeing, climate and weather, and climate change reduction also tended to support the policy more strongly. Meanwhile, the perceived impacts of ocean and coastal ecosystems on global and local economies had an ambiguous effect on stakeholders’ policy support. Based on these findings, we suggest that raising the awareness and knowledge of stakeholders can help improve their support for ocean and coastal preservation policies. Moreover, it is necessary to concentrate more on communicating the adverse consequences induced by the ocean and coastal ecosystems’ loss (e.g., climate change and health) and less on the economic aspects. The study underscores the significance of environmental education and awareness-raising campaigns in disseminating environmental information and cultivating an eco-surplus culture. This culture inspires stakeholders to actively participate in environmental conservation efforts, going beyond mere sustainability and aiming to create positive environmental impacts. Full article

When investing in blockchain-based crowdfunding campaigns, choosing the right one is difficult. Therefore, it is important to recognize success factors that express the value of the specific campaign. This study is aimed at determining the success factors impacting the investors’ decision to fund blockchain-based crowdfunding campaigns and ranking them according to their importance in decision-making. An online survey was employed to collect expert opinions. The modification of the visual analogue scale matrix for criteria weighting methodology called VASMA-L was presented in this study to rank the list of the predetermined factors. To reduce the uncertainties in the decision-making process and the cognitive overload of the survey respondents, all the predetermined success factors were split into two smaller groups and assessed as those that fit both traditional and blockchain-based crowdfunding models and those that are specific only to the blockchain-based crowdfunding model. The main findings disclose that the three factors with the highest VASMA weights are from the first group. This means that when selecting the specific crowdfunding campaign to invest in, investors use common factors rather than those specific to blockchain-based crowdfunding. Only investor preferences were chosen and analyzed for successful blockchain-based crowdfunding campaign investment in this research. The VASMA-L methodology might help compare several criteria groups and select the most important ones. In addition, this weighting methodology might help investors to choose the most thrilling blockchain-based crowdfunding campaigns to fund. Full article

This study seeks to address a research gap about the role of participatory governance as a success factor in successful equity crowdfunding (ECF) campaigns in the cultural heritage sector. The research stems from calls coming from both equity crowdfunding and cultural heritage research. Concerning equity crowdfunding research, academics have pointed out the need for more research on specific economic sectors and topics related to governance. Concerning cultural heritage and equity crowdfunding, our investigation is in line both with the calls for differentiation of funding schemes that could increase the financial resilience of cultural heritage organizations and with the academic and policy debate on the need to promote engagement and participation, also through participatory governance. Via QCA (Qualitative Comparative Analysis), this research investigates the peculiarities and success factors of equity crowdfunding for cultural heritage, with a special focus on participatory governance. The results indicate that ECF campaigns in this field can raise more funds than the targeted ones if they propose participatory governance schemes and enhance emotional and cultural heritage-related signals, thus differentiating ECF in cultural heritage from ECF in other sectors. Full article

Background: we aimed to characterize the financial needs expressed through online crowdfunding for urologic cancers. Methods: the data used in this study came from the online crowdfunding platform GoFundMe.com. Using an automated software method, we extracted data for campaigns related to urologic cancers. Subsequently, four independent investigators reviewed all extracted data on prostate, bladder, kidney and testicular cancer. We analyzed campaigns’ basic characteristics, goals, fundraising, type of treatment and factors associated with successful campaigns. Results: in total, we identified 2126 individual campaigns, which were related to direct treatment costs (34%), living expenses (17%) or both (48%). Median fundraising amounts were greatest for testicular cancer. Campaigns for both complementary and alternative medicine (CAM) (median $11,000) or CAM alone (median $8527) achieved higher fundraising totals compared with those for conventional treatments alone (median $5362) (p < 0.01). The number of social media shares was independently associated with campaign success and highest quartile of fundraising. Conclusions: using an automated web-based approach, we identified and characterized online crowdfunding for urologic cancer care. These findings indicated a diverse range of patient needs related to urologic care and factors related to campaigns’ success. Full article

Most cultural heritage projects strive in ensuring financial sustainability, mainly relying on public subsidies. At the same time, they lack fund management policies which directly affects their financial sustainability. European Union heritage policies focus on sustainability but after investments have been made, there are rare cases which can boast about it. A number of heritage funding mechanisms exist which are explained in this review paper, while the focus is on crowdfunding as an alternative mechanism. The study used literature review method based on PRISMA guidelines to analyze new trends and suitability of crowdfunding for cultural heritage projects, and to detect possible factors influencing its success. The purpose was to add to the existing knowledge while offering a systematic review which can be applied in practice. Findings indicate the trend of participatory approach to heritage, which is in line with the participatory nature of crowdfunding campaigns. Further, crowdfunding suitability for cultural heritage projects was confirmed while its success factors majorly depend on the policy framework, heritage project nature and management of the campaign itself. Full article

By using information technology, local governments can develop alternative forms of citizen engagement. Civic crowdfunding campaigns supported by online platforms enable citizens to participate financially in social projects and can be matched with government funding. As such, an alternative for subsidies seems to be developing. In this paper, we assess empirically the success of civic crowdfunding campaigns in the Netherlands by using data collected during 2018 from 269 civic crowdfunding projects and local demographic data from the neighborhoods of these projects. The factors—the use of match-funding, the target amount of money, and the theme of the project, as well as the age structure, the province, and the degree of urbanization of the neighborhood of the civic crowdfunding project—turn out to be empirically related to the success of a civic crowdfunding campaign. Full article

This study aims to determine the multi-sided factors of crowdfunding campaigns on the fundraising success of crowdfunding projects conducted in ASEAN-5 (five big countries in The Association of Southeast Asian Nations) countries between 2014 and January 2019 through a multi-theory approach. Using secondary and cross-section data from Kickstarter, this research uses the probit regression method to analyze the data and test the hypotheses. First, in line with the goal setting theory, small-sized projects are more likely to be funded. Second, the large teams are preferable by the potential backers, in line with the resource-based view of firms. Further, the self-determination theory shows that rewards are one of the big extrinsic motivations for the backers in ASEAN. Moreover, our paper also shows the remarkable result with the funding target which has negative influence to probability success of crowdfunding. This is because our project samples are used from the ASEAN countries whose owner or investor is more concerned to be risk averse than a risk taker. These results provide insight and bring a contribution to the crowdfunding literatures in ASEAN. Full article

The aim of this article is to verify the hypothesis that crowdfunding campaigns with sustainable orientations are significantly more likely to convince investors and successfully raise funds. The research covered 50 successful crowdfunding projects’ reward and equity-based models, which were pledged on Polish platforms, and analyzed the context of the campaigns. Basic statistical non-parametric tests were used to analyze the data. The study shows that although there were big differences in the amount of raised funds and achieved success rates, the sustainable orientation of the project itself was not so important. It is worth noticing that the level of realization of the objectives of sustainable development was really low, and was not highlighted in the description. This paper explores the relevant success factors of crowdfunding projects, which is very important in order to prepare new ideas for financing and attract the crowd as an investor. Full article