An Empirical Study into the Field of Crowdfunding

Purpose: The purpose of the master thesis is to describe and analyze the financing phenomenon crowdfunding and investigate the relation among the crowdfunder, the project creator and the crowdfunding website. Methodology: Case studies based on three crowdfunding websites including IndieGoGo, Kickstarter and SellaBand, nine crowdfunding projects derive from the three websites and forty-five crowdfunders. Structured interviews are with crowdfunders and project creators. Conclusions: There are some developments of crowdfunding websites in terms of business model. IndieGoGo and SellaBand have already expanded its crowdfunding circle and upgraded its crowdfunding business model through adding more functions on the website and incorporating the external partnership into initial model. Moreover, the partnership is an important tool in the promotion of crowdfunding. Secondly, there are five motivations of crowdfunders including (1) the opportunity to support an attractive idea or the producer they know; (2) the altruistic intentions for funding the project; (3) the opportunity to help others realize dreams; (4) the reward-oriented intentions of crowdfunders; and (5) the reciprocity and cross investment between project creators and crowdfunders