PUBLISHER: The Business Research Company | PRODUCT CODE: 1428243
PUBLISHER: The Business Research Company | PRODUCT CODE: 1428243
Art crowdfunding involves securing financial contributions from supporters through online platforms to fund artistic projects such as exhibitions or theater productions. This method allows artists to engage with a broader audience, seeking financial backing for their creative initiatives.
The primary categories of art crowdfunding include 5% fee, 4% fee, 3% fee, and others. In the context of art crowdfunding, a 5% fee represents the percentage of the total funds raised that the crowdfunding platform charges for its services in facilitating and hosting the fundraising campaign. Crowdfunding within the realm of visual art, performing art, literary art, and other artistic endeavors can take various forms, including reward-based crowdfunding, donation-based crowdfunding, and equity crowdfunding. These platforms cater to a range of artistic applications such as films, music, stage shows, comics, journalism, publishing, museums, galleries, and more.
The art crowdfunding research report is one of a series of new reports from The Business Research Company that provides art crowdfunding market statistics, including the art crowdfunding industry's global market size, regional shares, competitors with art crowdfunding market share, detailed art crowdfunding market segments, market trends and opportunities, and any further data you may need to thrive in the art crowdfunding industry. This art crowdfunding market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The art crowdfunding market size has grown rapidly in recent years. It will grow from $1.7 billion in 2023 to $1.91 billion in 2024 at a compound annual growth rate (CAGR) of 12.3%. The historical period's growth can be ascribed to the rise of online crowdfunding platforms, increased internet and digital platform accessibility, the expansion of social media and online networking, the surge in independent artists and creators, and the desire for the democratization of art funding.
The art crowdfunding market size is expected to see rapid growth in the next few years. It will grow to $3.04 billion in 2028 at a compound annual growth rate (CAGR) of 12.3%. The anticipated growth in the forecast period can be credited to a cultural shift towards backing the arts, initiatives for art education and awareness, the establishment of secure online payment systems, the impact of art festivals and exhibitions, and the adoption of cryptocurrency for transactions in art crowdfunding. Noteworthy trends in the forecast period encompass the incorporation of blockchain for art authentication and provenance, the growing utilization of virtual reality (VR) and augmented reality (AR), collaborations between artists and crowdfunding platforms, advancements in payment technology and digital wallets, as well as the integration of artificial intelligence for personalized crowdfunding campaigns.
The projected growth in the art crowdfunding market is expected to be driven by the expansion of online art marketplaces. Online art marketplaces serve as digital platforms where artists can directly sell their artworks to buyers, providing a global audience for artists and a convenient space for art transactions. The growth of these online art marketplaces enables artists to showcase their ideas, engage with a worldwide community of art enthusiasts, and secure financial support from diverse backers, thus broadening funding options for artistic projects. For example, a report by Hiscox Ltd. in April 2023 indicated that online art sales reached $10.8 billion in 2022, marking a 6% increase from $10.2 billion in 2021. The online art market's share of total art sales in 2022 accounted for 15.9%. Consequently, the expansion of online art marketplaces is a driving force behind the growth of the art crowdfunding market.
The anticipated growth in the art crowdfunding market is expected to be fueled by the expanding education sector. The education sector, encompassing formalized processes of knowledge, skill, and cultural awareness dissemination, can leverage art crowdfunding in innovative ways to promote creativity, community engagement, and financial support for artistic pursuits. A report from the University of Technology Sydney in July 2023 revealed that secondary education attainment in the United States reached 28%, while the UK saw a 73.2% GCSE pass rate in 2022. In Australia, over 3.95 million students were enrolled in both public and private schools as of 2021. Consequently, the growing education sector plays a pivotal role in propelling the growth of the art crowdfunding market.
Product innovation is a prominent and increasingly popular trend in the crowdfunding market, with major players focusing their efforts on developing innovative products to fortify their market position. A noteworthy example is SideKick Finance, a UK-based online platform offering crowdfunding and marketing solutions, which introduced JumpStart in January 2023. JumpStart is a decentralized NFT (Non-Fungible Token) crowdfunding platform designed to empower investors and creators in realizing valuable ideas. This entirely decentralized self-service platform enables quick campaign launches using the strength and usability of NFTs. Covering various use cases such as gaming, art, music, charities, and more, JumpStart provides a robust, scalable, and highly interoperable crowdfunding platform.
Leading companies in the art crowdfunding market are actively pursuing initiatives, such as crowdfunding campaigns, to expand their customer bases, boost sales, and increase revenue. A crowdfunding campaign involves seeking financial support from numerous individuals or organizations, typically through online platforms. For instance, Lions & Rabbits Center for the Arts (LRCFA), a US-based art crowdfunding organization, initiated a crowdfunding campaign in September 2023 to activate spaces with public art. This endeavor actively engages the local economy by showcasing and promoting local artists, revitalizing businesses, and enhancing public spaces. The campaign supports four public art projects, including murals and installations, along with a vibrant vendor market space event featuring a block party. Contributions directly contribute to artist compensation, ensuring access to high-quality materials, providing necessary training, and ensuring that events offer entertainment and activities suitable for all age groups.
In June 2021, ArtSqaure.io Ltd., a UK-based software solutions provider for the artwork industry, acquired Feral Horses for an undisclosed amount. This strategic acquisition enables ArtSqaure.io Ltd. to incorporate new features, including a voting system for art owners to participate in decisions affecting the future of tokenized artworks and collectibles, an enhanced incentive system for active art investors, and an expanded user base in the EU zone for an art tokenization platform. Feral Horses is a UK-based art crowdfunding platform that simplifies the discovery, appreciation, and care of art.
Major companies operating in the art crowdfunding market report are Rockethub,Patreon Inc., Ulule, Indiegogo Inc., Pozible, GoFundMe LLC., Kickstarter PBC, Fundable LLC., Makuake Inc., Fundition Inc., Ketto, Razoo Inc., Wefunder, ArtLifting,Fundrazr, Crowdfunder Ltd., ArtistShare Inc., Seed&Spark Inc., Artboost, Wishberry Online Services Pvt. Ltd., CrowdBazaar Ltd., Makestar Inc., 22x Fund, Fanbook, FundDreamer, iFundWomen,Hatchfund, KissKissBankBank and Co., Fundly.
North America was the largest region in the art crowdfunding market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the art crowdfunding market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the art crowdfunding market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The art crowdfunding market includes revenues earned by entities through fundraising tools, payment processing, promotion and exposure, and analytics and insights. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Art Crowdfunding Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on art crowdfunding market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for art crowdfunding ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The art crowdfunding market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
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