Containing Multitudes: The Many Impacts of Kickstarter Funding

13 Pages Posted: 11 Jul 2016  

Ethan R. Mollick

University of Pennsylvania - Wharton School

Date Written: July 11, 2016

Abstract

Using a survey of 61,654 successful Kickstarter projects, I examined the various long-term impacts of crowdfunding. I found that every dollar given to projects via Kickstarter resulted in a mean of $2.46 in additional revenue outside of Kickstarter (95% Confidence Interval (CI): $1.82 to $3.09), though these amounts were much higher in categories such as food and product design and lower in film. From inception to May, 2015, Kickstarter projects resulted in around 5,135 ongoing fulltime jobs besides those that went to creators (95% CI: 1,188 to 9,082), and led to the hiring of around 160,425 temporary workers (95% CI: 145,330 to 175,518). Over 50% of projects were reported as being innovative by both backers and creators, and projects produced over 2,601 patent applications. Creators also reported significant positive impacts on their careers, and suggested that many projects helped a community or society in some way.

Keywords: crowdfunding, kickstarter, impace

Suggested Citation

Mollick, Ethan R., Containing Multitudes: The Many Impacts of Kickstarter Funding (July 11, 2016). Available at SSRN: https://ssrn.com/abstract=2808000

Ethan R. Mollick (Contact Author)

University of Pennsylvania - Wharton School ( email )

The Wharton School
Philadelphia, PA 19104-6370
United States

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