Predicting the Success of Crowd-Funding Campaigns: A Thin Slice Approach

Abstract

This study investigates the accuracy of thin slice predictions in the context of entrepreneurial finance. First, I demonstrate that even very short exposures (30 seconds or less) to a video clip portraying an entrepreneur pitching her venture on a crowd funding portal may lead to relatively accurate estimates of her actual fundraising success. Second, I explore the role of stereotypes in the formation of accurate thin slice judgments, a research topic largely unexplored and called for by the prior literature.

Keywords: Crowd-Funding, Thin Slice Predictions, Stereotypes, Entrepreneurial Finance, Rapid Decision-Making, Non-Verbal Communication

JEL Classification: M13