Reward crowdfunding campaigns: Time-to-success analysis

• Published in: Journal of business research Vol. 138; pp. 214 - 228
• Main Authors: Felipe, Israel José dos Santos, Mendes-Da-Silva, Wesley, Leal, Cristiana Cerqueira, Braun Santos, Danilo
• Format: Journal Article
• Language: English
• Published: Elsevier Inc 01.01.2022
• Subjects: Crowdfunding; Entrepreneurial finance; Financial innovation; Fintech; Survival analysis; Survival analysis; L26; C41; Crowdfunding; Entrepreneurial finance; Fintech; G41; I31; G32; Financial innovation; O31
• ISSN: 0148-2963; 1873-7978
• DOI: 10.1016/j.jbusres.2021.09.004

•We study time-to-success of reward crowdfunding campaigns.•We employ parametric and semi-parametric models of survival analysis.•We identify determining factors of how long success takes in these campaigns.•We use an unique dataset with more than 4200 reward crowdfunding campaigns.•Our results are new for time-to-success of reward crowdfunding campaigns literature. The time-to-success of reward crowdfunding campaigns constitutes a relevant topic that has been neglected in business literature. In this study, we employ parametric and semi-parametric models of survival analysis to identify the determining factors of the duration of success of these campaigns. Based on more than 4200 reward crowdfunding campaigns, our results are robust for controls and reveal that the campaigns that attain success most rapidly are located predominantly in cities with greater income inequality. These are cities that are characterized by lower fundraising targets and receive a larger number of pledges. In addition, our covariates indicate a non-constant influence on time-to-success during the fundraising period.