Market Insights Financial Capital Raising Digital Capital Raising

Crowdinvesting - Southern Europe

Southern Europe

The total transaction value in the Crowdinvesting market in Southern Europe is forecasted to reach €89.60m in 2024.
When compared globally, it is evident that the United Kingdom leads with a transaction value of €558m in 2024.
In Southern Europe, Crowdinvesting platforms in Spain are gaining popularity among small businesses for capital raising opportunities.

Key regions: Europe, Australia, Brazil, China, Israel

Mercado

Región

Comparación de regiones

Moneda

Analyst Opinion

Crowdinvesting, also known as equity crowdfunding, is a growing trend in the financial market. It allows individuals to invest in early-stage companies and startups in exchange for equity.

In Southern Europe, the crowdinvesting market has been steadily developing, driven by customer preferences, local special circumstances, and underlying macroeconomic factors. Customer preferences in Southern Europe have played a significant role in the growth of the crowdinvesting market. Investors in this region are increasingly looking for alternative investment opportunities that offer higher returns compared to traditional investment options.

Crowdinvesting provides them with a chance to invest in innovative startups and potentially benefit from their success. Additionally, the ease of online platforms and the ability to invest smaller amounts of money have made crowdinvesting more accessible to a wider range of investors in Southern Europe. Trends in the crowdinvesting market in Southern Europe reflect the overall global trend of increased interest in startups and entrepreneurship.

The region has seen a rise in the number of startups and entrepreneurial initiatives, particularly in technology and innovation sectors. This has created a demand for funding, which crowdinvesting platforms have been able to fulfill. The market has also witnessed a shift towards sector-specific crowdinvesting platforms, catering to the specific needs of investors and startups in industries such as renewable energy, real estate, and healthcare.

Local special circumstances have also contributed to the development of the crowdinvesting market in Southern Europe. The region has a strong entrepreneurial culture, with a high number of individuals starting their own businesses. However, traditional funding options, such as bank loans, have become more difficult to access in recent years due to economic challenges.

Crowdinvesting has emerged as an alternative source of funding for startups and small businesses, allowing them to access capital and grow their ventures. Underlying macroeconomic factors have played a crucial role in shaping the crowdinvesting market in Southern Europe. The region has experienced economic volatility in the past decade, with countries like Spain, Italy, and Greece facing financial crises.

This has led to a decline in traditional funding options and increased the need for alternative financing solutions. Crowdinvesting has filled this gap by providing a platform for investors and entrepreneurs to connect and support each other. In conclusion, the crowdinvesting market in Southern Europe is developing due to customer preferences for alternative investments, trends in the startup ecosystem, local special circumstances, and underlying macroeconomic factors.

As the market continues to grow, it is expected to play a significant role in supporting the growth of startups and small businesses in the region.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on transaction values / revenues / assets under management and user data of relevant services and products offered within the FinTech market.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending, population, internet penetration, smartphone penetration, credit card penetration, and online banking penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.