PhD Study : Post campaign performance of reward-based crowdfunded business ventures: a UK study

Summary

Background: Crowdfunding has become an increasingly important alternative financing method for start-ups and small entrepreneurial business ventures in recent years. In Europe alone, this market grew by 36% in 2017 from €7.67billion to €10.44billion, with the UK accounting for 68% of total volume growth (Ziegler et al., 2019). Unsurprisingly, this growth has attracted much scholarly attention. To date, much of the published research in this domain has concentrated on the performance of crowdfunding campaigns.

Resultantly, the factors that influence campaign success across the various models are now at least partially known and include campaign attributes, crowdfunder characteristics and crowdfunding platform related factors (Kaartemo, 2017). However, knowledge relative to the post campaign phase and the performance of crowdfunded ventures over the longer-term remains limited (i.e. what happens after a successful campaign?), despite several calls for further research (Pollack et al., 2019; Short et al., 2017; McKenny et al, 2017; Macht and Weatherston, 2015).

The existing research in this area focuses primarily on exploring the post campaign scenarios and determinants in equity based crowdfunded firms (Eldridge et al 2019; Hornuf et al, 2018; Signori and Vismara, 2018; Walthoff-Borm et al., 2018). Only a handful of studies have investigated the longer-term performance of reward based crowdfunded ventures and these have mainly focused on the implications for follow-on-funding, in the US context (Mollick et al., 2014; Drover et al., 2017; Roma et al., 2017). However, it is well established that crowdfunding and reward-based crowdfunding in particular, can be an important value-enhancing tool in itself, capable of influencing various functional areas including research and development, marketing, operations and management.

Engagement with reward-based crowdfunding thereby, offers important learning opportunities for entrepreneurs and the potential benefits from engagement are likely to have longer-term consequences for the entrepreneurs and their associated business ventures. Thus, impacting their overall operations and ability to transition into a viable business venture, which is the ultimate goal of any entrepreneurial financing approach. Therefore, the longer-term performance of reward-based crowdfunded ventures in the UK context, remains an under investigated area.

Scope: This research study will seek to fulfil this gap and aims to examine the post campaign performance of reward based crowdfunded business ventures in the UK context. Adopting a mixed methodology, it will seek to address the following objectives:

i)Investigate the longer-term outcomes of reward based crowdfunded business ventures in the UK

ii)Identify the key factors that influence the longer-term performance (successes and failures) of reward based crowdfunded business ventures

Contributions: The research will 1) offer practical managerial recommendations for nascent entrepreneurial business ventures on how best to leverage crowdfunding to support growth and development, 2) provide practical recommendations for crowdfunding platforms regarding the creation of purposeful ecosystems that support firms in leveraging crowdfunding inputs over the medium to long-term and 3) provide policy recommendations for cost-effective complementary support mechanisms aimed at improving the performance of crowdfunded firms, which will play a critical role in driving economic recovery post COVID-19.

Essential criteria

Applicants should hold, or expect to obtain, a First or Upper Second Class Honours Degree in a subject relevant to the proposed area of study.

We may also consider applications from those who hold equivalent qualifications, for example, a Lower Second Class Honours Degree plus a Master’s Degree with Distinction.

In exceptional circumstances, the University may consider a portfolio of evidence from applicants who have appropriate professional experience which is equivalent to the learning outcomes of an Honours degree in lieu of academic qualifications.

• A comprehensive and articulate personal statement
• Research proposal of 2000 words detailing aims, objectives, milestones and methodology of the project

Desirable Criteria

If the University receives a large number of applicants for the project, the following desirable criteria may be applied to shortlist applicants for interview.

• First Class Honours (1st) Degree
• Masters at 70%

Funding and eligibility

The University offers the following levels of support:

Vice Chancellors Research Studentship (VCRS)

The following scholarship options are available to applicants worldwide:

• Full Award: (full-time tuition fees + £19,000 (tbc))
• Part Award: (full-time tuition fees + £9,500)
• Fees Only Award: (full-time tuition fees)

These scholarships will cover full-time PhD tuition fees for three years (subject to satisfactory academic performance) and will provide a £900 per annum research training support grant (RTSG) to help support the PhD researcher.

Applicants who already hold a doctoral degree or who have been registered on a programme of research leading to the award of a doctoral degree on a full-time basis for more than one year (or part-time equivalent) are NOT eligible to apply for an award.

Please note: you will automatically be entered into the competition for the Full Award, unless you state otherwise in your application.

Department for the Economy (DFE)

The scholarship will cover tuition fees at the Home rate and a maintenance allowance of £19,000 (tbc) per annum for three years (subject to satisfactory academic performance).

This scholarship also comes with £900 per annum for three years as a research training support grant (RTSG) allocation to help support the PhD researcher.

• Candidates with pre-settled or settled status under the EU Settlement Scheme, who also satisfy a three year residency requirement in the UK prior to the start of the course for which a Studentship is held MAY receive a Studentship covering fees and maintenance.
• Republic of Ireland (ROI) nationals who satisfy three years’ residency in the UK prior to the start of the course MAY receive a Studentship covering fees and maintenance (ROI nationals don’t need to have pre-settled or settled status under the EU Settlement Scheme to qualify).
• Other non-ROI EU applicants are ‘International’ are not eligible for this source of funding.
• Applicants who already hold a doctoral degree or who have been registered on a programme of research leading to the award of a doctoral degree on a full-time basis for more than one year (or part-time equivalent) are NOT eligible to apply for an award.

Due consideration should be given to financing your studies. Further information on cost of living