Learning how to price intelligently on a reward-based crowdfunding platform

Abstract

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings This research paper concentrates on determining the optimal pricing strategy for a reward-based crowdfunding project. In most market scenarios an early-bird pricing strategy using only high quality rewards was found to be the optimal strategy for maximizing revenue and minimizing product development costs, in comparison with a versioning pricing strategy. A reasonable project funding goal figure should also be selected to avoid the project failing to reach its all-or-nothing target. Originality/value The briefing saves busy executives, strategists and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.