Crowdfunding for environmental ventures: an empirical analysis of the influence of environmental orientation on the success of crowdfunding initiatives

•The literature on crowdfunding for environmental ventures is reviewed.•The statistical link between environmental orientation & funding success is tested.•No positive influence of environmental orientation on funding success is observed.•Theoretical explanations for the empirical findings are offered.•The article highlights how crowdfunding for the environment can be more successful.

The realisation of many environmental ventures requires funding from external parties, which is not always easy to obtain. Crowdfunding offers a new potential source of financing, which is frequently expected to favor environmentally oriented ventures. However, little is known if and how crowdfunding can be effectively used for such ventures. The article empirically examines this phenomenon by analysing how the environmental orientation of crowdfunding projects influences their likelihood of successful funding. Surprisingly, no positive connection between environmental orientation and crowdfunding success can be observed in the dataset used. Therefore, reasons for the relatively low rate of success of environmentally oriented crowdfunding projects are discussed and potential measures to assist in the more effective use of crowdfunding in the context of sustainability are suggested.

Graphical abstractCrowdfunding success by project category.Figure optionsDownload full-size imageDownload as PowerPoint slide