Success Factors in Reward based and Equity based Crowdfunding in Finland

8.2 Research Approach 
All data collection methods have their strengths and weaknesses. Qualitative data is 
in-depth and thorough, yet not easily generalizable. Quantitative data on the other 
hand is generalizable, but does not provide deep insights into why events occur. In 
order to balance out these weaknesses, the author uses triangulation. Triangulation 
utilizes several data collection methods to mitigate the shortcomings of a single meth-
od. (Grey, 2013) 

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Master’s Thesis 
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The author has chosen to complete the study with a cross-sectional approach, in which 
data is collected at one point in time (Grey, 2013). The data was collected with two 
collection methods – through descriptive and interpretive studies. 
Descriptive studies paint a picture of a phenomenon as it occurs. This approach pro-
vides a description of the phenomenon, although it cannot explain why an event has 
occurred. (Sandelowski, 2000) Interpretive studies on the other hand seek to utilize 
qualitative methods to explore people’s experiences and perspectives of these experi-
ences (Grey, 2013). By conducting a multi-method study the author aims to create 
both a more generalizable and an in-depth picture into crowdfunding success factors. 
8.2.1. Data From Online Sources
 
As a quantitative method, online data was collected from a crowdfunding platform 
called Kickstarter. Kickstarter is a platform that facilitates reward-based crowdfund-
ing globally. Kickstarter describes their impact on the crowdfunding market as fol-
lows: 
“Since our launch, on April 28, 2009, 10 million people have backed a project, $2.1 
billion has been pledged, and 97,774 projects have been successfully funded.” 
The creator of the initiative introduces the project and the goal of the crowdfunding 
on Kickstarter. They also set the duration and target amount for it. Kickstarter uses 
what is known as an “all or nothing” rule, meaning the transfer of funds is not execut-
ed if an initiative does not reach its minimum funding goal. For those that succeed in 
reaching their funding goal, Kickstarter takes a 5% facilitation fee.
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Kickstarter publishes statistics and data about crowdfunding done via their site. The 
author used this data for the descriptive study in this thesis.