MEDICAL CROWDFUNDING MARKET SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2024-2031)

Medical Crowdfunding Market Size and Trends

Global medical crowdfunding market is estimated to be valued at USD 6.10 Bn in 2024 and is expected to reach USD 14.51 Bn by 2031, exhibiting a compound annual growth rate (CAGR) of 13.2% from 2024 to 2031.

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Global medical crowdfunding industry is witnessing positive trends due to growing financial needs for medical treatments. High cost of healthcare services and treatments accompanied with lack of universal healthcare forces many people to resort to crowdfunding for financial assistance. Raising funds through crowdfunding platforms helps cover uninsured medical costs or costs not covered by health insurance. The convenience and outreach of online crowdfunding campaigns allows patients to access funds from friends, family and wider communities to pay for medical bills.

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Insights By Type of Crowdfunding - Philanthropy and Generosity Drive Donation-Based Crowdfunding’s Dominance

In terms of type of crowdfunding, donation-based crowdfunding segment is estimated to contribute the highest market share of 42.1% in 2024, owing to inherent charitable motives of donors. Donation-based platforms allow people to contribute whatever they can afford without expecting anything in return. This appeals widely to human empathy and altruism. Many donors see it as a direct and impactful way of helping those in need without administrative or transaction costs eating away funds.

Insights By Application - Leveraging Personal Experience Drives Medical Expenses Segment

In terms of application, medical expenses segment is estimated to contribute the highest market share of 32.1% in 2024, as people can easily relate to the needs on personal level. They understand the tremendous costs involved and distress of dealing with the system alone. Crowdfunding makes it possible for individuals to reach out to their own network of family, friends and community for help.

Insights By Indication - Empathizing with Suffering Drives Donations for Cancer Treatment

In terms of indication, cancer segment is estimated to contribute the highest market share of 39.1% in 2024, as it affects many lives directly or indirectly. People are aware of the unpredictable and widespread suffering caused by various forms of this disease. Donors feel compelled to help those in crisis access every possible remedy even if costs are prohibitive.

Regional Insights

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Dominating Region- North America

North America dominates the medical crowdfunding market with an estimated market share of 37.3% in 2024, due to factors such as high penetration of internet and smartphones, ease of online donations, and reliance on crowdfunding platforms for medical funding. The region is also home to some of the leading medical crowdfunding platforms like GiveForward & MedGift in the U.S. that have established a strong presence over the years.

Fastest-Growing Region- Asia Pacific

Asia Pacific region exhibits the fastest growth due to large underinsured population faced with rising medical costs. Countries like China and India have shown a notable increase in campaign success rates as awareness about crowdfunding as an alternate source of funding spreads.

Medical Crowdfunding Market Outlook for Key Countries

U.S.’s Medical Crowdfunding Market Driven by Regulatory Support and Generational Shifts

The U.S. medical crowdfunding market growth is driven by enhanced regulatory support, with recent initiatives from the U.S. Federal Government for improving the legal framework for medical fundraising platforms. For instance, in February 2024, GoFundMe announced it had raised USD 30 billion since 2010, with 150 million users, as younger generations increasingly prefer crowdfunding over traditional charity donations.

U.K.- Rising Investment to Boost Clinical Trials and Medical Crowdfunding

The U.K. has witnessed rapid growth in online medical crowdfunding due to increased fundings. In August 2024, The U.K. government has secured up to USD 507 million in investment to boost clinical trials and accelerate patient access to innovative treatments. On August 28, 2024, the Association of the British Pharmaceutical Industry announced that the funding will be used to create 18 new clinical trial hubs across the U.K., enhancing research infrastructure and improving medicines manufacturing.

Japan- New campaign launches for Patient-Centered Improvements

Japan's medical crowdfunding market growth is driven by new crowdfunding campaign launches. For instance,

in September 2024, Toyama University Hospital launched a crowdfunding campaign to decorate its surgery corridor with cheerful murals to ease patient anxiety before surgery. The crowdfunding initiative was seen as the only viable option to enhance the patient experience.

Market Concentration and Competitive Landscape

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Top Strategies Followed by Global Medical Crowdfunding Market Players

• Established Players- Leading crowdfunding platforms, such as GoFundMe and YouCaring, have significantly enhanced their services through R&D investments aimed at improving user experience and platform accessibility. In September 2023, GoFundMe launched a new AI-driven feature that recommends personalized medical fundraising options, aiming to increase the success rate of medical campaigns.
• Mid-level crowdfunding platforms, such as Fundly and GiveForward, focus on offering budget-friendly services that cater to price-sensitive users. For instance, in April 2023, Fundly launched a feature to lower platform fees for medical campaigns, allowing more funds to go directly to the patients.
• Smaller players in the medical crowdfunding space, like Spotfund and MedStartr, focus on niche markets. MedStartr specializes in raising funds for medical innovations and startup healthcare companies. In June 2023, MedStartr launched a campaign to fund a novel diabetic treatment device, targeting a specific medical community and generating significant support.

Emerging Startups in the Global Medical Crowdfunding Market

Startups like Spotfund and MedStar uses innovative technologies to enhance medical crowdfunding. Spotfund integrated AI-powered donation targeting features in March 2023 to match medical campaigns with likely donors based on historical donation patterns. This innovation is expected to increase the success rates of campaigns by 30%.

Some emerging startups in medical crowdfunding, like MedStartr, focuses on sustainability by supporting environmentally friendly healthcare initiatives. In April 2023, MedStartr hosted a campaign to fund a green medical device manufacturing startup, encouraging eco-friendly products in healthcare.

Emerging startups like MedStartr target specific medical fields, such as rare diseases or innovative treatments. For example, in July 2023, MedStartr raised funds for a startup like CarThera, developing a treatment for rare pediatric cancers. This niche focus has helped connect specialized medical campaigns with a community of dedicated donors.

Medical Crowdfunding Industry News

• In October 2024, as per American Cancer Society (ACS) analysis, over one-third of U.S. medical fundraising stories on GoFundMe highlight financial hardships and health-related social needs (HRSNs). These included housing and food insecurities, income loss, and transportation barriers. The findings are published in journal of the American Medical Association (JAMA) Oncology.
• In October 2024, GoFundMe and Meta, an online crowdfunding platform, announced a new collaboration to enhance nonprofit fundraising through social media. Nonprofits using GoFundMe’s software, Classy, can now access improved sharing features on Instagram, with similar functions coming soon to Facebook. This integration aims to make it easier for donors and nonprofits to share causes and encourage giving. Research from GoFundMe reveals that half of Gen Z shares fundraisers weekly, and social media has inspired many to donate. With over US$ 8 billion raised for nonprofits on Instagram and Facebook, this integration offers nonprofits a powerful tool to reach a global audience.
• In October 2024, GoFundMe raised over US$ 110 million for relief efforts following Hurricanes Helene and Milton, which devastated communities across the U.S. Southeast in September and October 2024. More than 550,000 donors from over 130 countries contributed to the fundraisers. Nonprofits, including World Central Kitchen and The Salvation Army, raised more than US$ 36 million through GoFundMe's software, Classy, to support emergency relief, food, and water needs for affected communities.
• On December 8, 2021, MOWOOT, an EIT Health-supported start-up, launched a pan-European fundraising campaign aiming to raise USD 2.12 million to expand its global market reach. The campaign is hosted on two investment platforms: EIT Health's Aescuvest and the Spanish crowdfunding platform Capital Cell.

Key Takeaways from Analyst

• Global medical crowdfunding market growth is driven by rising healthcare costs and increased willingness from individuals and organizations to support medical causes. North America currently leads the market, but Asia Pacific, with its expanding population and growing middle class in countries like India and China, is projected to be the fastest-growing region. Challenges include lack of regulation, transparency issues, and concerns over data privacy. However, widespread use of smartphones and digital payment methods boosts adoption, while platforms focusing on better oversight and partnerships with healthcare providers and insurers offer promising growth opportunities.

Market Report Scope

Market Dynamics

Market Driver- Increasing healthcare costs leading to higher demand for financial assistance

Modern healthcare system has witnessed increase in the cost of medical procedures, treatments, and general healthcare expenses over the past few decades. For instance, according to Press Information Bureau, in October 2024, India's government health expenditure (GHE) increased from 1.13% of GDP in 2014-15 to 1.84% in 2021-22, reducing out-of-pocket expenses from 62.6% to 39.4%. This growth in healthcare spending, supported by initiatives like the National Health Mission, has improved accessibility and eased financial burdens on citizens. Rising social security spending on health supports the country’s move toward Universal Health Coverage (UHC).

Market Challenge- Regulatory challenges and lack of standardization in crowdfunding platforms

Major challenges faced by global medical crowdfunding industry includes lack of consistent regulations and standardization across various crowdfunding platforms. Different countries and regions have implemented varied laws and regulatory frameworks like, The Jobs Act (jumpstart our business startups act) to monitor the fundraising activities for medical treatments and expenses. This leads to confusion and complexities for donors as well as patients seeking cross-border crowding funding. Moreover, there are no set guidelines and standards for crowdfunding platforms to verify the identity of patients or ensure proper usage of collected funds.

Market Opportunity- Expansion of digital platforms facilitating easier access to crowdfunding

Major opportunities in the global medical crowdfunding market includes expansion of digital platforms that facilitate access to crowdfunding. With growing penetration of internet and smartphones, there is a continual surge in the number of people accessing crowdfunding campaigns online. Several new platforms are entering the market with user-friendly interfaces and payment options catering to varied customer segments. This enables patients from remote locations to create fundraising campaigns with just a few clicks and receive donations from a global donor network.

Key Stakeholders of Market

What growth in global medical crowdfunding market mean for different stakeholders?

Global medical crowdfunding market has multiple players with varied designations and offers multiple opportunities based on their scope of operations.

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Market Segmentation

•  Type of Crowdfunding Insights (Revenue, USD Bn, 2019 - 2031)
• • Donation-Based Crowdfunding
  • Reward-Based Crowdfunding
  • Equity-Based Crowdfunding
  • Debt-Based Crowdfunding
•  Application Insights (Revenue, USD Bn, 2019 - 2031)
• • Medical Expenses
  • Research Funding
  • Health Initiatives
  • Medical Equipment Purchase
•  Indication Insights (Revenue, USD Bn, 2019 - 2031)
• • Cancer
  • Neurological Disorders
  • Cardiovascular Diseases
  • Trauma
  • Others
•  End User Insights (Revenue, USD Bn, 2019 - 2031)
• • Patients
  • Non-Profit Organizations
  • Healthcare Institutions
  • Research Institutions
  • Others (Healthcare professionals)
• Regional Insights (Revenue, USD Bn, 2019 - 2031)
• • North America
    • U.S.
    • Canada
  • Latin America
    • Brazil
    • Argentina
    • Mexico
    • Rest of Latin America
  • Europe
    • Germany
    • U.K.
    • Spain
    • France
    • Italy
    • Russia
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • South Korea
    • ASEAN
    • Rest of Asia Pacific
  • Middle East
    • GCC Countries
    • Israel
    • Rest of Middle East
  • Africa
    • South Africa
    • North Africa
    • Central Africa
• Key Players Insights
  • GoFundMe
  • Impact Guru
  • Kickstarter
  • Indiegogo
  • Fundly
  • YouCaring
  • GiveForward
  • FundRazr
  • Ketto
  • Milaap
  • Classy
  • Crowdfunder
  • Crowdcube
  • MedGift
  • Plumfund