Crowdfunding in Numbers


(Naji Esiri) #1

(David Mathias) #2

It’s interesting to see most people tended towards nice round numbers.


(Nathan Voller) #3

Very surprised to see that almost half of the 1,861 previous investors didn’t invest in this round! But that means 5,528 new investors which is great news :thumbsup:

Well done :monzo:, now I’ll just patiently wait for the next crowdfunding round to try and get lucky…


(Kieran) #4

Either that or monzo/crowdcube had a bias in the investor selection process towards those with pledges of £10, £20, £50, £100, £200 £500 and £1000


(Bob) #5

Seriously? :pensive:


(Gareth) #6

I’d lean more toward people being bias toward round numbers or round share %.

Here’s some percentages:
13% invested the minimum £10
16% of pledgers were able to invest
26% invested the full £1000
34% invested up to the equivalent of equal share investment (£60)
36% invested £500+
49% invested <= £100
51% reinvested
60% invested £250 or less

The five highest chosen amounts were £1000, £100, £10, £50 & £500 making 71% of investments.


Crowdfunding (Upcoming 2018/19 Round) - Updates
(Ash) #7

Interesting that only 77% of investors have a monzo card … does that mean almost a quarter of the investors have never even used the product they are buying into, and are just out to make quick money for themselves from an investment opportunity?


#8

Basically, yeah. Or are in the queue.


(Alex Sherwood) #9

We don’t need to worry about that as we know the selection was set up to be 100% random -


#10

So those 23% are all going to get current accounts? I wonder if they know.


#11

They will be offered early access, up to them if they want it.


(Nick) #12

When is the next crowdfunding as i missed it last time?


Next opportunity to crowdfund?
#13

No date set yet, could be a while though.


(Parvez Hakim ) #14

Incredibly disappointed that I missed out on both rounds (I’m sure as with many).

I wished Monzo rewarded their loyal customers (early adopters, regular users of the card) to have an opportunity to invest.


(Gareth) #15

I’m with you, but here’s a few more numbers:

£1.9m or 78% of crowdfunding was raised by £1000 or £500 investors.
The 34% of investors (see above) raised £57k or 2%.

To have the security of raising a large enough amount from a few richer? people, there needs to be a limited pool (smaller than any definition of loyal customer).
You can’t say all 41k would want to invest a low (yet moderate) amount to let everyone invest, which might leave a shortfall. In fact it is also 34% that invested £10-£50 (less than the £2.5m/41k = £60).


(Naji Esiri) #16

We don’t have one planned anytime soon, but would really like to do another one at some point :slightly_smiling_face:

I agree to some extent, but having something first isn’t necessarily the benchmark for loyalty (think of all the people who couldn’t make it to our offices in London for the first early Alpha rollouts, but who would have loved to try Monzo out.) Giving priority to those who use the card more regularly makes similar assumptions that the most ‘loyal customers’ all have the same spending habits. There are plenty of reasons someone may wish to split their budget and monthly spend between their Monzo card and another account.

I don’t think it should be up to us who is ‘worthy’ of investing, which is why random selection seemed like the most democratic way to do this.


Next opportunity to crowdfund?
#17

Great explination there @Naji, I agree with everything there. Always good to see thibgs from a different perspective :raised_hands:


#18

also you can’t just judge loyalty on the number or value of transactions as that just judges a person’s financial wealth (be it earned or inherited). A person with a lot of transaction or high value transactions may not be loyal and could be spending ten times that amount thru a competitor. A loyal customer may have little disposable income and make few payments on their card as a result, but still be one of your biggest advocates. Issuing accounts or shares on a random basis is much fairer than making a judgement as to a customer’s worth


(Aaron Cattell) #19

Hey- does anyone know when the next round of investing will be open ?


(Bob) #20

The last round has recently completed. It will be some time before the next round. Unlikely to be this year but we’ll get plenty of notice when it occurs again.