Location

Hilton Waikoloa Village, Hawaii

Event Website

http://www.hicss.hawaii.edu

Start Date

1-4-2017

End Date

1-7-2017

Description

Crowdfunding has become an important research area, but we know little about how rewards influence fundraising success. This research-in-progress studies reward-based crowdfunding through a behavioral-economics lens. We draw on dual-process theory and provide preliminary evidence for the middle-option bias in crowdfunding. Two empirical studies in a simple, controlled environment confirm the significance of the middle-option bias, both for varying numbers of donation options and for varying price ranges. Since our findings suggest that the positioning of rewards in a menu of rewards can influence support behavior and how much money project creators collect, they can inform the design of crowdfunding projects. Our future research will develop a mock crowdfunding website to study the middle-option bias in a more realistic environment.

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Jan 4th, 12:00 AM Jan 7th, 12:00 AM

Which Reward Should I Choose? Preliminary Evidence for the Middle-Option Bias in Reward-Based Crowdfunding

Hilton Waikoloa Village, Hawaii

Crowdfunding has become an important research area, but we know little about how rewards influence fundraising success. This research-in-progress studies reward-based crowdfunding through a behavioral-economics lens. We draw on dual-process theory and provide preliminary evidence for the middle-option bias in crowdfunding. Two empirical studies in a simple, controlled environment confirm the significance of the middle-option bias, both for varying numbers of donation options and for varying price ranges. Since our findings suggest that the positioning of rewards in a menu of rewards can influence support behavior and how much money project creators collect, they can inform the design of crowdfunding projects. Our future research will develop a mock crowdfunding website to study the middle-option bias in a more realistic environment.

https://aisel.aisnet.org/hicss-50/ks/crowd_science/5