Location
Online
Event Website
https://hicss.hawaii.edu/
Start Date
3-1-2023 12:00 AM
End Date
7-1-2023 12:00 AM
Description
Crowdfunding projects depend on signalling to demonstrate authenticity. However, literature on signalling has focused on investment and reward crowdfunding with lesser emphasis on donation crowdfunding. This study adopts the signalling theory and bundling concepts to explore the impact of two validation mechanisms on donation crowdfunding outcomes. Drawing from the literature on bunding and signalling, we investigate the impact of a mixed product bundling strategy (community pot mechanism) and ideological bundling strategy (third-party signalling) on donation project success. Based on data from Mchanga.com, our findings indicate that the mixed product bundling strategy positively influences project amount of funds raised and backer support. However, we also find preliminary evidence indicating ideological bundling can have undesirable and contrasting effects on project outcomes. Implications and future work are also discussed.
Recommended Citation
Frimpong, Bright; Ayaburi, Emmanuel; Andoh-Baidoo, Francis; and Wang, Xuan, "Signalling in Donation Crowdfunding: The Role of Mixed Product and Ideological Bundling" (2023). Hawaii International Conference on System Sciences 2023 (HICSS-56). 12.
https://aisel.aisnet.org/hicss-56/in/crowd-based_platforms/12
Signalling in Donation Crowdfunding: The Role of Mixed Product and Ideological Bundling
Online
Crowdfunding projects depend on signalling to demonstrate authenticity. However, literature on signalling has focused on investment and reward crowdfunding with lesser emphasis on donation crowdfunding. This study adopts the signalling theory and bundling concepts to explore the impact of two validation mechanisms on donation crowdfunding outcomes. Drawing from the literature on bunding and signalling, we investigate the impact of a mixed product bundling strategy (community pot mechanism) and ideological bundling strategy (third-party signalling) on donation project success. Based on data from Mchanga.com, our findings indicate that the mixed product bundling strategy positively influences project amount of funds raised and backer support. However, we also find preliminary evidence indicating ideological bundling can have undesirable and contrasting effects on project outcomes. Implications and future work are also discussed.
https://aisel.aisnet.org/hicss-56/in/crowd-based_platforms/12