What impacts crowdfunding awareness and intention to adopt it and use it? An analysis of regional differences in Zimbabwe.

This research investigates how crowdfunding awareness influences the intention to adopt and use crowdfunding in Zimbabwe, analysing regional differences. Given the economic challenges and limited credit access for SMEs in Zimbabwe, understanding the impact of crowdfunding awareness and intention is crucial. A survey was conducted, gathering data from a sample of 213 respondents via an online questionnaire. The findings indicate that subjective norms and economic education positively influence crowdfunding awareness. Attitudes towards crowdfunding are shaped by factors such as enjoyment, social trust, and perceived regulatory authority. Financial contribution intention is influenced by factors including financial contribution behaviour and age, with positive relationships found for enjoyment and financial contribution behaviour and a negative effect for age. However, fundraiser familiarity, subjective norms, awareness, self-efficacy, perceived IT infrastructure, and perceived regulatory infrastructure do not significantly impact financial contribution intention in Zimbabwe. Additionally, the study identifies regional differences in crowdfunding awareness, with higher awareness levels among urban residents than rural residents. Nevertheless, no significant disparities were observed in the intention to adopt and use crowdfunding between urban and rural residents

El impacto de los medios sociales y del e-WOM en el éxito de las campañas de crowdfunding basadas en recompensas

[EN] Crowdfunding (CF) is a financial tool that has faced an impressive growth over the past few years, and provides an alternative form of fundraising entrepreneurial projects. However, not all CF campaigns are successful in attracting the investors’ interest and obtaining the pledging goal. As CF is built over internet platforms, digital marketing strategies have been used to improve awareness and engage people to contribute with small amounts of money for a given CF campaign. Hence, this paper intends to study the effect of social media and electronic word of mouth (e-WOM) on the CF campaigns’ outcomes and whether these digital marketing strategies might influence the small investors’ decision to support or not a reward-based CF campaign. Using a sample of data from the second largest American reward-based CF platform (Indiegogo), we have applied the multiple OLS regression analysis, to assess the causal effect of various sets of variables in the success rate of a CF campaign. The findings show that social media and e-WOM strategies play a critical role and have a positive significant impact on a CF campaign.[ES] El Crowdfunding (CF) es un instrumento financiero que ha experimentado un crecimiento impresionante en los últimos años y ofrece una forma alternativa de captación de fondos para proyectos empresariales. Sin embargo, no todas las campañas de CF logran atraer la atención de los inversores y obtener el objetivo inicial de la campaña. Dado que las campañas de CF se construyen sobre plataformas de Internet, se han utilizado estrategias de comercialización digital para mejorar la concienciación y lograr que las personas contribuyan con pequeñas cantidades de dinero a una determinada campaña de CF. Por lo tanto, este documento tiene por objeto estudiar el efecto de los medios sociales y del boca a boca electrónico (e-WOM) en los resultados de las campañas de CF y si estas estrategias de comercialización digital podrían influir en la decisión de los pequeños inversores de apoyar o no una campaña de CF basada en la recompensa. Utilizando una muestra de datos de la segunda mayor plataforma americana de CF basada en la recompensa (Indiegogo), hemos aplicado el análisis de regresión de mínimos cuadrados ordinarios múltiples, para evaluar el efecto causal de varios conjuntos de variables en la tasa de éxito de una campaña de CF. Los resultados muestran que los medios sociales y las estrategias de e-WOM desempeñan un papel fundamental y tienen un impacto significativo positivo en una campaña de CF

Overcoming the Digital Divide: SMS-Powered Crowdfunding Models for Marginalized Regions

Crowdfunding literature primarily assumes the phenomenon as internet based. With the untapped potential of crowdfunding activities in marginalized regions, little is known of the viability of non-internet-based crowdfunding models in explaining crowdfunding success and how they compare with internet-based models. Non-internet-based crowdfunding models proliferate due to digital divide infringements. This research leverages fit-viability perspectives and crowdfunding literature to explain the significant differences in utilizing either model for crowdfunding. Based on our analysis, SMS-powered crowdfunding models offer a more equitable opportunity for success in terms of both social and economic readiness, as compared to internet-based models. We offer theoretical and practical implications to support our analysis

Intimate technologies for development: micro-philanthropy, crowdfunding platforms, and NGO fundraising in India

This thesis presents an account of my research on crowdfunding platforms and their nongovernmental organization (NGO) partners in India. The current era of increasing reliance on technological advancement pressures the international development sector to innovate and digitize its programs and aid delivery. Crowdfunding platforms evolved in this technological climate to fill certain gaps between individuals and social projects. NGOs are compelled to diversify and innovate their fundraising strategies to keep up with industry standards and appeal to wider networks of individual donors. The primary research question addressed in this thesis is whether new fundraising models like crowdfunding are changing the overall landscape of development aid and NGO practice, particularly in India. I also investigate the emergent popularity of crowdfunding platforms and what this discloses about the relationship between Indian ‘micro-philanthropists’ and local NGOs. I have comprised this thesis of nine chapters segmented into three broader sections: Section I – Premise, Section II – Platforms, and Section III – Peer-to-Peer Fundraising. Section I outlines the premise for my research, covering the methodology, Indian context, and theoretical framework. Through semi-structured interviews, I gathered data from 6 crowdfunding platforms and 25 NGOs, in addition to on-site observations and online analysis. I then introduce the Indian context for my research, as India is currently undergoing a dynamic period of technological, political, and social change. Section I concludes with the theoretical and conceptual framework for this thesis. I situate crowdfunding at the nexus of three major bodies of literature: philanthrocapitalism, ICT4D, and digital inequalities and affordances, as well as the sub-themes of brokerage, citizen aid, and social media. Section II focuses primarily on ethnographic data gathered from 6 crowdfunding platforms. I discuss international crowdfunding practices for NGO fundraising, focusing on interviews with US-based platform GlobalGiving and their sister organization GlobalGiving UK. I explore how crowdfunding differs from mainstream top-down aid practices, and what role it aims to play in NGO fundraising. I then introduce the 4 Indian platforms I researched - Impact Guru, Ketto, LetzChange, and Small Change – and analyze key differences between the Indian and international crowdfunding platforms. I discuss how platforms appeal to NGOs and seek to distinguish themselves from each other. This Section concludes with data collected from NGOs operating in India, the majority of which use the crowdfunding platforms I researched. Section III focuses on the intimate and interpersonal aspects of NGO crowdfunding in India. I first explore trust in the Indian giving sector by discussing historical practices of giving and the pervasive levels of distrust that mark the Indian NGO sector. I detail how crowdfunding platforms help local NGOs rebrand themselves through marketing that harnesses the ‘technological intimacies’ of their existing social capital and interpersonal connections through social media and digital communications practices. At the center of my analysis lies an exploration of the nature of digital divides and inequalities, examining peer-to-peer (P2P) fundraising models and exploring how Indian crowdfunding platforms aim to blend existing intimate social bonds with the leverage of new technologies like social media and WhatsApp. I conclude the thesis by discussing whether crowdfunding platforms have created anything truly ‘new’ or if they have simply evolved existing practices into digital spaces

The Impact of Social Media on The Success of Crowdfunding in Developing Countries

The use of online communities to garner monetary support for charitable organisations, cultural endeavours, innovative products, and business ideas is quickly becoming more widespread. However, empirical research on the main dynamics of crowdfunding is limited. To increase the number of funds for crowdfunding campaigns, it is crucial to promote and publicise them on social media platforms. This study investigates the impact of communication and connectivity on crowdfunding success. Despite the recent study that has been conducted on crowdfunding, there is still a knowledge vacuum on the aspects that contribute to the success of crowdfunding models. The research framework that was built as part of this study offers an in-depth analysis of the donation-based crowdfunding model as well as the aspects that contribute to its success. This study also provides guidance for fundraisers and policymakers to consider success factors when creating their funding comparing

The Value of Your Life by the Numbers Crowdfunded Medical Debt

For centuries, components of culture from Pacific Island States have been commodified in various forms of media within the cultural tourism industry. In recent years, though these media representations have shifted away from encouraging direct colonial exploitation, cultural tourism efforts still pose complicated questions about the amount of agency Polynesian individuals have how they are represented. While tourism is a significant sector of the economy in Pacific Islands Countries (PICs), it’s important to consider whether or not Polynesian people have the economic and social freedoms to influence how they share their culture rather than having it be offered up for colonial consumption. This paper will examine the economic and colonial histories of various PICs in order to understand what role tourism plays in Polynesian Island-State economies. Ultimately, while it significantly contributes to local economies and development work, cultural tourism often fails to offer individuals social and economic agency in sharing cultural elements

Crowdfunding projects : what makes project creators feel successful?

Ao longo dos últimos anos, o crowdfunding tem vindo a ganhar notoriedade enquanto ferramenta de financiamento alternativa aos métodos tradicionais, numa altura em que o empreendedorismo e as ideias inovadoras são cada vez mais uma fonte de criação de negócios. As campanhas de crowdfunding permitem uma aproximação entre o criador da ideia e os consumidores finais, levando a que estes últimos possam participar na transformação da ideia em realidade através de contribuições monetárias. O método mais popularizado é aquele em que, em troca de uma contribuição para o projeto, o contribuidor recebe uma recompensa, podendo esta ser, por exemplo, um exemplar do produto final, um agradecimento, um desconto. Além da evidente aproximação criador-consumidor final, são de salientar as vantagens inerentes a este tipo de interação: o produto é testado mesmo antes de ser produzido em grande escala, obtendo-se feedback e permitindo que sejam feitas melhorias ainda numa fase inicial; e ao fazer-se a apresentação da ideia/produto para apelar à contribuição monetária, comunica-se e publicita-se o produto, podendo este ganhar notoriedade. Associados a cada campanha existem objetivos definidos do seu criador, que podem passar apenas por atingir o objetivo monetário ou beneficiar também das outras vantagens inerentes. A avaliação de cada campanha depende sempre das expetativas pelo seu criador, e é este que a pode considerar ou não um sucesso.Over the last years, crowdfunding has been gaining visibility as an alternative financing tool in relation to traditional methods, in a time where entrepreneurship and new ideas are increasingly a means to create businesses. Crowdfunding campaigns make it possible to bring project creators and final consumers closer, giving these consumers the opportunity to participate in turning an idea into reality through monetary contributions. The most popular method is the one in which, in exchange for monetary contribution to the project, contributors receive a reward, which may be for example an article of the final product, an aknowledgement, or a discount. Besides the evident connection between creators and final consumers, it is important to point out other advantages associated with this type of interaction: the product is tested even before being produced on a large scale, being possible to obtain feedback and make improvements at an early stage; and when presenting the idea/product for raising monetary contributions, the product is disclosed and advertised, thus there is a chance of increasing the visibility of the product. Associated with every campaign, there are objectives defined by each creator, which may simply be achieving a monetary goal or also taking advantage of other inherent benefits. The assessment of each campaign always depends on the expectations of its creator, the person who is best able to decide whether or not it was actually successful

Joining the Crowd:The Impact of Social Information in Crowdfunding Campaigns

Philanthropic crowdfunding is an online funding method with a growing popularity. In this study we quantify the effects of information about the donation behavior of previous donors, also known as social information. We report results from a large natural field experiment among visitors (n = 23,676) of a crowdfunding platform advertising campaigns for artists and nonprofit organizations in the field of arts and culture. Visitors who were exposed to a reminder about the average donation amount of previous donors were not more likely to donate than visitors who were not exposed to this information. Neither did visitors who decided to donate give higher amounts

Reward crowdfunding campaigns: Time-to-success analysis

The time-to-success of reward crowdfunding campaigns constitutes a relevant topic that has been neglected in business literature. In this study, we employ parametric and semi-parametric models of survival analysis to identify the determining factors of the duration of success of these campaigns. Based on more than 4,200 reward crowdfunding campaigns, our results are robust for controls and reveal that the campaigns that attain success most rapidly are located predominantly in cities with greater income inequality. These are cities that are characterized by lower fundraising targets and receive a larger number of pledges. In addition, our covariates indicate a non-constant influence on time-to-success during the fundraising period.Fundação para a Ciência e Tecnologia (FCT