Communication Style in Medical Crowdfunding: Effect of Emotional Framing and Updates Frequency on Funding and Emotional Support

Despite the rise of medical crowdfunding and its benefits to patients including reducing financial hardships and providing emotional social support, limited attention has been paid to how a campaign organizer can drive performance. In this study, we investigate how the communication style used in a medical crowdfunding campaign can affect both the funding performance and emotional support received. We find that emotional framing and frequent updates have a positive effect on funding and emotional support and discuss the implications

Donor Retention in Online Crowdfunding Communities: A Case Study of DonorsChoose.org

Online crowdfunding platforms like DonorsChoose.org and Kickstarter allow specific projects to get funded by targeted contributions from a large number of people. Critical for the success of crowdfunding communities is recruitment and continued engagement of donors. With donor attrition rates above 70%, a significant challenge for online crowdfunding platforms as well as traditional offline non-profit organizations is the problem of donor retention. We present a large-scale study of millions of donors and donations on DonorsChoose.org, a crowdfunding platform for education projects. Studying an online crowdfunding platform allows for an unprecedented detailed view of how people direct their donations. We explore various factors impacting donor retention which allows us to identify different groups of donors and quantify their propensity to return for subsequent donations. We find that donors are more likely to return if they had a positive interaction with the receiver of the donation. We also show that this includes appropriate and timely recognition of their support as well as detailed communication of their impact. Finally, we discuss how our findings could inform steps to improve donor retention in crowdfunding communities and non-profit organizations.Comment: preprint version of WWW 2015 pape

Crowdfunding campaigns: Perceived quality and success. A pitch video assessment

Research in Crowdfunding is an emerging priority within the field of Entrepreneurship. Hundreds of platforms provide nowadays multiple Crowdfunding schemes which are intended to make it easier for entrepreneurs and others to collect money from the crowd. However, only a few campaigns become successful as others don’t reach the pre-established funding goal. It is thus necessary to keep on understanding the dynamics of these platforms and the factors which justify success. The asymmetry of information has been shown to be a delicate issue as people perceive quality in different manners. As so, this research aims to understand which components of perceived quality mostly influence investments decisions. Mainly Entrepreneurship and Marketing theories were explored along the way. This is research follows a causal approach where nineteen hypotheses are tested. An experimental survey was conducted and data was collected from 127 people who were asked to evaluate one of the most important pieces of any Crowdfunding campaign – the pitch video – and consequently invest on the presented products

Go crowdfund yourself: some unintended consequences of crowdfunding for documentary film and industry in the U.K.

No abstract available

Equity crowdfunding, shareholder structures, and firm performance

This is the author accepted manuscript. The final version is available from Wiley via the DOI in this record.Research question/issue: This paper provides a first-time glimpse into the postcampaign financial and innovative performance of equity-crowdfunded (ECF) and matched nonequity-crowdfunded (NECF) firms. We further investigate how direct and nominee shareholder structures in ECF firms are associated with firm performance. Research findings/insights: We find that ECF firms have 8.5 times higher failure rates than matched NECF firms. However, 3.4 times more ECF firms have patent applications than matched NECF firms. Within the group of ECF firms, we find that ECF firms financed through a nominee structure make smaller losses, whereas ECF firms financed through a direct shareholder structure have more new patent applications, including foreign patent applications. Theoretical/academic implications: Our findings suggest that there are important adverse selection issues on equity crowdfunding platforms, although these platforms also serve as a catalyst for innovative activities. Moreover, our findings suggest that there is a more complex relationship between dispersed versus concentrated crowd shareholders and firm performance than currently assumed in the literature. Practitioner/policy implications: For policy makers and crowdfunding platforms, investor protection against adverse selection will be important to ensure the sustainability of equity crowdfunding markets. For entrepreneurs and crowd investors, our study highlights how equity crowdfunding and the adopted shareholder structure relate to short-term firm performance.Research Foundation—Flander

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

Successful Features of Crowdfunding Campaigns: An Analysis of Requests for Coronavirus Food Relief

Crowdfunding is an emerging industry in the past decades, which proliferates and has attracted an enormous population from the public to be involved in various funding projects in multiple fields such as business entrepreneurship, healthcare, and fintech. Meanwhile, charitable crowdfunding platforms such as GoFundMe, Indiegogo, and Kickstarter have allowed internet users to provide help and donation to the fundraisers directly. As the year 2020 is surrounded by the COVID-19 global pandemic spreading out the world, the topic of coronavirus relief has surged. Thus, it is worthy of evaluating the crowdfunding campaign\u27s effectiveness during the coronavirus context by making a connection between fundraising activities and coronavirus relief. This paper aims to investigate the effects of various factors affecting a donation-based crowdfunding campaign for coronavirus relief of food donation in the United States and determine the significant factors affecting the campaign\u27s success rate. To achieve this research purpose, secondary data were extensively collected from the crowdfunding platform GoFundMe for regression analysis. The sample data was derived from crowdfunding campaigns launched from March 1st, 2020, to May 31st, 2020. During this period, the United States was severely affected by the COVID-19 pandemic with an exponentially surged number of confirmed cases. This paper derives the independent variables that have been examined from previous studies and further applies in the coronavirus context to identify whether these factors are significant influencers to the success of crowdfunding campaigns for coronavirus relief of food donation. The factors being examined include target funding amount, the existence of spelling mistakes, the presence of pictures, video, social network sites, project updates, comments between fundraisers and backers, and links to external websites. That the significant factors contributing to a successful funding project are similar, as identified in previous reward-based and equity crowdfunding studies. On the other hand, several independent variables\u27 effectiveness varied between the normal scenario and the coronavirus context, as such variables demonstrate a much compelling role to attract donors for the coronavirus relief activations. The analysis is valuable and worthy of different viewpoints. First, understanding the donor\u27s motivation and the success features of funding projects is valuable for fundraisers to have a strategic mindset for decision-making criteria when initiating funding projects to attract more donors and the amount of money. Second, because of the lack of literature focusing on examining the success features for donation-based crowdfunding campaigns, this study fills the gap and further focus on the crowdfunding activations in the context of coronavirus food relief in the US. Therefore, this study provides significant insight to understand the dynamics of the donation-based crowdfunding campaign and provides a recommendation to develop coronavirus relief more efficiently

Co-creation, Failure Learning, and Relaunch Success: Evidence from Online Crowdfunding Market

With intense competition and relatively inexperienced founders, the crowdfunding market has reported high failure rates. However, the IT components of the crowdfunding market provide entrepreneurs with more opportunities for experimentation and trial, leading to a new phenomenon of post-failure relaunches. Research into campaign relaunch success is urgently needed but under-researched. By combining failure learning theory with a collective perspective, the present study examines how investors\u27 co-creation, in terms of advocacy and feedback, can benefit crowdfunding relaunch success directly or indirectly (by motivating founders\u27 failure learning). The study tested the proposed mediation model with 1,902 failure-relaunched Kickstarter campaigns, with most hypotheses supported. Furthermore, the study explores the role of the time interval between crowdfunding relaunch and prior release. The findings indicate that an increased time interval enhances the positive effects of founders\u27 learning efforts on relaunch success while attenuating the potential positive effects of investors\u27 advocacy, implying a tradeoff in timing decisions

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

Advances in Crowdfunding: Research and Practice

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