An empirical investigation of repeated donations on crowdfunding platforms during COVID-19

Area of Science:

• Behavioral Economics
• Psychology
• Information Systems

Background:

• The COVID-19 pandemic significantly affected global economies and individual financial well-being.
• Crowdfunding platforms played a role during the pandemic, but understanding repeated donation behavior requires further investigation.
• While donations are studied, the specific impact of reward-based gamification on sustained giving during crises like COVID-19 remains underexplored.

Purpose of the Study:

• To investigate the role of reward-based gamification in promoting repeated donation behavior on crowdfunding platforms during the COVID-19 pandemic.
• To examine how social relatedness influences donors' intrinsic motivation and engagement, leading to repeated donations.
• To determine the moderating effect of reward-based gamification on the relationship between intrinsic motivation and repeated donation behavior.

Main Methods:

• Utilized self-determination theory to develop a conceptual framework.
• Collected cross-sectional data from 514 donors via survey instruments.
• Employed statistical analysis to test the proposed relationships and moderating effects, controlling for prior donation experience.

Main Results:

• Confirmed that social relatedness positively impacts donors' intrinsic motivation and engagement, driving repeated donation behavior.
• Established that reward-based gamification significantly moderates the link between intrinsic motivation and repeated donations.
• Found that the overall experience of donating on crowdfunding platforms influences users' propensity for repeated donations.

Conclusions:

• Social relatedness is a key driver of intrinsic motivation and engagement, crucial for fostering repeated donations.
• Reward-based gamification effectively enhances the impact of intrinsic motivation on sustained donor behavior.
• Leveraging gamification strategies and focusing on donor experience can optimize crowdfunding effectiveness, particularly in challenging economic periods like the COVID-19 pandemic.