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Don't Wait!: How Timing Affects Coordination of Crowdfunding Donations

Authors:

Rick WashAuthors Info & Claims

CSCW '15: Proceedings of the 18th ACM Conference on Computer Supported Cooperative Work & Social Computing

Pages 547 - 556

https://doi.org/10.1145/2675133.2675296

Published: 28 February 2015 Publication History

Abstract

Crowdfunding sites often impose deadlines for projects to receive their requested funds. This deadline structure creates a difficult decision for potential donors. Donors can donate early to a project to help it reach its goal and to signal to other donors that the project is worthwhile. But donors may also want to wait for a similar signal from others. We conduct an experimental simulation of a crowdfunding website to explore how potential donors to projects make this decision. We find evidence for both strategies in our experiment; some donate early while others wait till the last second. However, we also find that making an early donation is usually a better strategy for donors because the amount of donations made early in a project's campaign is often the only difference between that project being funded or not. This finding suggests that crowdfunding sites need to develop designs, policies and incentives that encourage people to make immediate donations so that the site can most efficiently fund projects.

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Cited By

Yin ZHuang GZhao RWang SShang WHan CYang M(2024)Information disclosure and funding success of green crowdfunding campaigns: a study on GoFundMeFinancial Innovation10.1186/s40854-024-00666-810:1Online publication date: 18-Nov-2024
https://doi.org/10.1186/s40854-024-00666-8
Daniel JCurley CWalk M(2024)Message (in)congruence: Tweeting while competing for donationsCommunication and the Public10.1177/205704732312248229:1(69-83)Online publication date: 30-Jan-2024
https://doi.org/10.1177/20570473231224822
Shao QCheung MHuang J(2024)Strategic Pricing and Information Disclosure in CrowdfundingIEEE/ACM Transactions on Networking10.1109/TNET.2024.337474832:4(2988-3001)Online publication date: Aug-2024
https://doi.org/10.1109/TNET.2024.3374748
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Index Terms

Don't Wait!: How Timing Affects Coordination of Crowdfunding Donations
1. Human-centered computing

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cover image ACM Conferences

CSCW '15: Proceedings of the 18th ACM Conference on Computer Supported Cooperative Work & Social Computing

February 2015

1956 pages

ISBN:9781450329224

DOI:10.1145/2675133

General Chairs:
Dan Cosley
Cornell University, USA
,
Andrea Forte
Drexel University, USA
,
Program Chairs:
Luigina Ciolfi
Sheffield Hallam University, UK
,
David McDonald
University of Washington, USA

Copyright © 2015 ACM.

Permission to make digital or hard copies of all or part of this work for personal or classroom use is granted without fee provided that copies are not made or distributed for profit or commercial advantage and that copies bear this notice and the full citation on the first page. Copyrights for components of this work owned by others than the author(s) must be honored. Abstracting with credit is permitted. To copy otherwise, or republish, to post on servers or to redistribute to lists, requires prior specific permission and/or a fee. Request permissions from [email protected].

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SIGCHI: ACM Special Interest Group on Computer-Human Interaction

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Association for Computing Machinery

New York, NY, United States

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Published: 28 February 2015

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crowdfunding

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National Science Foundation

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CSCW '15

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SIGCHI

CSCW '15: Computer Supported Cooperative Work and Social Computing

March 14 - 18, 2015

BC, Vancouver, Canada

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CSCW '15 Paper Acceptance Rate 161 of 575 submissions, 28%;

Overall Acceptance Rate 2,235 of 8,521 submissions, 26%

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October 18 - 22, 2025

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Cited By

Yin ZHuang GZhao RWang SShang WHan CYang M(2024)Information disclosure and funding success of green crowdfunding campaigns: a study on GoFundMeFinancial Innovation10.1186/s40854-024-00666-810:1Online publication date: 18-Nov-2024
https://doi.org/10.1186/s40854-024-00666-8
Daniel JCurley CWalk M(2024)Message (in)congruence: Tweeting while competing for donationsCommunication and the Public10.1177/205704732312248229:1(69-83)Online publication date: 30-Jan-2024
https://doi.org/10.1177/20570473231224822
Shao QCheung MHuang J(2024)Strategic Pricing and Information Disclosure in CrowdfundingIEEE/ACM Transactions on Networking10.1109/TNET.2024.337474832:4(2988-3001)Online publication date: Aug-2024
https://doi.org/10.1109/TNET.2024.3374748
Liu XZhao NZhang MCui X(2024)Consequences of donors’ trust toward project-related information: Impact on charitable crowdfunding propagation in social networksJournal of Data, Information and Management10.1007/s42488-024-00113-46:1(51-64)Online publication date: 29-Jan-2024
https://doi.org/10.1007/s42488-024-00113-4
Zhang XTao XJi BWang RSörensen S(2023)The Success of Cancer Crowdfunding Campaigns: Project and Text AnalysisJournal of Medical Internet Research10.2196/4419725(e44197)Online publication date: 3-Mar-2023
https://doi.org/10.2196/44197
Shi YWu C(2023)The influencing factor model and empirical research of TikTok charity live streaming impact users’ online charitable donationPLOS ONE10.1371/journal.pone.029418618:11(e0294186)Online publication date: 13-Nov-2023
https://doi.org/10.1371/journal.pone.0294186
Lee SShafqat WKim H(2022)Backers Beware: Characteristics and Detection of Fraudulent Crowdfunding CampaignsSensors10.3390/s2219767722:19(7677)Online publication date: 10-Oct-2022
https://doi.org/10.3390/s22197677
Xue FZhou L(2022)Understanding social influence in Facebook fundraising: Relationship strength, immediacy of needs, and number of donationsJournal of Philanthropy and Marketing10.1002/nvsm.1749Online publication date: 21-Mar-2022
https://doi.org/10.1002/nvsm.1749
Huang ZOuyang JHuang XYang YLin L(2021)Explaining Donation Behavior in Medical Crowdfunding in Social MediaSage Open10.1177/2158244021101452011:2Online publication date: 30-Apr-2021
https://doi.org/10.1177/21582440211014520
Petit AWirtz P(2021)Experts in the crowd and their influence on herding in reward-based crowdfunding of cultural projectsSmall Business Economics10.1007/s11187-020-00424-xOnline publication date: 25-Feb-2021
https://doi.org/10.1007/s11187-020-00424-x
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