Effects of a Digital Medium in Multitask Online Referral Reward Programs: A General Evaluability Perspective

Multitask online referral reward programs (MT-ORRPs) represent a significant advancement in online user acquisition strategies, yet their effectiveness is often hampered by low participant engagement. This is primarily due to the increased cognitive and procedural effort required from referrers, which can deter participation despite the potential economic rewards. Extant literature has predominantly focused on traditional economic incentives, overlooking the pivotal role of the digital medium—non-monetary elements such as points and badges that track and visualize referral progress. This gap is critical, as the digital medium is an inherent feature of online platforms that can fundamentally alter referrers perception and behavior.

Grounded in general evaluability theory, this research investigates how the presence and design of a digital medium influence referrers’ intention. We posit that the digital medium enhances referral intention by increasing perceived decision evaluability, making the value proposition of participation more tangible. Furthermore, we hypothesize that for numerical digital media, a smaller (versus larger) numerical value presented to the referrer will lead to higher intention, as it creates a perception of easier task achievability. Finally, we propose that these effects are attenuated when the reward strategy is indifferent to the ultimate success of the referral, thereby reducing the medium’s diagnostic value. These hypotheses are empirically validated through three controlled experimental studies. The findings contribute to theory by delineating the mechanisms through which digital media operate in MT-ORRPs, moving beyond a purely economic perspective. For practice, this study provides actionable insights for optimizing the design of referral programs to enhance user engagement and program efficacy.