TY - JOUR
T1 - Promoting crowdfunding with lottery
T2 - The impact on campaign performance
AU - Du, Zhao
AU - Wang, Kanliang
AU - Li, Mengxiang
N1 - Funding Information:
This paper is supported by the National Natural Science Foundation of China (71901030, 71331007). It is also partially supported by the General Research Fund from Research Grants Council of the Hong Kong Special Administrative Region, China (12500118).
PY - 2019/12
Y1 - 2019/12
N2 - In recent years, some leading crowdfunding platforms initiated a new promotion instrument, the lottery option, to fundraisers. To gain insights into whether it is a wise decision or a harmful choice to promote crowdfunding campaigns with the lottery, we explore its impacts on crowdfunding performance using a unique dataset collected from Zhongchou.com. Based on our proposed multidimensional evaluation framework, we find that the lottery option is beneficial to the participation performance of crowdfunding campaigns. However, its impacts on the fundraising performance of crowdfunding campaigns are sophisticated. Furthermore, it has a cannibalization effect on the potential backers’ selection of existing types of options.
AB - In recent years, some leading crowdfunding platforms initiated a new promotion instrument, the lottery option, to fundraisers. To gain insights into whether it is a wise decision or a harmful choice to promote crowdfunding campaigns with the lottery, we explore its impacts on crowdfunding performance using a unique dataset collected from Zhongchou.com. Based on our proposed multidimensional evaluation framework, we find that the lottery option is beneficial to the participation performance of crowdfunding campaigns. However, its impacts on the fundraising performance of crowdfunding campaigns are sophisticated. Furthermore, it has a cannibalization effect on the potential backers’ selection of existing types of options.
KW - Cannibalization effect
KW - Crowdfunding
KW - Lottery option
KW - Promotion instrument
KW - Propensity score matching
UR - http://www.scopus.com/inward/record.url?scp=85065210989&partnerID=8YFLogxK
U2 - 10.1016/j.im.2019.04.002
DO - 10.1016/j.im.2019.04.002
M3 - Journal article
AN - SCOPUS:85065210989
SN - 0378-7206
VL - 56
JO - Information and Management
JF - Information and Management
IS - 8
M1 - 103159
ER -