Journal Archive

Donation-based crowdfunding platforms have become integral to modern philanthropy, transforming the way individuals and organizations seek and offer financial support for charitable causes. Crowdfunding platforms empower individuals to engage in philanthropy. They democratize giving by allowing donors to choose the causes they are passionate about and directly support them[8]. This empowerment reshapes the traditional philanthropic landscape, enabling anyone to become a philanthropist. The rise of crowdfunding has made philanthropy more accessible and inclusive.

Donation-based crowdfunding platforms have the power to foster a sense of community among donors and beneficiaries. Donors often feel a stronger connection to the causes they support, as they can interact directly with campaign creators and other contributors[7]. This sense of community enhances the overall giving experience and reinforces social bonds. The significance of donation-based crowdfunding lies in its ability to address a diverse spectrum of social issues. Campaigns on these platforms cover a wide array of causes, from medical expenses and disaster relief to education, creative projects, and more[9]. This has led to an increased focus on social issues, as more individuals and organizations find accessible avenues for raising funds for various causes. Crowdfunding has provided a platform for grassroots initiatives and smaller charitable organizations to reach a global audience. It allows them to access funds and support that might have been difficult to obtain through traditional fundraising channels. This empowerment of grassroots initiatives is a significant driver of social change[10].

Despite its positive impact, donation-based crowdfunding is not without its challenges. Transparency, accountability, and fraud are concerns due to the open nature of crowdfunding. Platforms need to address these challenges and ensure the integrity of the fundraising process[11]. The growth of donation-based crowdfunding has prompted governments and regulatory bodies to develop policies and regulations to safeguard the interests of donors and campaign creators. The regulatory landscape is evolving to strike a balance between fostering innovation and ensuring consumer protection.

Personal factors such as self-efficacy and altruism play a significant role in influencing individuals’ donation intentions on donation-based crowdfunding platforms. First, self-efficacy, as defined by Bandura[1] represents an individual’s belief in their ability to perform tasks successfully. In the context of donation-based crowdfunding, individuals with high self-efficacy may believe that their contributions can make a difference and have a positive impact on a campaign. According to an emprical study, when people have high self-efficacy, they tend to have greater donation intention than do people who have low self-efficacy[12]. Existing studies have shown that self-efficacy positively influences donation intentions. For example, individuals with high self- efficacy are more likely to donate because they believe their contributions will be effective in helping the cause[2].

Second, altruism is an intrinsic motivation to benefit others without expecting anything in return. It is a fundamental driver of prosocial behavior and is often associated with charitable giving[3]. In a food donation context, Habib et al. found that altruism exerts the strongest effect on surplus food donation intention[13]. In a similar vein, Steel et al. also found that higher altruistic behavior was associated with increased past donation frequency[14].

Research suggests that individuals with high levels of altruism are more inclined to make donations on crowdfunding platforms. They are motivated by the desire to help others and support causes they care about[15].

Based on the discussion above, the following hypotheses are posited as below;

• H1: Self-efficacy will positively affect individuals’ donation intention.
• H2: Altruism will positively affect individuals’ donation intention.

Social factors, particularly social influence and trust in the organization or campaign, have a substantial impact on individuals’ donation intentions in the context of donation-based crowdfunding platforms. First, social influence refers to the impact of peer recommendations, testimonials, and endorsements on an individual’s donation intention. Numerous studies have shown that individuals are influenced by the actions and opinions of others, especially in online environments. For instance, positive comments and endorsements from previous donors can serve as persuasive cues, encouraging potential donors to contribute[16]. Social influence can play a critical role in prompting donations, particularly when it conveys that the cause has widespread support[4]. In addition, individuals often observe the behaviors and choices of others within their social circles and adjust their actions accordingly, especially in visible settings like social media or crowdfunding platforms. If donating is seen as a normative behavior among peers, individuals are more likely to conform to this norm and donate as well[17].

Second, credibility in the organization or campaign behind a crowdfunding effort is pivotal. Donors need assurance that their contributions will be utilized for the stated purpose and that the organization is reputable and credible. Studies have found that trust in the organization positively affects donation intentions. Donors are more likely to contribute when they have confidence in the transparency and credibility of the organization[5]. Donors need to trust that the organization will use their funds appropriately and for the advertised causes. Trustworthiness can reduce perceived risks associated with donations, such as fears of fraud or mismanagement[18]. Furthermore, if an organization is perceived as knowledgeable and expert in its field, donors are more likely to believe that their contributions will be used effectively and lead to meaningful impact[19].

Based on the discussion above, the following hypotheses are proposed as below:

• H3: Social influence will positively affect individuals’ donation intention.
• H4: Organization credibility will positively affect individuals’ donation intention.

Situational factors, specifically social identification and trust in the crowdfunding platform, are crucial in understanding donation intentions within the realm of donation-based crowdfunding platforms. Social identification refers to the extent to which individuals perceive themselves as belonging to a particular social group or cause. Social identification with a group that supports charitable causes can provide emotional rewards, such as feelings of pride and satisfaction. These positive emotions can further motivate individuals to donate as a way to continue experiencing these benefits[20].

In the context of donation-based crowdfunding, social identification plays a significant role. When donors feel a strong connection to the cause or campaign, they are more likely to contribute. Research has shown that individuals are motivated to donate when they identify with the values and goals of a campaign[6]. This sense of belonging and identification can significantly influence donation intentions.

Trust in the crowdfunding platform is another situational factor that can affect donation intentions. Donors need to have confidence in the platform’s reliability, security, and transparency. Trust in the platform ensures that donors believe their contributions will be handled properly and that their personal and financial information is secure[7]. Trusted platforms are likely to see higher rates of repeat donations, as donors feel secure in their previous contributions and are encouraged to continue supporting the platform’s projects [21].

Trust in the platform can instill confidence in potential donors, positively influencing their decision to donate. Hou et al. found that trust in online donation platform is positively related to online donation intention[22].

Based on the discussion above, the following hypotheses are proposed as below:

• H5: Social identification will positively affect individuals’ donation intention.
• H6: Trust of the crowdfunding platform will positively affect individuals’ donation intention.

A survey was conducted for this study with the participation of a total of 357 college students who received course credits in exchange. However, 31 students who failed to complete the survey were excluded, leaving 326 subjects for further analysis. Among these participants, sophomores comprised the largest group (49.7%, n = 162), followed by seniors (29.4%, n = 96), freshmen (14.7%, n = 48), and juniors (6.1%, n = 20). The average age of the participants was 22 years old. For this study university students used as samples because university students tend to be tech-savvy and familiar with digital platforms, including crowdfunding sites. Their comfort with digital navigation and online financial transactions makes them an ideal group for studies related to online fundraising behaviors. And university students can be considered early adopters of new technologies and cultural shifts, making them a relevant demographic for studying emerging trends in digital fundraising. Insights gained from this group could indicate broader future trends in crowdfunding.

In this research, we chose an authentic crowdfunding platform story from one of Korea’s major donation-based crowdfunding platforms to enhance the authenticity of the study. The story centers on a 23-year-old college student who has recently experienced voice phishing and is aiming for self-sufficiency, planning to secure accommodation in an independent living facility by the age of 24. The core message conveyed in this donation-based crowdfunding narrative is “Please protect the aspirations of young individuals striving for independence.”

Utilizing Qualtrics, an online survey was generated to gather data from college students. Invitation emails for the online survey were distributed to students, and only those who agreed to participate and provided consent were included. Subsequently, participants were instructed to click the “Proceed” button to complete the survey.