CROWDFUNDING CREATIVE IDEAS: THE DYNAMICS OF PROJECT BACKERS IN KICKSTARTER

摘要: Entrepreneurs are turning to crowdfunding as a way finance their creative ideas. Crowdfunding involves relatively small contributions of many consumer-investors over fixed time limit (generally few weeks). In online communities, potential donors can see the level support from other project backers well its timing before making own funding decisions, suggesting that social information (i.e., others’ decisions) will play an important role in ultimate success project. Two years publicly available panel data on successfully and unsuccessfully funded projects listed Kickstarter is used empirically study dynamic behavior backers. Building off well-established psychology theory around diffusion responsibility effects, we show additional backer negatively related past support. Many do not contribute has already received lot because they assume others provide necessary funding. Consistent with deadline effect widely observed bargaining auctions, also effects diminish cycle approaches closing date. Moreover, draws near find updates tend increase creators make final plea for help reach goal. Reduced together positive influence updates, lead generally increasing stages This particularly case achieve goals more likely have update last weeks generate excitement recent than fall short.