Kottasz, Rita, van Teunenbroek, Claire and Wade, Matthew (2024) Understanding the establishment of crowdfunding appeals in support of charitable causes : a conceptual framework of motivations. In: ISTR 16th International Conference : Crisis After Crisis After … : What About the Third Sector?; 16-19 Jul 2024, Antwerp, Belgium. (Unpublished)

Abstract

The primary objective of this article is to construct a typology aimed at categorizing the diverse profiles of individuals who initiate crowdfunding campaigns to support charitable causes without a formal affiliation with the charities in question. For instance, in April 2023, P. Turley embarked on a half marathon to raise funds for individuals grappling with mental health challenges. Subsequently, he donated the funds to the 'Mental Health UK' charity. This case illustrates a global trend wherein numerous individuals leverage online platforms to orchestrate fundraising campaigns, bypassing traditional intermediary charitable organizations. This practice is commonly referred to as 'disintermediated giving,' as introduced by MacQuillin, Kottasz, Locilento, and Gallaiford (2023). Despite the increasing prominence of crowdfunding in contemporary society, scholarly scrutiny has predominantly centered on the motivations underlying contributions to crowdfunding campaigns (van Teunenbroek, Dalla Chiesa, & Hesse, 2023). However, the motivations that compel individuals to instigate such campaigns have received notably less attention. This prevailing asymmetry in philanthropic literature manifests as a preoccupation with donor behavior and motives, while the drivers of fundraising initiation remain understudied (Chapman, Louis, Masser, & Thomas, 2022). Consequently, the existing corpus of literature on philanthropy offers limited insights into the profiles of individuals undertaking crowdfunding initiatives for charitable purposes. This paper adopts a conceptual approach, with its central focus directed toward developing a conceptual model. This model synthesizes insights from a multifaceted array of academic disciplines, including organizational psychology (psychological ownership and advocacy), social psychology (self-determination theory), sociology (structural theory) and behavioral economics (agency theory), integrated with empirical accounts drawn from the realm of philanthropy. The resulting model aligns with established findings, emphasizing that donors are driven by a multiplicity of motives (Bekkers & Wiepking, 2011; Konrath & Handy, 2018). Accordingly, setting up a donation-based crowdfunding campaign is posited as an endeavor characterized by a complexity of motives on par with those driving contributions to charitable causes. Our model includes five diverse profiles of individuals who start crowdfunding campaigns for beneficiaries: (1) accountability, (2) agency, (3) altruism, (4) advocacy, and (5) acquisitive. Each category is substantiated by two or three characteristics (like being idealistic, lack of trust, and an active stand for the agency category). Our model can be used to discuss the (a) drivers for the behavior, (b) how they perceive crowdfunding, and (c) how they use crowdfunding. For example, within the agency category, these individuals are impelled by a compulsion to exert overt and stringent influence on non-profit entities (a). They perceive crowdfunding as a proactive means of supporting a cause (b) and employ crowdfunding as a medium to take assertive and self-directed action, ultimately effecting change on their own terms (c). We conclude that the initiation of crowdfunding campaigns converges around three overarching themes: stewardship, sharing, and self-interested motives. References Bekkers, R., & Wiepking, P. (2011). A literature review of empirical studies of philanthropy: Eight mechanisms that drive charitable giving. Nonprofit and voluntary sector quarterly, 40(5), 924-973. Chapman, C. M., Louis, W. R., Masser, B. M., & Thomas, E. F. (2022). Charitable Triad Theory: How donors, beneficiaries, and fundraisers influence charitable giving. Psychology & Marketing, 39(9), 1826-1848. Konrath, S., & Handy, F. (2018). The development and validation of the motives to donate scale. Nonprofit and Voluntary Sector Quarterly, 47(2), 347-375. MacQuillin, I., Kottasz, R., Locilento, J., & Gallaiford, N. (2023). A typology of disintermediated giving and asking in the non‐profit sector. Journal of Philanthropy and Marketing, e1820. Van Teunenbroek, C., Dalla Chiesa, C., & Hesse, L. (2023). The contribution of crowdfunding for philanthropy: A systematic review and framework of donation and reward crowdfunding. Journal of Philanthropy and Marketing, 28(3), e1791.

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