Purpose
Crowdfunding has become a popular and achievable means of funding projects worldwide. The purpose of this study is to determine which personal and social traits can increase individuals’ intention to participate in crowdfunding.
Design/methodology/approach
This study examines innovativeness, attitudes toward helping others and interpersonal connectivity as determinants of consumers’ intention to participate in crowdfunding. Social identification with the crowdfunding community is proposed as a mediator in the model.
Findings
The results show that both social identification with the crowdfunding community and innovativeness have a positive effect on intention to participate. In addition, attitudes toward helping others and interpersonal connectivity indirectly affect intention to participate in crowdfunding through social identification with the crowdfunding community.
Research limitations/implications
This study analyzes a general audience of potential crowdfunders; therefore, the results identify just the indications for potential intentions to participate in crowdfunding activities.
Practical implications
Companies or fund-seekers currently using or expecting to use crowdfunding have to develop strategies focused on promoting social identification with the crowdfunding community. More effort should be devoted for developing consumers’ social relationships and ties within the crowdfunding community.
Originality/value
This study contributes to the literature by clarifying the characteristics that potential crowdfunders should have to be more prone to participate in these types of projects.
This paper aims to analyze the determinants of participation in crowdfunding. As any individual may participate in a crowdfunding project, the study analyzes the general audience as potential contributors. This study develops and tests a model that includes personal determinants-internal locus of control and altruism-of the intention to participate in crowdfunding. Trust in crowdfunding is proposed as a mediator in the model. Data from 245 individuals were gathered via an online panel to test the hypotheses. Altruism and internal locus of control are found to enhance trust in crowdfunding, which, in turn, influences individuals' intention to participate. Companies or entrepreneurs that are currently using or expecting to use crowdfunding to finance their project should develop marketing strategies that focus on enhancing trust towards their projects. Likewise, they should target individuals who are more altruistic and with higher levels of internal locus of control.
Purpose
– This paper aims to examine the role of Facebook friends on the intention to join brand pages in this social network site (SNS). SNSs have grown in both popularity and use. They allow individuals to articulate their social networks by developing a list of other members on the site with whom they share a connection. These platforms also allow companies to create profiles to promote their brands. However, many firms have jumped into SNSs by creating a “brand page” without fully understanding how to spread it successfully.
Design/methodology/approach
– Two experiments were developed. In the first one, the authors manipulated how the individual comes to know about brand pages. Participants discovered a brand page through a friend with whom they have either a strong tie or a weak tie. In the second experiment (2 × 2), the authors manipulated tie strength (strong vs weak) and the type of recommendation (active vs passive).
Findings
– Results of the first study show that as the individual has more experience in Facebook (measured in this paper through satisfaction, past behavior of following brands and Facebook intensity), the effect of tie strength on the intention to join a brand page dilutes. The second study confirms Study 1 and shows that strong ties exert more influence than weak ties when the brand page is actively recommended by Facebook friends.
Practical implications
– This paper shows that the influence of strong ties is particularly important for individuals with low levels of experience in Facebook. As experience in SNSs is expected to continue growing, managers should not forget the role of weak ties as a source of information for their networked friends. Strong ties only remain more influential than weak ties when the information about the brand page is received through an invitation.
Originality/value
– This paper explores the interpersonal influences in Facebook, asserting that the influence of tie strength depends on the level of experience in the SNS, and on the way, information about the brand page is received.
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