Charitable organizations play a key role in society but face the recurrent challenge of obtaining sufficient resources to accomplish their missions. The regular donor portfolio becomes a critical element in providing stable and long-lasting funding, and its effective management has emerged as a key research area. This study investigates the impact of the donation frequency by regular donors on their donation amount over time. Drawing from temporal reframing literature, we provide an understanding of these effects as well as the moderating role of the motivations to donate (self- vs other-oriented). The study also investigates the extent to which frequency choices are influenced by the motivations to donate and by the donation options presented during registration. Using a sample of regular donors from 2013 to 2019 and applying dynamic panel data techniques, the findings reveal that higher frequencies lead to higher donations, though this effect is strengthened by self-oriented motivations and weakened by other-oriented motivations. Our study shows that motivations to donate and donation options jointly explain donation frequencies. This study provides useful guidance for charities on how to increase regular donors’ perceived value and their contributions to help these organizations provide essential services to the most vulnerable groups in society.
PurposeThe purpose of this study is to investigate whether a U-shaped relationship exists between the length of time a donor has been a regular member in a nonprofit organization and the amount donated over time. In addition, this research analyzes whether this relationship is moderated by donation frequency.Design/methodology/approachUsing a database of 6,137 members from a collaborating nonprofit organization, a longitudinal study is conducted over an eight-year period (2013–2020). A set of ordinary least square (OLS) regression analyses are carried out to empirically test the proposed hypotheses.FindingsThis study finds a nonlinear, U-shaped relationship between donation amount and relationship length. This effect can be explained through the dynamic evolution of two dimensions of commitment: affective (decreasing over time) and normative (increasing over time). The results also reveal that these effects, however, become flatter for members who engage in more frequent donations.Originality/valueThe results provide novel insights revealing the nonlinear nature of the relationship between the length of time a donor has been a member of a nonprofit organization and the amount donated, and underscores the moderating role of donation frequency, which makes the U-shaped relationship flatter, thus increasing the amounts donated. Despite their relevance in the service ecosystem, nonprofits have been under-represented in prior work. This study offers important practical insights into the effective management of the regular donor portfolio.
Developing effective solicitation campaigns has become a priority for nonprofit organizations to raise funds. To do so, they have begun to introduce social information and recognition mechanisms in their campaigns to encourage donations, yet our current understanding of the effectiveness of these interventions is limited. This study intends to contribute to a better understanding of the effectiveness of these campaigns by investigating the role played by social norms, recognition, and their interplay in charitable giving. In addition, the study also investigates the extent to which these effects are moderated by self-construal, an important individual psychological trait. This empirical investigation conducted an experimental design between subjects on a sample of 261 participants. A two-stage correction approach was used to estimate two dependent variables. The effectiveness of social norms and recognition varies depending on the decision in play (whether to donate, or how much to donate) as well as on an individual's self-construal (independent or interdependent).Strategies that combine several of these mechanisms should take into account their objective, that is, whether it is focused on boosting symbolic support or on incentivizing significant contributions. This article contributes by demonstrating that the type of social norm and the type of recognition matter, as they produce significant different effects on both the donation decision and the donation amount. | INTRODUCTIONSocial and environmental problems are becoming increasingly visible in society, and nonprofit organizations have emerged as an indispensable player to tackle these problems and help those in need by providing numerous vital services. Fundraising has thus become a major challenge for nonprofit organizations (Fajardo et al., 2018) and for society at large: "if society can devise effective mechanisms to induce more philanthropy, the social-welfare benefits would be quite substantial" (Charness & Holder, 2019, p. 1). However, while individuals report having higher awareness of and sensitivity toward social issues (European Commission, 2017), their willingness to contribute through donating resources does not follow suit (European Fundraising Association, 2017). In addition, the substantial rise in the number of organizations competing in the nonprofit sector has also led to a greater interest in mitigating these effects through private contributions (Helmig & Thaler, 2010). Under such circumstances, practitioners have turned to marketing to encourage social attitudes and behaviors among individuals and have started to adopt a number of communication techniques (Anghelcev & Sar, 2014;Fajardo et al., 2018;Guidry et al., 2014). Understanding the underlying motivations that lead people to contribute is therefore one of the primary concerns in the literature to find the suitable marketing techniques that encourage contributions (Simpson et al., 2017;Verhaert & Van den Poel, 2011).Among the alternative marketing programs available to nonprofit org...
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