Why Do Donors Donate? A Study on Donation-Based Crowdfunding in Malaysia
Abstract
:1. Introduction
2. Literature Review
2.1. Donation-Based Crowdfunding
2.2. S-O-R Framework
3. Theoretical Framework and Hypothesis Development
3.1. Theoretical Framework
3.2. Hypothesis Development
3.2.1. Social Support’s Impact on Trust and Intention to Donate
3.2.2. Community Quality’s Impact on Trust and Donation Intention
4. Research Model
4.1. Methodology
4.1.1. Data Collection
4.1.2. Data Analysis
4.1.3. Model Measurement
4.1.4. Structural Model
5. Result
6. Discussion and Implications
- Mobile-First Platforms: a user-friendly crowdfunding system should have a mobile-optimized platform, allowing for seamless use and accessibility from any device.
- Automated Processes: automated processes such as automatic distribution of funds, automatic email notifications, and automatic project updates.
- Personalized Dashboards: a personalized dashboard for organizers and contributors that displays real-time information about the project and its progress, such as the amount raised and the status of causes.
7. Limitations and Future Research Suggestion
Author Contributions
Funding
Institutional Review Board Statement
Informed Consent Statement
Data Availability Statement
Conflicts of Interest
Appendix A
Construct | ID | Measure | Adapted from |
---|---|---|---|
Informational Support | InfoS1 | When I wish to donate, some people give me the information about crowdfunding. | [46,50,96] |
InfoS2 | When I wish to donate, some people will suggest donation-based crowdfunding platform. | ||
InfoS3 | When I wish to donate, some people will help me to identify potential donation-based crowdfunding platform. | ||
Emotional Support | EmoS1 | When I wish to donate in crowdfunding, some people around me support me. | [46,50,96] |
EmoS2 | When I wish to donate in crowdfunding, people around me encourage me. | ||
EmoS3 | When I wish to donate in crowdfunding, people around me will concern me. | ||
Service Quality | ServQ1 | Crowdfunding platform provides on-time services. | [46,92,97] |
ServQ2 | Crowdfunding platform provides prompt responses. | ||
ServQ3 | Crowdfunding platform provides professional services. | ||
ServQ4 | Crowdfunding platform provides personalized services. | ||
Information Quality | InfoQ1 | Crowdfunding website provides relevant information. | [46,92,97] |
InfoQ2 | Crowdfunding website provides sufficient information. | ||
InfoQ3 | Crowdfunding website provides accurate information. | ||
InfoQ4 | Crowdfunding website provides up-to-date information. | ||
System Quality | SysQ1 | I feel that crowdfunding website exhibits nice graphics. | [46,92,97] |
SysQ2 | I feel that crowdfunding website is easy to use. | ||
SysQ3 | I feel that crowdfunding website is easy to navigate. | ||
SysQ4 | I think crowdfunding website is visually attractive. | ||
Trust | Trust1 | I trust crowdfunding platform to do what they promise. | [68,84] |
Trust2 | I trust initiator/project creator to do what they promise. | ||
Trust3 | I believe crowdfunding platforms are reliable. | ||
Trust4 | I believe crowdfunding platforms are dependable. | ||
Trust5 | I believe crowdfunding platforms are genuinely committed to my satisfaction. | ||
Trust6 | Overall, I can trust crowdfunding platforms for making a donation. | ||
Donation Intention | Intent1 | Given the chance, I intend to donate in crowdfunding. | [12,34] |
Intent2 | I intend to actively donate in crowdfunding. | ||
Intent3 | I expect to donate in crowdfunding in the future. | ||
Intent4 | I would use the donation-based crowdfunding platform to help others. | ||
Intent5 | I am willing to make donations to good projects on the platform. |
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Demographic Profile | Number (N = 359) | Percentage (%) | |
---|---|---|---|
Gender | Male | 136 | 37.9 |
Female | 223 | 62.1 | |
Age | 21–25 | 106 | 29.5 |
26–30 | 75 | 20.9 | |
31–35 | 48 | 13.4 | |
36–40 | 53 | 14.8 | |
41–45 | 43 | 12.0 | |
46–50 | 18 | 5.0 | |
51–55 | 11 | 3.1 | |
56–60 | 4 | 1.1 | |
61 and above | 1 | 0.01 | |
Educational Level | 2 | 17 | 4.7 |
Malaysian Higher School Certificate (STPM) and equivalent | 83 | 23.1 | |
Bachelor’s degree and equivalent | 203 | 56.5 | |
Master’s degree and equivalent | 48 | 13.4 | |
Ph.D. and equivalent | 8 | 2.2 | |
Marital Status | Single | 155 | 43.2 |
Married | 196 | 54.6 | |
Divorced | 8 | 2.2 | |
Occupation | Government | 144 | 40.1 |
Private | 102 | 28.4 | |
Self-employed | 25 | 7.0 | |
Unemployed | 10 | 2.8 | |
Student | 77 | 21.4 | |
Retired | 1 | 3 |
Construct | Measurement | Mean | Factor Loadings | Cronbach’s α | CR | AVE |
---|---|---|---|---|---|---|
Informational Support | InfoS1 | 3.83 | 0.915 | 0.919 | 0.949 | 0.860 |
InfoS2 | 3.84 | 0.940 | ||||
InfoS3 | 3.84 | 0.928 | ||||
Emotional Support | EmoS1 | 3.91 | 0.921 | 0.889 | 0.931 | 0.818 |
EmoS2 | 3.94 | 0.917 | ||||
EmoS3 | 3.69 | 0.876 | ||||
Service Quality | ServQ1 | 3.87 | 0.849 | 0.873 | 0.913 | 0.725 |
ServQ2 | 3.79 | 0.855 | ||||
ServQ3 | 3.86 | 0.900 | ||||
ServQ4 | 3.68 | 0.798 | ||||
Information Quality | InfoQ1 | 3.96 | 0.864 | 0.918 | 0.942 | 0.803 |
InfoQ2 | 3.87 | 0.906 | ||||
InfoQ3 | 3.88 | 0.902 | ||||
InfoQ4 | 3.92 | 0.913 | ||||
System Quality | SysQ1 | 3.89 | 0.875 | 0.914 | 0.939 | 0.794 |
SysQ2 | 3.99 | 0.887 | ||||
SysQ3 | 4.02 | 0.917 | ||||
SysQ4 | 3.91 | 0.886 | ||||
Trust | Trust1 | 3.90 | 0.825 | 0.944 | 0.955 | 0.781 |
Trust2 | 4.01 | 0.902 | ||||
Trust3 | 3.89 | 0.895 | ||||
Trust4 | 3.96 | 0.908 | ||||
Trust5 | 3.87 | 0.906 | ||||
Trust | 3.96 | 0.863 | ||||
Donation Intention | Intent1 | 4.04 | 0.891 | 0.927 | 0.945 | 0.774 |
Intent2 | 3.84 | 0.855 | ||||
Intent3 | 4.09 | 0.890 | ||||
Intent4 | 4.13 | 0.884 | ||||
Intent5 | 4.14 | 0.879 |
Informational Support | Emotional Support | Service Quality | Information Quality | System Quality | Trust | Donation Intention | |
---|---|---|---|---|---|---|---|
Informational Support | |||||||
Emotional Support | 0.789 | ||||||
Service Quality | 0.669 | 0.684 | |||||
Information Quality | 0.676 | 0.715 | 0.855 | ||||
System Quality | 0.681 | 0.700 | 0.721 | 0.824 | |||
Trust | 0.556 | 0.563 | 0.672 | 0.638 | 0.597 | ||
Donation Intention | 0.586 | 0.637 | 0.683 | 0.672 | 0.605 | 0.760 |
Hypotheses | Path | Path Coefficient | t-Statistic | p-Value | Conclusion | VIF |
---|---|---|---|---|---|---|
H1 | Informational Support → Trust | 0.104 | 1.504 | 0.066 | Not supported | 2.371 |
H2 | Informational Support → Donation Intention | 0.034 | 0.557 | 0.289 | Not supported | 2.390 |
H3 | Emotional Support → Trust | 0.080 | 1.146 | 0.126 | Not supported | 2.445 |
H4 | Emotional Support → Donation Intention | 0.159 | 2.575 | 0.005 | Supported | 2.456 |
H5 | Service Quality → Trust | 0.305 | 3.993 | 0.000 | Supported | 2.647 |
H6 | Service Quality → Donation Intention | 0.117 | 1.820 | 0.034 | Supported | 2.813 |
H7 | Information Quality → Trust | 0.145 | 1.596 | 0.056 | Not supported | 3.499 |
H8 | Information Quality → Donation Intention | 0.122 | 1.792 | 0.037 | Supported | 3.537 |
H9 | System Quality → Trust | 0.134 | 1.784 | 0.037 | Supported | 2.625 |
H10 | System Quality → Donation Intention | 0.012 | 0.191 | 0.424 | Not supported | 2.657 |
H11 | Trust → Donation Intention | 0.461 | 8.070 | 0.000 | Supported | 1.796 |
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Kamarudin, M.K.; Mohamad Norzilan, N.I.; Mustaffa, F.N.A.; Khidzir, M.; Alma’amun, S.; Nor Muhamad, N.H.; Abu-Hussin, M.F.; Noor Zainan, N.I.; Abdullah, A.H.; Samat-Darawi, A.B. Why Do Donors Donate? A Study on Donation-Based Crowdfunding in Malaysia. Sustainability 2023, 15, 4301. https://doi.org/10.3390/su15054301
Kamarudin MK, Mohamad Norzilan NI, Mustaffa FNA, Khidzir M, Alma’amun S, Nor Muhamad NH, Abu-Hussin MF, Noor Zainan NI, Abdullah AH, Samat-Darawi AB. Why Do Donors Donate? A Study on Donation-Based Crowdfunding in Malaysia. Sustainability. 2023; 15(5):4301. https://doi.org/10.3390/su15054301
Chicago/Turabian StyleKamarudin, Mohd Khairy, Nur Izzati Mohamad Norzilan, Fatin Nur Ainaa Mustaffa, Masyitah Khidzir, Suhaili Alma’amun, Nasrul Hisyam Nor Muhamad, Mohd Fauzi Abu-Hussin, Nurul Izzah Noor Zainan, Abdul Hafiz Abdullah, and Abdul Basit Samat-Darawi. 2023. "Why Do Donors Donate? A Study on Donation-Based Crowdfunding in Malaysia" Sustainability 15, no. 5: 4301. https://doi.org/10.3390/su15054301
APA StyleKamarudin, M. K., Mohamad Norzilan, N. I., Mustaffa, F. N. A., Khidzir, M., Alma’amun, S., Nor Muhamad, N. H., Abu-Hussin, M. F., Noor Zainan, N. I., Abdullah, A. H., & Samat-Darawi, A. B. (2023). Why Do Donors Donate? A Study on Donation-Based Crowdfunding in Malaysia. Sustainability, 15(5), 4301. https://doi.org/10.3390/su15054301