Nudging private Ryan: mobile microgiving under economic incentives and audience effects

Technology-augmented choice-making impacts many facets of business. The use of economic incentives under the ubiquitous mobile ecosystem for prosocial behavior has been shown to be particularly effective. We build on the previous work on this topic and study how mobile-based economic incentives and...

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Main Authors: Lee, Dongwon, Gopal, Anandasivam, Lee, Dokyun, Shin, Dongwook
Other Authors: Nanyang Business School
Format: Journal Article
Language:English
Published: 2024
Subjects:
Online Access:https://hdl.handle.net/10356/174014
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author Lee, Dongwon
Gopal, Anandasivam
Lee, Dokyun
Shin, Dongwook
author2 Nanyang Business School
author_facet Nanyang Business School
Lee, Dongwon
Gopal, Anandasivam
Lee, Dokyun
Shin, Dongwook
author_sort Lee, Dongwon
collection NTU
description Technology-augmented choice-making impacts many facets of business. The use of economic incentives under the ubiquitous mobile ecosystem for prosocial behavior has been shown to be particularly effective. We build on the previous work on this topic and study how mobile-based economic incentives and environments influence charitable giving behavior. In contrast to traditional fund-raising, we consider the use of mobile devices to generate giving in small denominations, which we term microgiving. In collaboration with a US-based mobile app provider, we incorporated a functionality that allowed users to contribute their in-app reward points to charity. To encourage donations, we used economic incentives in the form of monetary subsidies, i.e., rebates or matching grants, as well as digital nudges in the form of push notifications. We studied the effects of these factors on giving behavior across two large-scale field experiments. Focusing on the different aspects of smartphones that could differentially impact charitable giving behavior—namely the intensely private and personal nature of smartphones—we examined how the visibility of donation decisions affects giving behavior by toggling audience effects. Our results show that the effectiveness of incentives is contingent upon the magnitude of the incentive as well as the extent to which individual decisions are visible to others. To situate our results in relation to the traditional medium of charitable giving, we propose an analytical model that internalizes the subsidy rates and the audience effect. This study provides initial empirical evidence and an analytical model to advance technology-augmented charitable giving that can provide insights to organizations and service providers.
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spelling ntu-10356/1740142024-03-14T15:35:17Z Nudging private Ryan: mobile microgiving under economic incentives and audience effects Lee, Dongwon Gopal, Anandasivam Lee, Dokyun Shin, Dongwook Nanyang Business School Business and Management Charitable giving Technology-augmented choice-making Technology-augmented choice-making impacts many facets of business. The use of economic incentives under the ubiquitous mobile ecosystem for prosocial behavior has been shown to be particularly effective. We build on the previous work on this topic and study how mobile-based economic incentives and environments influence charitable giving behavior. In contrast to traditional fund-raising, we consider the use of mobile devices to generate giving in small denominations, which we term microgiving. In collaboration with a US-based mobile app provider, we incorporated a functionality that allowed users to contribute their in-app reward points to charity. To encourage donations, we used economic incentives in the form of monetary subsidies, i.e., rebates or matching grants, as well as digital nudges in the form of push notifications. We studied the effects of these factors on giving behavior across two large-scale field experiments. Focusing on the different aspects of smartphones that could differentially impact charitable giving behavior—namely the intensely private and personal nature of smartphones—we examined how the visibility of donation decisions affects giving behavior by toggling audience effects. Our results show that the effectiveness of incentives is contingent upon the magnitude of the incentive as well as the extent to which individual decisions are visible to others. To situate our results in relation to the traditional medium of charitable giving, we propose an analytical model that internalizes the subsidy rates and the audience effect. This study provides initial empirical evidence and an analytical model to advance technology-augmented charitable giving that can provide insights to organizations and service providers. Published version 2024-03-12T01:15:55Z 2024-03-12T01:15:55Z 2023 Journal Article Lee, D., Gopal, A., Lee, D. & Shin, D. (2023). Nudging private Ryan: mobile microgiving under economic incentives and audience effects. MIS Quarterly, 47(3), 1101-1146. https://dx.doi.org/10.25300/MISQ/2022/16643 0276-7783 https://hdl.handle.net/10356/174014 10.25300/MISQ/2022/16643 2-s2.0-85180134524 3 47 1101 1146 en MIS Quarterly © MIS Quarterly. All rights reserved. This article may be downloaded for personal use only. Any other use requires prior permission of the copyright holder. The Version of Record is available online at http://doi.org/10.25300/MISQ/2022/16643 application/pdf
spellingShingle Business and Management
Charitable giving
Technology-augmented choice-making
Lee, Dongwon
Gopal, Anandasivam
Lee, Dokyun
Shin, Dongwook
Nudging private Ryan: mobile microgiving under economic incentives and audience effects
title Nudging private Ryan: mobile microgiving under economic incentives and audience effects
title_full Nudging private Ryan: mobile microgiving under economic incentives and audience effects
title_fullStr Nudging private Ryan: mobile microgiving under economic incentives and audience effects
title_full_unstemmed Nudging private Ryan: mobile microgiving under economic incentives and audience effects
title_short Nudging private Ryan: mobile microgiving under economic incentives and audience effects
title_sort nudging private ryan mobile microgiving under economic incentives and audience effects
topic Business and Management
Charitable giving
Technology-augmented choice-making
url https://hdl.handle.net/10356/174014
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AT gopalanandasivam nudgingprivateryanmobilemicrogivingundereconomicincentivesandaudienceeffects
AT leedokyun nudgingprivateryanmobilemicrogivingundereconomicincentivesandaudienceeffects
AT shindongwook nudgingprivateryanmobilemicrogivingundereconomicincentivesandaudienceeffects