Effects of donation collection methods on donation amount: Nudging donation for the cause and overhead

초록

This research examines the influence of donation collection methods on the amounts of donation, focusing on donations for the cause and overhead. This research examines the effects of the three donation collection methods (allocation, cause-first addition, and overhead-first addition) that vary in terms of the procedure through which the donation amount is decided. The results of three empirical studies indicate that the donation collection method affects the amounts donated for the cause and overhead, in addition to the total donation amount. Study 1 shows that donors tend to donate more for the cause when the collection method asks them to add an extra amount for overhead to the amount donated for the cause (i.e., cause-first addition) than when the collection method asks donors to allocate their total donation amounts to the cause and overhead (i.e., allocation), which also affects the total donation amount. Studies 2 and 3 test the effects of the donation collection order by comparing between the cause-first and the overhead-first addition methods. Results show that donors tend to donate more to the cause and overhead when the donation amount for overhead is asked first (i.e., overhead-first) than when the donation amount for the cause is asked first (i.e., cause-first). Furthermore, in all three studies, donors' satisfaction with the donation is not affected by the collection methods.

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