Independent vs. Coordinated Fundraising: Understanding the Role of Information

We use “real donation” laboratory experiments to compare independent fundraising, where donation requests from different charities arrive sequentially to potential donors, with coordinated fundraising, where donation requests from different charities arrive simultaneously. We find that coordinated f...

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Bibliographic Details
Published inEuropean economic review Vol. 127; p. 103476
Main Authors Eckel, Catherine, Guney, Begum, Uler, Neslihan
Format Journal Article
LanguageEnglish
Published Elsevier B.V 01.08.2020
Elsevier Science Publishers
Subjects
Charitable giving
Charities
Fund raising
Game theory
Independent fundraising
Information
laboratory experiment
Seminars
Simultaneous solicitation
D62
Simultaneous solicitation
Independent fundraising
H41
C90
Information
Charitable giving
laboratory experiment
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Summary:We use “real donation” laboratory experiments to compare independent fundraising, where donation requests from different charities arrive sequentially to potential donors, with coordinated fundraising, where donation requests from different charities arrive simultaneously. We find that coordinated fundraising generates significantly larger total donations compared to independent fundraising. We show that the order of requests affects the level of donations only in independent fundraising; in particular, participants donate larger amounts to charities whose requests arrive earlier. We then test whether these differences might be explained by the informational asymmetry between these two fundraising mechanisms by varying the information received by the subjects.
ISSN:0014-2921
1873-572X
DOI:10.1016/j.euroecorev.2020.103476