Unpacking the link between parasocial relationships and gifting in live streaming: A mediation and moderation perspective

In live streaming, gifting entails viewers sending virtual gifts to streamers, constituting a significant revenue source for both live-streaming platforms and streamers. The social dynamics of gifting suggest that parasocial relationships, one-sided connections formed by viewers toward streamers, may be a key driver of this behavior. However, the mechanisms through which parasocial relationships influence gifting remain largely underexplored. This study employs social exchange theory to develop a research framework investigating how perceived benefits of gifting act as mediating factors linking parasocial relationship and gifting intention, with streamer popularity serving as a moderator. To test this model, we conducted structural equation modeling using survey data collected from 490 live-streaming viewers. Our findings reveal that perceived benefits of gifting, specifically in relationship development and image building, significantly mediate the positive effect of parasocial relationship on gifting intention. Additionally, streamer popularity strengthens the influence of parasocial relationship on these perceived benefits of gifting. This work sheds light on the influence of parasocial relationships on gifting behaviors in live streaming and offers practical insights for leveraging such relationships to encourage viewer gifting activities.