The Role of Crowdfunding in Philanthropy: Donor Motivations From a Self-Determination Theory and Cultural Lens

This study examines how intrinsic and extrinsic motivations influence monetary support in crowdfunding through the lens of self-determination theory and cultural background, offering implications for fundraising strategies. Using controlled lab experiments across varied crowdfunding contexts—art, music, small business, and nonprofit campaigns—we explore the overjustification effect and the role of sociocultural factors in shaping donor behavior. Rewards are categorized as extrinsic (gift and recognition) or intrinsic (participation and influence). Findings reveal that removing gifts slightly increases average contributions, whereas eliminating both gifts and recognition reduces support. Donor behavior also varies by country: US-born participants contribute the most overall, UK-born donors prefer gift-free scenarios, and Canadian-born donors are more generous when both gifts and recognition are absent. These results challenge conventional interpretations of the overjustification effect and highlight the importance of culturally responsive reward structures. We offer practical recommendations for campaign designers and nonprofit organizations to optimize crowdfunding strategies using targeted incentives and social proof. By anchoring donor motivations within a self-determination framework, this study contributes to the literature on philanthropic marketing and behavioral economics.