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Which maximizes donations: Charitable giving as an incentive or incentives for charitable giving?

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  • Chang, Chia-Chi
  • Chen, Po-Yu

Abstract

With charitable donations becoming a conventional norm, companies may choose to donate their products to improve public image and increase product visibility. Using two donation types (donation-for-gift/charity sale) and two product types (hedonic/utilitarian), this research discusses how charities should frame product-for-money activities toward enhancing compliance and re-donation intentions upon receiving product donations. Two 2 (donation types) by 2 (product types) between-subject experiments are conducted in college campus cafeterias. The first study uses an inspiring cause while the second study provides a scenario designed to evoke sympathy. Results show that donation-for-gift garners higher donation intentions compared to charity sale, as explained by the dual-process model. It is also revealed that product type moderates the influence of donation type on donation intention only when a sympathetic appeal is used. The fitting issue between product type and cause appeal, along with the licensing effect are presented to explain this finding.

Suggested Citation

  • Chang, Chia-Chi & Chen, Po-Yu, 2019. "Which maximizes donations: Charitable giving as an incentive or incentives for charitable giving?," Journal of Business Research, Elsevier, vol. 97(C), pages 65-75.
    • Handle: RePEc:eee:jbrese:v:97:y:2019:i:c:p:65-75
    DOI: 10.1016/j.jbusres.2018.12.046
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    Cited by:

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    3. Kim, Hee Jin & Song, Hayeon, 2020. "Effort justification for fun activities?: The effect of location-based mobile coupons using games," Journal of Retailing and Consumer Services, Elsevier, vol. 54(C).
    4. Mukherjee, Ashesh & Lee, Seung Yun & Burnham, Thomas, 2020. "The effect of others’ participation on charitable behavior: Moderating role of recipient resource scarcity," Journal of Business Research, Elsevier, vol. 120(C), pages 213-228.

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