Signal optimization: using signals to mitigate information overload in crowdfunding campaigns

Purpose - This study explores how information volume affects crowdfunding success and identifies the signals – operational transparency, past crowdfunding experience, perceived project authenticity and perceived product quality – that moderate this relationship. The goal is to provide insights into managing information overload and enhancing the probability of funding success in various information volume contexts. Design/methodology/approach - Data were collected from 2,681 Kickstarter campaigns and analyzed using fixed effects logit regression models. Findings - The study reveals a curved relationship between information volume and funding success, moderated by factors such as operational transparency, crowdfunding experience, project authenticity and product quality. Practical implications - This study provides fund-seekers with essential insights into disseminating information effectively. Originality/value - This study contributes to the literature by elucidating the complex dynamics among information volume, signaling types and crowdfunding success, offering a nuanced understanding of how fund-seekers can optimize their campaigns for better outcomes.