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How Much Is Too Much? The Impact of Update Frequency on Crowdfunding Success

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  • Eliran Solodoha

    (Department of Business Administration, Peres Academic Center, Rehovot 7610202, Israel)

Abstract

This research seeks to clarify the uncertainty in crowdfunding literature regarding the relationship between the number of updates and campaign success. By integrating signal theory and the notion of information overload, this study posits a curved, inverted U-shaped relationship between the number of updates and campaign success. Empirical evidence to support this hypothesis is drawn from an analysis of 2852 projects sourced from a reward-based crowdfunding platform. The aim of this inquiry is to provide insights into the intricate dynamics that influence how the number of updates impacts the results of crowdfunding campaigns.

Suggested Citation

  • Eliran Solodoha, 2024. "How Much Is Too Much? The Impact of Update Frequency on Crowdfunding Success," Administrative Sciences, MDPI, vol. 14(12), pages 1-13, December.
    • Handle: RePEc:gam:jadmsc:v:14:y:2024:i:12:p:324-:d:1534595
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    References listed on IDEAS

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    1. Michael Spence, 2002. "Signaling in Retrospect and the Informational Structure of Markets," American Economic Review, American Economic Association, vol. 92(3), pages 434-459, June.
    2. Gerrit K.C. Ahlers & Douglas Cumming & Christina Günther & Denis Schweizer, 2015. "Signaling in Equity Crowdfunding," Entrepreneurship Theory and Practice, , vol. 39(4), pages 955-980, July.
    3. Endrit Kromidha & Paul Robson, 2016. "Social identity and signalling success factors in online crowdfunding," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 28(9-10), pages 605-629, October.
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