What social levers are most likely to drive charitable giving?
Charitable giving has recently grown through technology-based crowdfunding tools that are helping people across the world to meet a variety of financial needs. In the developing world, communal fundraising is a critical insurance function to be significantly more important as households tend to rely on their social networks (friends, work, colleagues, neighbors and family) to cope with negative financial shocks through charitable contributions.
Existing research has identified pro-social preferences, as important motivators of charitable giving. Intuitively, these pro-social preferences tend to overlap and interact in a variety of ways depending on several factors including the type of fundraising need, available funds and the nature of relationship between the giver and the recipient. However, little research has been conducted to understand how the nature of relationships between a contributor and a recipient of charitable giving influences the drivers of giving.