The Social Costs of Signaling: On the Negative Relationship Between Social Image Concerns and Green Crowdfunding

This study examines the role of social signaling in charitable giving on a green crowdfunding platform. Using a dataset linking survey responses on motivations and social signaling with real donation data from a German platform, we examine how reported communication about crowdfunding contributions is associated with donation behavior in an online, often anonymous, setting. Based on a sample of 1,010 platform visitors, we find, contrary to traditional assumptions that public visibility enhances giving, a negative association between reported communication about contributions and likelihood of contributing. The negative association does not differ significantly by social proximity, but moderation analyses suggest that it varies with respondents’ perceived responsibility for supporting sustainable projects. The results offer practical implications for designing crowdfunding platforms that may better align with donors who prefer discretion, privacy, and value-based communication.