Disentangling the Multifaceted Impact of Matching Policy on Crowdfunding Platforms: Evidence from DonorsChoose

To promote charitable giving, donation-based crowdfunding platforms have implemented matching policy, whereby donors commit to matching the contribution of other donors at a given rate. While matching policy have been applied in several crowdfunding platforms, there is still a lack of understanding on its effectiveness and how it can be optimized to incentivize charitable donations. Leveraging data from a donation-based crowdfunding platform, this study conducted Interrupted Time-Series Analysis and Analysis of Variance to determine the impact of matching policy on the platform’s donation performance. The study generates substantial practical implications for third-party organizations seeking social responsibility, as well as charitable crowdfunding platforms seeking to optimize their promotional strategies to maximize their effectiveness.