We become more generous in relation to donating money for e.g. emergency aid via email and text messages if we do not feel (too) pressured to donate right away. But deadlines in themselves do not make more people donate money. This is the result of a new study from Aarhus BSS.
“If you give a donation within three days, an anonymous contributor will donate an additional DKK 10.” This was the message that researchers from the Department of Economics and Business Economics, Aarhus BSS - Aarhus University, sent out via email and text message on behalf of DanChurchAid to approximately 53,000 Danes who had previously donated money.
The deadline given to trigger the additional donation from the anonymous contributor varied. For one group of email recipients, the deadline was three days. For others it was 10 days, and a third group was given until the first day of the following month. The text message gave slightly shorter deadlines. The results showed that the donations increased when the deadline was longer.
“We know from other studies that people don’t like pressure when donating money, so we interpret the results to mean that if you pressure people with a short deadline, it creates a sort of give-and-take mindset in the recipient: “Alright, I’ll agree to donate quickly, but you’re not getting as much.”
So explains Mette Trier Damgaard from the Department of Economics and Business Economics at Aarhus BSS, who is behind the study together with Christina Gravert from the University of Gothenburg. The study was published in the Journal of Behavioral and Experimental Economics.
According to the theory on deadlines and people’s tendency to postpone actions to a later time (procrastinate), the number of donations should increase significantly just before the deadline.
However, in this study, the researchers found that the various deadlines had no effect on the number of donations. No matter the deadline, almost all donations occurred within the first two to three days after the email and text message were sent. Mette Trier Damgaard calls it the “now or never” effect and points to two possible explanations:
“The recipients might be aware that if they don’t donate right away, they’ll forget. Another possibility is that they donate quickly to avoid having to be asked again. We know from other studies that people will literally go far to avoid the pressure of being asked.”
The new research contains interesting aspects for charities around the world. In Denmark alone, we donate around DKK 2 billion to charity each year.
However, the researchers are reluctant to draw any conclusions with respect to other industries. Because in many other situations, deadlines can have a positive effect in relation to preventing people from procrastinating and postponing things.
“With our study, we want to provide a more nuanced picture and a greater understanding of where, when and how deadlines work,” says Mette Trier Damgaard.
Mette Trier Damgaard
Department of Economics and Business Economics, Aarhus BSS
Tel: +45 42729276