Eyes on the Prize: Increasing the Prize May Not Benefit the Contest Organizer in Multiple Online Contests

Sharon Rabinovitch, Ella Segev, Lior Fink

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

Given the proliferation of online platforms for crowdsourcing contests, we address the inconsistencies in the extant literature about the behavioral effects of increasing the prize awarded by contest organizers. We endeavor to resolve these inconsistencies by analyzing user behavior in a highly controlled experimental setting in which users can participate (by exerting real effort rather than stated effort) in multiple online contests that vary only in their prizes. The analysis of the behavior of 731 active participants in our first experiment showed that both participation and effort were non-monotonic with the prize, that the low-prize contest was the most effective for the organizers, and that increasing the prize of the low-prize or high-prize contest by 50% actually decreased the benefits for organizers. Our findings advance theory by providing insight into when and why extrinsic incentives fail to produce the desired effects in crowdsourcing contests.

Original languageEnglish
Title of host publicationInternational Conference on Information Systems, ICIS 2023
Subtitle of host publication"Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies"
PublisherAssociation for Information Systems
ISBN (Electronic)9781713893622
StatePublished - 1 Jan 2023
Event44th International Conference on Information Systems: Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies, ICIS 2023 - Hyderibad, India
Duration: 10 Dec 202313 Dec 2023

Publication series

NameInternational Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies"

Conference

Conference44th International Conference on Information Systems: Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies, ICIS 2023
Country/TerritoryIndia
CityHyderibad
Period10/12/2313/12/23

Keywords

  • Crowdsourcing
  • contests
  • online experiment
  • prize
  • user behavior

ASJC Scopus subject areas

  • Computer Science Applications
  • Information Systems

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