Toward generalized effects of goal level on crowdfunding performance: meta-analysis and field evidence

Purpose: Empirical findings and arguments regarding the relationship between goal level and crowdfunding performance have been inconsistent. This research seeks to clarify these inconsistencies by distinguishing crowdfunding performance into two types of performance metrics, target-based (e.g. goal success, fund-goal ratio and goal completion ratio) and fundraising-based (e.g. total raised funds, number of contributors and amount per contributor). It aims to examine how goal level differentially influences these two types of performance metrics. Design/methodology/approach: A meta-analysis of published studies and analyses of crowdfunding data from two heterogeneous platforms (i.e. Kickstarter and Kakao Together) were conducted. Findings: Meta-analysis and crowdfunding data analyses consistently present evidence that the type of performance metrics moderates the relationship between goal level and performance. The goal level is negatively related to target-based performance metrics, indicating that lower-level goals perform better in goal success, fund-goal ratio and goal completion ratio. On the contrary, the goal level is positively related to fundraising-based performance metrics, with higher-level goals performing better in the total raised funds, number of contributors and amount per contributor. Practical implications: Findings suggest that goal setting in crowdfunding should be guided by the types of performance metrics used to define success, as these metrics are inherently shaped by the platform’s operational model (all-or-nothing vs keep-it-all). Originality/value: This research addresses and resolves conflicting findings in the existing literature on the relationship between goal level and crowdfunding performance by clarifying the role of performance metrics in evaluating crowdfunding success.