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Social License to Operate in Crowdfunding Campaigns
Authors:Shima Saniei  Michael L Kent
Institution:University of New South Wales, Sydney, Australia
Abstract:Organizations and individuals need to engage their communities to gain the social license to operate (SLO). In crowdfunding, SLO is reflected in funding by the members of communities of interest around crowdfunding campaigns. Thus campaign creators’ success relies on obtaining SLO from their communities. This article examines how crowdfunding campaign creators engage their communities to gain and maintain SLO to secure funding for their campaigns. Content analysis of 68 successful and unsuccessful Kickstarter campaigns shows how successful campaign creators build their communities by the use of weak ties and have abundant relational and episodic engagement with their communities to obtain SLO. The results also show how successful campaign creators practice dialogic engagement to maintain their SLO over time. This study expands public relations to crowdfunding by framing crowdfunding as a community engagement practice and operationalizing SLO as tangible funding.
Keywords:Crowdfunding  Social license to operate  Community engagement  Dialogic engagement  Episodic engagement  Relational engagement  Weak ties  SLO  Public relations
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