Communicate to captivate: the significance of communication in U.S. and UK restaurateur crowdfunding project success

Purpose Drawing on the insights provided by the signaling theory, this study aims to examine how restaurateur crowdfunding success is affected by the communications signals in the form of comprehensiveness, clarity, orientation and frequency of communication between two regions. Design/methodology/approach The current study analyzed a total of 836 restaurateur crowdfunding projects launched in the U.S. through the Kickstarter platform (418) and UK Crowdfunder platform (418). Multi-way analysis of variance through logistic regression models and the logistic regression through Probit and bootstrapping are used to empirically test the relationship. Findings This study finds that the campaign success impacted positively by the images, readability and community orientation in the U.S. In contrast, there was an insignificant and positive impact in the UK Text length and videos show an insignificant impact on campaign success in both countries. Updates and comments indicated a significant positive role in both countries’ project success. Practical implications The findings show that restaurateurs can raise funds by focusing on communication signals in each region for likelihood of crowdfunding success. Platform providers and regulatory authorities can institute policies to help improve communication signals thereby promoting startups’ fundraising success. Originality/value Previous studies looked at the success of the restaurateur crowdfunding project was mainly connected to a single or individual economy, whereas the current study is among the first empirical investigations comparing and evaluating the communication’s significance in a restaurant project’s success in crowdfunding across two economies.