Virtual gift donation on live streaming apps: the moderating effect of social presence

ABSTRACT Some types of live streaming platforms allow viewers to purchase virtual gifts and donate them to streamers. In the Greater China area, the purchase and donation of virtual gifts have created a unique ecological system where streamers benefit from splitting earnings with the platforms. This study aims to explore viewers’ motivation to participate in such systems. The concept of parasocial relationships is employed to examine the relationships between these viewers and streamers, whereas social presence theory is used to examine the relationships among viewers. The results of an online survey confirm that social presence moderates the relationships between parasocial relationships and other constructs. Meanwhile, constructs such as enjoyment, loyalty, and trust positively influence the virtual gift donation intention. The findings have both theoretical and practical implications.