Lost Time in Crowdsourcing Contests

Crowdsourcing contests are a popular way to seek innovative business solutions, but the availability of multiple contests can cause “lost time,” the delay between a contest’s start and a solver’s first visit. This study examines how lost time affects solvers’ submission behavior and its impact on matching inefficacy, measured by solver disqualification, which occurs when a solver fails to meet the seeker’s baseline submission criteria. Using mediation analysis, we show that lost time can increase matching inefficacy because solvers spend less time on their initial submissions and submit fewer solutions. Interestingly, we identify latecomer disadvantage as an important mechanism driving solvers’ behavioral responses to lost time, suggesting that simply increasing contest duration does not eliminate the issue. Instead, modifying submission behaviors through incentive structures—such as early bird bonuses—and continuous feedback may help alleviate the negative effects of lost time. Additionally, offering grace periods to late entrants can counterbalance the disadvantage of joining later. These strategies, informed by our findings, can enhance solver engagement and improve the effectiveness of crowdsourcing platforms in achieving desirable outcomes.