LARGE MONETARY INCENTIVES AND THEIR EFFECT ON MAIL SURVEY RESPONSE RATES

The effect of various large monetary incentives was examined in a mail survey of owners of small construction subcontracting companies. The sample was randomly divided into seven groups, each of which received either a different monetary amount enclosed with the first mailing ($1 cash, $5 cash, $5 check, $10 check, $20 check, or $40 check) or an offer of a $50 check to be sent once the questionnaire was returned. These groups were compared against each other and against a control group that did not receive an incentive. Three follow-up mailings were sent to the nonrespondents in each group. The results indicate that $1 significantly increased the response rate over the no incentive control condition regardless of the number of mailings. The response rate also increased significantly as the incentive amount increased from $1 to $5 and from $5 to $20. There was a nonsignificant difference in response rate between the $5 check and $5 cash groups. The promise of $50 did not result in a significantly higher response rate than the control group. Discussion includes a cost-benefit analysis of the incentives, as well as a section about the increased ''favorability'' of respondents toward the survey sponsor within the large incentive groups.