Charity ratings are something so inconsistent that highly rated charities might easily find themselves outdone in rating by unknown ones that materialize out of nowhere. Charity Water is a representative though new sample of this. The power of the online medium and ingenuity are helping brand new charities to drive their ratings sky high. A charity that may not have any rating one day might be considered as one of the top of the chart charities by the New York Times the next day and their rating would then go through the roof in no time.
As the public can be easily influenced by the charity ratings that the agents of mass media give, it is very easy for a completely new charity to grow very fast and be able to attract a wave of charitable donations to their side. For the same reason, when they become less popular with the media, their charity ratings also go down.
Directory lists of charity rating
With cynicism a bit on the higher side and eagle eyed guardians of charity practices ever on the lookout for malpractices, with huge amounts of money spent on managing or misuse of funds, directory listings of charity ratings are having a field day. It is rather strange that altruistic organizations, the purpose of which is to give others, themselves come under the scrutiny of guardians of ethics. Altruism is becoming a knotty issue!
Givespot.com, Guidestar.org etc. are institutions that give a detailed list of charity ratings. The list of Givespot.com is known as GiveSpot 100 list, which gives a list of charities that are rated as the top 100. Then there are other institutions like charitynavigator.org which has a charity check systems and also gives a list of the Top Ten charities so that searching for a charity becomes easy. The biggest US charity directory is Guidestar.org and it offers a wide range of charity information some of which is available for free while some of the data require payment. In USA Better Business Bureau is also a charity directory that provides a list of non-profit institutions as well as commercial enterprises.
So if you want to find the 100 top charities then there are so many charity rating guides out there and yet maybe charity ratings are actually about something else. What makes a charity stand above the rest often has nothing to do with its ratings at all. There are special ingredients that make any charity or non-charity organisation successful.
Charity Ratings and belief in the public
A 2005 YouGov poll published that the majority of the British population – 56% – had only a \’fair amount\’ of trust in the global charities like Save the Children and Oxfam . Only 15% of the charities surveyed had \’a great deal\’ of trust – even in the ones that do well in charity ratings.
Charity Warning Bells are more common
Trust in charities has dropped a lot in recent times. Yet who can blame the public. Charity watchdogs tell unsettling stories of very highmanagement salaries, charities taking as much as 60% of donations for overheads with their being little left for the actually charitable giving.
Recent analyses reveal that just the cost of raising funds could amount to about\’% in UK and 20% in Australia. The studies of the Association of Fundraising Professionals in USA put the amount to be about 30%. Administrative expenses are in addition to this and could be higher. Many charity givers find that this is the main problem, more so when charity giving grabs media attention as was the case in Singapore a couple of years ago. Such unwelcome focus becomes conducive to a decrease in charity giving which is quite unpleasant.
Charity ratings secret revealed
There is little difference between businesses and charities when it comes to attracting money. Their end use of the money is of course different, but their special secrets to attracting it in the first place are much the same.
To increase the charity rating as well as attract better flow of funds the secret can be found in a single word – attraction.
When we look at something and consider buying it, investing in it or connecting with it, we make an instant decision based on how attractive it is to us. If the level of attraction is high, we are highly interested and take action quickly and of course if low, we take our time or decide no.
Charity Water made it to the top of the chart in charity rating and got media support because of its unique and attractive image. The way they sold a bottle of charity water for the best price and projected the idea of using the profit for making clean water accessible to those who required it was very enticing.
The factors that make Charity Water quite fascinating and promote its rating are the following.
* They have a cool name – who would think of calling a charity Charity WaterThe person behind the charity was on overdrive with passion in sharing about their idea
* They had a simple, single and clear message and mission – sell water give water – Buy One Give One
* They focused on the solution and not the problem. This is the number one mistake that loses charities rating points lowering their charity rating in people\’s minds. No one wants to feel guilty and sad. They want to feel uplifted and happy. In this case happy to know they could make a difference in the lives of others by buying a simple bottle of water.
How to let Charity Ratings plummet in a second
The quickest and easiest way to lose attraction or attractiveness and thus your ratings is by focusing on the problem. No one wants to listen to anyone complaining how bad things are. Yet everyone will listen to someone who has high energy, enthusiasm, drive and determination to create something better.
To prove this, all we have to do is look at ourselves in the company of our kids and know how our response is positive when children make a request in an exuberant, polite and eager manner. The same request, if made in an irritating or maudlin way, might elicit a negative response.
The images that a charity uses will affect its charity ratings. Using uplifting and inspiring images will uplift and inspire people. Uplifted and inspired people give more and spend more.
Social Enterprise raises Charity Ratings and reduces Fundraising Problems
Social Enterprise is a new business pattern that evolved a few years ago. This combines trading with a social purpose. This pattern is a result of the interest of some businessmen who have social objectives but does not find the type of functioning of charitable enterprises satisfactory enough.
Many socially conscious businessmen may find the ambiance of a full fledged commercial venture and its decision making mechanism unpalatable. For such people a social enterprise is an apt field where they can use their business acumen and inspiration effectively to solve social problems and usher in changes. One of the best known among such socially aware entrepreneurs is Muhammad Yunus who won the Nobel Peace Prize in 2006. He was the first business man to be given such recognition.
A new global social enterprise, Buy1GIVE1 commonly known as B1G1 (Buy 1 Give 1), partners businesses with worthy cause and charity organisations right around the world. Buy1GIVE1 cuts traditional fundraising and administrative costs down to nothing: promising to give 100% of all funds received. Similar to successful online entities like Kiva.org , recently endorsed by Bill Clinton; Buy1GIVE1 is an alternative to the traditional way of direct giving to charities. Many find them a more efficient way to make contributions while gaining significant value in return.
Business leaders who are looking for opportunities to give back in effective ways and give to worthy charitable causes, see the great value and well-defined key marketing advantages businesses like Buy1GIVE1 offer. Each sales transaction makes a difference – and not just in an altruistic sense. With powerful \’impact-matching\’, businesses are gifted with an eye-opening, attention-grabbing marketing story. Compare the business that gives away a million dollars to charity with the one that lets their customers experience the joy of giving with Buy1Give1 transaction-based giving.
Enterprises like Buy1GIVE1 provide details of charity requirements, especially those which are really needy causes, and these always manage to attract lots of donations. Entrepreneurs understand very well the fundamentals of these equations and so are more likely to help such causes rather than worry about the charity rating. They know very well that people have an inherent tendency to respond to a more touching requirement, than simply to media rating.
Maple Muesli in Australia has partnered with Midday Meals in Mumbai, India. With every bag of muesli bought, a hungry child in India is fed. Midday Meals is a charity that feeds 125,000 Mumbai children every day for just US 30 cents per meal. The meals are provided in schools to keep kids off the streets and encourage learning while reducing begging and child abuse.
Maple Muesli has familiarised the whole of Australia with the noble cause of the Midday Meals. The company has made all its customers aware of the stupendous service the charity is doing and how their money is helping it. This has made Midday Meals tremendously popular even though all they are doing is providing meals for the kids. The era of Effective Giving has dawned – that of Plain Charity Donations is disappearing at the horizon.
We will surely see a change in the landscape of the top 100 charities over the coming years as new and innovative and far more effective ways of giving are created. These days we are spoilt for choice on how we can make our charitable giving. Not all of them are efficient ways to make a difference.
Other choices in Charity Ratings
Methods of charity have changed over the years and newer ways are making their presence, some of which are rated below. Comparison Points of Charity.
Rating and comparison has been done on some better known and lesser known charities and Social Enterprises on issues that concern those who donate to these.
THE SALVATION ARMY
WAY TO GIVING: DIRECT GIVING
The Salvation Army comes among the top 100 charities globally – contributions are made directly by both businesses as well as individuals.
OPENNESS – B – Not sufficiently open – Plenty of money is being collected – but the results are not always completely clear.
ADVANTAGE TO BUSINESS – C – Even a single donation to Salvation Army by a business might find mention in the press.
COSTS OF FUNDRAISING – B – Huge amounts are spent every year for raising funds.
DONOR\’S CHOICE OF CHARITY – B – There are many charities and the contributors can decide to which one they would like to give directly.
POTENTIAL FOR REAL GLOBAL CHANGE – C- Nothing new to offer in terms of market change.
PRODUCT (RED)
PATH TO GIVING : MARKETING CAMPAIGN
Product (RED) is a brand that enters into partnership with companies, which then creates products with its logo, a percentage of which goes to fighting AIDS, TB and Malaria in Africa.
CANDOUR – B – Insufficient candour – Lots of money is donated – but result is not completely quantifiable.
MARKETING VALUE TO BUSINESS – A – People and businesses love to support (RED) as it is backed by adored personalities like Oprah & Bono. Marketing results a little hard to track though.
COSTS OF FUNDRAISING – C -Simply splurges money on advertising – it would be far better if that money is sent directly to Africa.
DONOR\’S CHOICE OF CHARITY – C – Limited choice for collaborators on deciding to which charity they should donate – all their charity work is in Africa.
ABILITY FOR EFFECTING A CHANGE – B – All those who collaborate with Products (RED) are big enterprises and all the income is spent on Africa.
THE BODY SHOP
ROUTE TO GIVING: BUSINESS TRADE & GIVING
The Body Shop engages in community trade helping Third World countries; and makes huge donations to charities from their profits.
OPENNESS – B – Not sufficiently open – Plenty of money is being collected – but the results are not always completely clear.
MARKETING VALUE TO BUSINESS – A-tve – Customers are happy to be involved in community trade and are motivated to buy more. Visibility could be a lot better.
COSTS OF FUNDRAISING – A -Comparatively low – It is a good business pattern that makes a lot of donations to charities and enhances community trade.
DONOR\’S CHOICE OF CHARITY – A – Enterprises are at liberty to choose where their contributions should go.
POTENTIAL FOR REAL GLOBAL CHANGE – B – Businesses\’ giving back is great – but very few take the added effort to push for change like Body Shop.
LIVE EARTH
PATH TO GIVING : EVENT FUNDRAISING
Live Earth was a series of worldwide concerts held on 7 July 2007 that initiated a three-year campaign to combat climate change.
CANDOUR – F – As per the reports of the site Intelligent Giving, satisfactory accounts were not produced on the proceeds from the sales of tickets.
MARKETING VALUE TO BUSINESS – B – Business sponsors got good coverage – but it was only a one time event and it is not easy to test and measure results.
COSTS OF FUNDRAISING – C – Huge amounts were spent on advertising and according to some the whole event was a damp squib without any actual goals.
CONTRIBUTORS\’CHOICE OF CHARITY – C – Only three charities received funds.
POTENTIAL FOR REAL GLOBAL CHANGE – C – These events are usually held one-off or annually. Money is often given to larger, more established charities.
Buy1GIVE1 (B1G1 )
WAY TO GIVING: SOCIAL ENTERPRISE
B1G1 is a brand licensed to form a partnership with any business – connecting them with any worthy cause in any place. A truly universal precept.
CANDOUR – A – By giving for particular causes, makes sure that funds go exactly for that which it is intended. Customers get information on how exactly their money has made a change – i.e. the children whom it helped, or the environmental cause it protected.
BENEFIT FOR THE BUSINESS – A+tve – Superb marketing value as a result of:
* Quantifiable giving * Press coverage * Valuable stories * Individual to individual * Continuing customers
COSTS OF FUNDRAISING – A+tve – Absolutely no cost – B1G1 can oversee a charity\’s needs for raising funds and also manage much of the administration as well. So the funds go entirely to the charity.
CONTRIBUTORS\’CHOICE OF CHARITY – A – Business givers can choose their charity project or elect to give to a charity cause such as food or education, etc.
ABILITY FOR AFFECTING A CHANGE – A – Infinite. If increasing number of businesses can team up with charities worldwide, the possibility for real change is boundless.
You Would Think Giving away Money Would Be No Big Deal!\”
Donating money may not seem to be a difficult job – it is just a question of handing over some money as cheque, cash or via the credit card. Still, someone like George Sores, who is as generous a donor as could be, agrees that effectual giving is no cakewalk. Underprivileged communities and countries receive millions of dollars in aid and still the situation remains much the same year after year.
People asking smarter questions will bring about the needed change. Social Entrepreneurs like Mohamed Yunis, Nobel Prize winner, creating innovative solutions to poverty and environmental issues with Micro Finance are carving the way to a new future where business initiatives, social enterprise and conscious consumerism transform our world. Initiatives like The Body Shop\’s \’Trade – Not Aid\’ need to be replicated. New ideas like Buy1GIVE1 need to be embraced. The value of social enterprise needs to be recognised.
Bill Gates, when asked how one can make a difference in the world, pointed to the Internet. Kiva.org and Buy1GIVE1 (www.b1g1.com) are organisations that add value to the giver. With Kiva.org, people can receive email journal updates from the business they have sponsored. This happens with Buy1GIVE1 as well. Businesses also get the added benefit of marketing stories to tell their customers: buy a laptop with us, and we give one computer to someone who cannot afford it.
Other methods for improving your Charity Ratings
Make sure that you have an open attitude, use the laptop effectively, and keep apart a little time to observe the novel and wonderful systems of charity that are being born. These function through the internet and are mostly network based.
Today if you are not linked in with powerful global networks through the Internet you are missing out and no matter what your charity rating is today, tomorrow things will change – radically.
There are more and more examples these days of companies rising up from nothing and being sold three years later for over a billion dollars. This was unheard of ten years ago. Today this is becoming a regular occurrence. All these new Internet companies are doing one thing – tapping into global networks or creating global networks.
Buy1GIVE1 (Buy One Give One)
Buy1GIVE1 is a rather new entrant to the world of Social Enterprises and was launched in\’97 by a Japanese lady called Masami Sato. Any business can avail a membership in Buy1GIVE1, and membership charges for smaller ventures will only be one dollar a day and donations can be as little as one cent on a sale. Buy1GIVE1 is in the forefront of the Buy One Give One transaction-based giving world movement. Joining hands with Buy1GIVE1 is totally uncomplicated for businesses as well as charity needs. The working pattern of Buy1GIVE1 is perfectly controlled and practical. It connects the products or services of any given business to a needy cause (Buy1GIVE1\’s or their own) and after that whenever a sale is closed, it has to be recorded and the contribution percentage sent to the charity at the end of the month or end of quarter year directly or through Buy1GIVE1.
If you are not forging an alliance with Buy1GIVE1 and encouraging your business sponsors to become Buy1GIVE1 members you will be missing our more and more as this amazing enterprise makes a huge impact in the world of giving.
The dawn of a new age in charity giving
Organizations that have been non-entities just a couple of months ago have now invaded internet with resounding user acceptance. Having an online presence on sites like MySpace, YouTube, Twitter, Facebook, NING or TipJoy are becoming survival requirements. Likewise companies like The Present, Buy1GIVE1 and Kiva are organisations that one should build a relationship with. These are the avant garde institutions that help to create and sustain charity ratings. Now is the time to give new life to a perfect future.
Discover more about how Buy1GIVE1 (BOGO) can transform your business using Cause Marketing.
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