Exploring new ways for nonprofits and businesses to work together


Published on

Join Jay Ziskrout and Leslie Myers of Charitable Checkout as they explore the new ways nonprofits and busineses can work together.

The predominant archetype of the nonprofit-business relationship has typically centered on nonprofits asking for economic and/or in-kind support, in exchange for corporate bragging points.

It’s time to re-engineer this stale model. There needs to be an evolved approach that more completely, and measurably, aligns the objectives of both nonprofits and business.

Jay and Leslie will discuss:

Incentivizing both giving and spending
Being better at giving credit where credit is due
Using digital media to generate positive reinforcement for donors and consumers
Why ‘Win-Win’ is not enough and how to create ‘Win’ for the public as well

Follow @FirstGiving, our tweets will include #FGWebinar.

Published in: Business, Technology
  • Be the first to comment

  • Be the first to like this

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide
  • Thanks to Dan Fonseca, Meg Savin and the FirstGiving team for inviting us to present today.TODAY WE ARE GOING TO:Review some of the ways business and non-profits work together todayPresent some considerations in the creation of successful cause related marketing activities.Share with you our platform which can used as a component of “Triple Win” alliances.
  • THANKS TO: Dan Fonseca, Meg Savin and the FirstGiving team for inviting us to present today.JAY BIO:Marketing entertainment properties around the world to the media and consumers.Working with brands, enhancing public image by integrating into entertainment properties.LESLIE BIO:Devising non-profit development strategies.Consumer-Focused Brand marketing.TODAY WE ARE GOING TO:Review some of the ways business and non-profits work together todayPresent some considerations in the creation of successful cause related marketing activities.Share with you our platform which can used as a component of “Triple Win” alliances.CHARITABLE CHECKOUT:Powering collaborative cause-related marketing programs, We've arrived at some clear thoughts on what works and why in business/non-profit alliances.
  • SLIDE -> LESLIEThanks to Dan Fonseca, Meg Savin and the FirstGiving team for inviting us to present today.LESLIE BIO:Devising non-profit development strategies,Consumer-Focused Brand marketingNon-profits and business have been working together for many years. Some of the most common collaboration models include:Sales-Dependent DonationsDonation DrivesGrant Requests
  • SLIDE -> JAYSALES-DEPENDENT DONATIONS: Donating a portion of sales proceedsAligns with consumer interest in “conscious consumption” or “purchase with purpose”CHALLENGES:Requires the consumer to purchase a product in order to effect some good.Prioritizes product over cause can result in consumer cynicism.As many of you may be aware, this type of campaign is called a “Commercial Co-Venture” and can involve various legal compliance burdens.Lack of clarity re: exact amount of donation can also cause consumer concernEXAMPLE: This holiday season Jay Z and Barney’s offering 25% of sales on limited edition clothing line to the Shawn Carter Scholarship Foundation. Often these types of promotions don’t specify the portion that goes to charity which can be a real negative with consumers.Jay Z Reference: http://www.wwd.com/retail-news/department-stores/get-carter-barneys-jay-z-holiday-7183775
  • SLIDE -> JAYDONATION DRIVES: Some sort of solicitation for a donation at the checkout counter. Can be highly effective!EXAMPLE: Children’s Miracle Network -> Wal-Mart, etc. They report a 40% donation rate.CHALLENGES:If business does not make matching donations or put some skin in the game in some way, it can be perceived as an empty, half-hearted effort. Asking people to give in front of other customers can result in feeling of being pressured: Does it contribute to donor burnout?Perhaps its not the most positive way to make people feel good about being generous.
  • SLIDE -> LESLIEGRANT REQUESTS: Charity requestseconomic and/or in-kind support in exchange for corporate bragging points (expected to elevate a company's public image)Offers PR and tax benefits for business, but doesn't’t directly drive sales. Offers resources to non-profit but doesn’t maximize public awareness and public goodwill.
  • SLIDE -> JAYCompanies understand the need to appeal to a generation of more socially conscious consumers - - and that means doing good and being recognized for it in social and traditional media. HOWEVER:There is growing pressure to maximize profitability and justify expenditures….this has the impact of shrinking the pie.Increasing Non-Profit ‘Competition’There are more non-profits than ever before vying for a finite, and in some cases decreasing, pool of corporate (and consumer) resources. Number of US Non-Profits increased 25 percent; from 1.25 million in 2001 to 1.57million in 2011 (Source: The Urban Institute - http://www.urban.org/nonprofits/)We believe that there is a need to re-engineer the archetype in favor of a model that more completely, and measurably, aligns the needs and objectives of both non-profits and business.
  • SLIDE -> JAYDespite the fact that non-profits’ ultimate mission is to address specific social/culturalproblems or issues, and businesses strive to maximize profitability, the mean to these very different ends are similar. The means for achieving their respective missions often involve two similar strategies:Generating positive public awareness, and ”Sales." For non-profits "sales" translates into the acquisition of human (i.e., volunteers) and economic capital and other critical resourceswhile business pursues sales in the traditional sense. By joining forces, rowing in the same direction, in the pursuit of common means, their respective ends can be achieved; solving social/cultural problems and maximizing corporate profits, respectively and simultaneously.
  • SLIDE -> LESLIESuccess usually depends on the degree to which a program reverberates with the public (e.g., donors & volunteers for non-profits | customers for business)This means that a “win-win” effort is not enough. We need to also consider what constitutes a ‘win’ for the public.And, although Giving can be its own reward, we need something more…With cause marketing programs that achieve a Triple Win, we incentivize both both giving and spending. We motivate people to act both as bothdonors and customers.
  • SLIDE -> JAYThere are many factors that have been found to increase consumer interest and participation….to motivate them to be both good citizens and good customers. Here we present only a few:Giving credit where credit is due – A simple ‘thank you’ goes a long way. Admit it or not, Everyone enjoys when their good deeds are noticed and appreciated. In the social media age, like the option of getting kudos in full view of their friends and family.Thank-yous from nonprofits and business still usually come in the form of 1-to-1 communications. Redeemable Rewards:Instead of forcing people to purchase a product to unlock a donation, how about focusing on the cause first and reward donors after a donation is made?Businesses can promote a cause by offering their product or service (or a discount on it) as a reward for doing the right thing. Great way of incentivizing both Donor and Customer behavior.EXAMPLE: Shake Shack runs an Annual Great American Shake Sale benefiting (Share Our Strength’s) No Kid Hungry. Customers who donate $2 or more get a card for a free shake. In 2012, they raised $135K!Donation Matching: People respond better when the initiator offers to match donations….the sense that we are all in this together is highly motivating. Unlock Exclusive Content: A digital download of exclusive content for donors is a great tool to positively reinforce the brand and the overall campaign, at a low marginal cost. Examples include music downloads, videos, images, documents, apps, etc.Brand / Cause Fit: The extent to which business and charity seem to make sense together, public perceives that the company has the expertise to be extraordinarily effective in helping the charity and it clarifies the company’s market positioning.EXAMPLE: Green Mountain Coffee supporting Fair Trade charities – or – HGTV supporting Rebuilding Together –or – Disney/Kaboom.Consumer Choice: In campaigns in which consumers can choose either the charity, or the project for which donations are earmarked, increases consumers’ ”perceived control over the donation process” which results in higher participation rates. Sources: “Choice of Cause in Cause-Related Marketing,” Journal Of Marketing Vol. 76 (July 2012), 126–139;(Rumelt 1974) (Pracejus and Olsen 2004; Rifon et al. 2004)
  • SLIDE -> LESLIEWhat People Say92% want to do business with companies that are socially responsible, or give back in some way.Only 16% believe that business has made positive impact on social/environmental issuesThis shows that the awareness of CSR efforts isn't nearly as high as it could be25%, almost twice the number of people that think business is doing its part, believe that they, as consumers, can make significant impact through purchase decisions.What People Do55% have switched from what they perceive as being a less socially responsible brand to one that they believe is more socially responsible.Under the right circumstances, 65% of people are willing to make a donation as part of a CSR program.According to ebay giving works: linking in charitable giving works: Merchants with charitable components in their listings sell 30% more.
  • SLIDE -> JAYRewarded Giving’ platform built on belief in the “triple win” model.A tool to help business and non-profits collaborate on the “means” while actively engaging and rewarding the public for getting involvedEnable business to measurably and profitably connect with consumers around shared values.Platform costs borne by business.
  • SLIDE -> JAYOur Platform enables plug-n-play campaigns that include several of the incentives we’ve already covered:Automatically thanking donors in social media, elevating their social status (and generating word-of-mouth)Business-sponsored coupons in which the denomination is higher for people that give more. A digital download.Fit: Thanks to our partnership with First Giving, businesses that create campaigns using our platform can select from the universe of non-profits, assuring good fit. Choice: Businesses can select multiple charities, offering the public the opportunity to choose where their money goes.
  • SLIDE -> JAYOver the last couple of years we have helped with the means:AwarenessSales
  • SLIDE -> JAYToday, we are launching a new service that will enable any business to easily create and deploy an ongoing rewarded giving program. The focus of this release are the millions of budget-constrained small businesses that would like to do something positive for their communities and their bottom line. It is also intended to be a tool for non-profits to bring to their existing or prospective business partners.The campaign landing pages created with this application can live on Web and Facebook Pages…and hosted by us as well. Share This Link: AND let them know that we are offering a 30 free trial and a base subscription rate of only $9.99/month.REGISTER: http://test.charitablecheckout.com/account/registerACCOUNT: http://test.charitablecheckout.com/account/settingsCAMPAIGN EDIT: http://test.charitablecheckout.com/campaign/editANALYTICS: http://test.charitablecheckout.com/campaign/results
  • Exploring new ways for nonprofits and businesses to work together

    1. 1. Achieving The ‘Triple Win’ Exploring New Ways For Non-Profits & Business to Collaborate October 24, 2013
    2. 2. First, a little about FirstGiving… We believe in expanding the world of online giving FirstGiving is a peer – to – peer online fundraising platform for nonprofits and their supporters. We process donations securely, provide powerful communication tools, reporting, and event registration.
    3. 3. How this webinar works A link to the slides and recording will be sent after the webinar Ask your questions during the webinar by typing them in the question box on the right side of your screen Use the hashtag #FGWebinar to tweet about this webinar @Firstgiving. We’re listening!
    4. 4. ABOUT THE PRESENTERS • Founder & CEOCOO, CMJ Network Jay Ziskrout • Founder, LatinoVision.com @JBZiskrout Bus Dev Leslie Myers @RewardedGiving • MD, Epitaph Europe • VP Promotion, Arista/BMG • Performing Musician • Marketing, World Resources Institute • VP Cross-Sell, Citi • Marketing Manager, J Crew • MS Direct Marketing, Northwestern #FGWebinar
    5. 5. HISTORY OF COLLABORATION • Sales-Dependent Donations • Donation Drives • Grant Requests #FGWebinar
    6. 6. HISTORY OF COLLABORATION • Sales-Dependent Donations – Aligns with „conscientious consumption‟ – Prioritizes product over cause – Commercial Co-Venture – Lack of clarity re: actual charitable impact. #FGWebinar
    7. 7. HISTORY OF COLLABORATION • Donation Drives – Can be highly effective. – Business needs to put some „skin in the game‟ for credibility. – Pressuring consumer can be counter-productive. #FGWebinar
    8. 8. HISTORY OF COLLABORATION • Grant Requests – Doesn‟t directly help business. – Doesn‟t maximize public awareness and goodwill. #FGWebinar
    9. 9. SLICING UP A SHRINKING PIE • Business focus on curating social/public image. • Corporate pressure to maximize profits. • Increasing Non-Profit 'Competition.‟ – 25% growth! • Key To Bigger Slice: – Align objectives Source: The Urban Institute #FGWebinar
    10. 10. WE'RE NOT SO DIFFERENT... • Different End Goals – Non-Profits: Addressing a social/cultural problem – Business: Maximizing Profits • Means Are The Same: – Public Awareness – “Sales” • Aligning means is cornerstone of mutual success. #FGWebinar
    11. 11. WIN-WIN IS NOT ENOUGH! • Success usually depends on public engagement. • We need a „Win‟ for the public too! • Triple Win: - Incentivize the public to both Give and Spend. #FGWebinar
    12. 12. ENGAGING PEOPLE W/ „REWARDED GIVING‟ • Social Rewards: Give credit where credit is due. • Redeemable Rewards • Donation Matching • Unlock Exclusive Content • Brand / Cause Fit • Consumer Choice #FGWebinar
    13. 13. SUPPORTING STATS What People Say What People Do • 92% of consumers want brands to „Give Back.‟ • 55%+ have switched to more socially responsible brands. • Only 16% believe that business has made a positive impact on social & environmental issues. • 25% believe that they can have a significant impact through purchase decisions. • 65% are willing to donate as part of a CSR program. • ebay Giving Works: - Merchants with charitable component in listings, sell 30% more over time. Sources: Cone Echo 2013 Global CSR Study, PayPal: Fisman, Effenbein, McManus #FGWebinar
    14. 14. WHAT WE DO • „Rewarded Giving‟ platform built on belief in the “triple win” model. • Enable business to measurably and profitably connect with consumers around shared values. • Platform costs borne by business. #FGWebinar
    15. 15. THE PLATFORM • The public is invited to give, in return for social and economic incentives: • Social Status • Redeemable Rewards • Digital Media #FGWebinar
    16. 16. OUR CAMPAIGNS HAVE: Awareness: Social Thanks + Giving Squads contests have generated millions of positive social media impressions. Sales: Consumers are motivated to give, share, and purchase. 4-15% Make Donations. Up to 50% Click Through. Up to 35% Make Purchases. Up to 73% of donors share socially! #FGWebinar
    17. 17. A NEW COLLABORATION TOOL • Easy, self-service platform for SMB. • Low cost subscription-based service. • Can be deployed to Web and Facebook Pages. • Share this link with your business partners:http://get.charitablecheckout.com/smb/ • Platform Demo #FGWebinar
    18. 18. Be a part of the FirstGiving Community Facebook: facebook.com/firstgiving Twitter: @firstgiving Online Fundraising blog: info.firstgiving.com/blog
    19. 19. Interested in learning more about FirstGiving? Contact our Online Fundraising Consultants: Email: sales@firstgiving.com Telephone: 617-542-0010 x 4