Charity ratings are a fickle thing with highly rated charities holding the number 1 position today being overtaken by new charities coming from nowhere. Charity Water is a recent and amazing example of this. Originality and the power of the Internet, are driving the ratings of brand new charities through the roof. A charity may not know today with a non-existent rating, but tomorrow it can be rated as number one by the New York Times as being the most amazing charity ever, and wham their rating goes from zero right to the top overnight.
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.
Charity rating directory listings
With scepticism running quite high with charity watchdogs pinpointing charity problems such as misconduct, having exceptionally high amounts of funds spent on admin or the misappropriation of funds, charity rating directory lists are flourishing. It’s so funny that philanthropic organizations that set out to give to others are now under the eye of charity watchdogs. Philanthropy is becoming a little complicated!
Institutions like Givespot.com, Guidestar.org etc. provide comprehensive listings of charity ratings. GiveSpot 100 list is the list of the 100 highest ranking charities that is provided by Givespot.com. Another one that provides similar data is charitynavigator.com which has a list of the top ten charities as well a charity check system. Finding out charities is made easy by this. The biggest charity director of US is Guidestar.org with lots of free data on charity as well as information that can be availed for payment. Though its name gives a different impression, Better Business Bureau is a charity directory that gives a list of both commercial and non-profit ventures of USA.
The fact is that there are enough guides that provide information about 100 top ranking charities but these ratings does not, in reality, convey the correct picture. The ratings of a charity has actually nothing much to do with what actually makes it superior to the rest. There are unique features that place a charity or non-charity institution above the rest.
Charity Ratings and faith 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 Watchdog Scares 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 studies show that the average costs of raising funds in the UK and Australia are’% or 22% respectively. In the USA, the Association of Fundraising Professionals found the statistic to be around 30%. These figures do not even include admin expenses, which are often much higher. Some charity givers see this as a key issue especially with charitable giving often in the media spotlight like it was in Singapore a fewyears ago. The additional negative focus tends to reduce charitable giving which is not good.
Charity ratings secret exposed
There is not much difference in the way in which charity organizations and commercial organizations try to get money. How they eventually use that money may be different, but their modus operandi for attracting that money is essentially the same.
To promote the charity rating and also to ensure better cash flow, there is a one and only formula - enticement.
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 is highly attractive and hence why it’s charity-rating sky rocked so quickly and the media got behind the idea. The simple idea of selling a bottle of charity water for a premium price with the extra profit been giving as a donation to the needy to access clean water was highly attractive.
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
* Their focus was on how to solve the problem and not the problem itself. It is important for charities to properly define their focus if they want people to rate them highly. No one has interest in getting their attention turned to the unpleasant things in life. People want a positive focus. So when they are told that they can make a positive change in the lives of others by buying a bottle of water they feel happy.
How to instantly reduce one’s Charity Ratings
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.
We only need to observe ourselves with our own children and experience how when our children ask us for something in a fun and lively and enthusiastic way we just want to say yes. And when they ask us for the same thing in a whinging and whining way we say no very quickly.
The picture a charity projects would strongly affect its ratings. By projecting an arousing and motivating picture of itself it will be able to influence people well. Then people will be ready to give more in response.
Social Enterprises improve Charity Ratings and solve the problems in Getting Funds
A new business model emerged a few years ago called Social Enterprise . This in a way is a hybrid mix between a charity and a business. Some entrepreneurs want to tackle social issues but they do not find the charity model effective or attractive enough.
Many social entrepreneurs would never survive in traditional business because their ethical and moral values would always be in conflict with many of the business decisions made. Social Enterprise is a perfect arena for these very inspiring and valuable individuals who choose to use the business vehicle to effect social and global change. One of the most famous Social Entrepreneurs of course is Muhammad Yunus who was the first businessperson ever to be awarded the Nobel Peace prize in 2006.
Buy1GIVE1 commonly known as B1G1 (Buy 1 Give 1), is a global organisation that is a recent entrant into the world of charitable giving. It is a perfect blend of business and valuable causes functioning at the global level. Buy1GIVE1 has so minimised its expenses of fundraising and management that it is able to give for charity all the funds collected. The institution is similar in its attributes to the online organization Kiva.org, which has been promoted by Bill Clinton; unlike conventional charities, Buy1GIVE1 involves direct giving to charities. Many people are convinced that it is a better way for contributing things and receiving richly in return.
Successful businessmen, who are searching for a chance to give back richly to the society and to provide for deserving charities, fully understand the importance and properly structured working credos of institutions like Buy1GIVE1. Every single sale is able to affect a change somewhere - not only altruistically. It has also the ability to forcefully influence things in such a way that each act becomes a unique marketing story. There is a world of difference in the way in which Buy1Give1 works and those charities which give away thousands and thousands of dollars work, because Buy1Give1 lets their customers know what the joy o f giving is. Buy1Give1 transaction-based giving is a perfectly beautiful way of 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.
The Australian company Maple Muesli collaborates with an Indian charity called Midday Meals in the city of Mumbai. Whenever someone buys a bag of muesli, the contribution from it feeds a needy child there. A meal for a child costs only the equivalent of 30 US cents and the charity in this way feeds 125,000 kids in Mumbai every day. This makes the children desist from begging, keeps them away from streets, and makes them remain in school.
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
Newer and varied ways of gifting things to others are rated and featured in the table given below. These are Charity Comparison Data.
We have compared and rated a few well-known and less well-known charities and Social Enterprises on areas that are important to their donors.
THE SALVATION ARMY
WAY TO GIVING: DIRECT GIVING
The Salvation Army is one among the most well-known 100 charities of the world - Both individuals and enterprises make contributions directly to it.
TRANSPARENCY - B - Lack of transparency - Sum of money is contributed - but result is not fully measurable.
ADVANTAGE TO BUSINESS - C - Even a single donation to Salvation Army by a business might find mention in the press.
EXPENSES FOR RAISING FUNDS -B - Heavy expenses are incurred 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.
PROMISE FOR GLOBAL CHANGE -C- No potential noticed for bringing about a market change.
PRODUCT (RED)
PATH TO GIVING : MARKETING CAMPAIGN
Product (RED) is a brand licensed to collaborate with companies, and collect money for their Global Fund to Fight AIDS, Malaria and Tuberculosis in Africa
OPENNESS - B - Not sufficiently open - Plenty of money is being collected - but the results are not always completely clear.
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.
DONORS’ CHOICE POTENTIALS - C - Enterprises that partner with them have limited options in where their money should go - all needs are in Africa.
POTENTIAL FOR REAL GLOBAL CHANGE - B - Products (RED) only partner huge companies and all their profits go to Africa.
THE BODY SHOP
WAY TO GIVING: BUSINESS TRADE & GIVING
The Body Shop has a purchasing program known as community trade to help Third World countries; and from the income they generate, substantial contributions are made to charities.
OPENNESS - B - Not sufficiently open - Plenty of money is being collected - but the results are not always completely clear.
ADVANTAGE TO BUSINESS - A-tve - Clients are by and large happy to become part of the community trade and are encouraged to buy more - the enterprise could afford to be more visible.
FUNDRAISING COSTS - A - Lower costs - Successful business model that makes donations and boosts community trade.
DONORS’ CHOICE POTENTIALS - A - Ventures that donate has the option to decide in what way their donations are to be used.
PROMISE FOR GLOBAL CHANGE - B - The potential for giving back to the community is substantial - but not everyone have the impetus and the extra energy to impel the change.
LIVE EARTH
WAY 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.
OPENNESS - F - Intelligent Giving had reported that the takings from the concert tickets sales were not accounted satisfactorily.
BENEFIT FOR THE BUSINESS - B - It was beneficial to business sponsors as they got good media coverage, but as it was a single event results are not easily measurable.
FUNDRAISING COSTS - C - Spent millions of dollars on advertising on what some say was an unsuccessful event, which had no real goals.
DONOR’S CHOICE OF CHARITY - C - Only three charities could manage to get funds.
PROMISE FOR GLOBAL CHANGE - C - Such events can be held just once or at the most once a year. The amount collected generally goes to better known charities.
Buy1GIVE1 (B1G1 )
PATH 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.
TRANSPARENCY - A - One for one giving ensures funds given are used for what they were intended. Customers know their giving translates into real change (e.g. numbers of trees planted, numbers of children fed).
ADVANTAGE TO BUSINESS - A+tve - Outstanding marketing value due to:
* 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.
DONOR’S CHOICE OF CHARITY - A - Any donor can contribute to a specific charity, or they can insist on giving to specific causes such as food, environment, or instruction.
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 Might Think Giving away Money Would Be simple!”
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 make changes by asking probing questions about the problems they find in front of them. The winner of the Nobel Peace Prize, Mohammed Yunus, by his introduction of the new category of banking known as Microfinance has made groundbreaking achievements in solving social problems and is leading the way in showing how social enterprise and consumption of goods can positively change the world. Other such ideas worth emulating are that of Buy1GIVE1 or ‘Trade - Not Aid’ of The Body Shop. The overwhelming importance of social enterprise has to be fully appreciated.
When queried as to how someone can effect a change in the world, Bill Gates pointed towards organisations like Buy1GIVE1 (www.b1g1.com) and Kiva.org which reward the giver richly. Kiva.org ensures that those who sponsor a business get regular updates via email from those businesses. Buy1GIVE1 also ensures this. With such communication, customers get a clear picture and come to know the stories behind the charities. For example, when they buy a laptop, someone who badly needs a computer might be getting it at some other corner of the world.
Next steps to increasing your Charity Ratings
Adopt a questioning mind, hop onto a wired laptop, and with a few hours to spare look at some of the new and amazing giving systems that are being created. Most of these new systems are network based and driven from the Internet.
The present situation is that if a venture is not allied online with global networks of good standing, it stands to lose quite a lot whatever its charity rating is, by tomorrow things are likely to change — completely.
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.
You could be losing out a lot if you are not interested in forming an association with Buy1GIVE1and not persuading your business patrons to do so. Buy1GIVE1 is a unique and brilliant organisation whose impetus as well as global impact is huge.
A new era of charity giving
Companies that had no presence a few months ago are ravaging cyberspace with the echo of user acceptance. Services life Twitter , Facebook , MySpace , YouTube, NING and TipJoy are places you must have a presence in. Organisations like Change The Present, Kiva and companies like Buy1GIVE1 you should be building relationships with. These are all the new future and will all help maintain and build charity ratings. Today is a new opportunity to build a new future.
Find out more about how Buy1GIVE1 (BOGO) can transform your business using Cause Marketing. Get a totally unique version of this article from our article submission service
