Building Up The Unpredictable Charity Ratings

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!

Organisations like Givespot.com and Guidestar.org list detailed charity ratings. Givespot.com has a detailed list called the GiveSpot 100 list, which shows its top 100 rated charities. Other organisations like charitynavigator.org have charity check systems as well as a charity Top Ten list so that look up a charity is easy. Guidestar.org is probably the biggest US charity directory offering an amazing array of charity information some free some at a cost. The Better Business Bureau in the USA, despite its name is also charity directory that lists both business and non-profit organisations.

With enough charity rating guides, there is no data shortage for anyone who wants to get information on the 100 top charities, but what constitutes real rating is something different. What in reality makes a charity superior has nothing much to do with its ratings. There are characteristics that make an organization, whether charity based or otherwise, stand out from 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 Warning Bells are more common

Belief in charities is at an all time low these days. Public can hardly be blamed for this. Charity watchdogs are ringing warning bells of charity institutions spending even up to 60% of the amount collected on overheads that include big salaries for managers so that very little remains for real charity 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 mystery 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 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.

* First of all it has an ideal name, Charity Water, which strikes a chord in people’s heart. The person behind the idea was obviously passionate about the image and about taking it to the people.

* Their idea of the vocation and their message is lucid, plain and remarkable – sell water and 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 reduce you Charity Ratings in a heart beat

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 ratings of a charity depend substantially on the image it projects in front of the public. With a motivating and inspiring image people will be swayed to its ideas. They will then be ready to contribute well to the cause of the charity.

Social Enterprise increases Charity Ratings and helps solve Fundraising Problems

Social Enterprise is a new business paradigm that arose some time ago. This endeavour combines in it a commercial enterprise and charity. This has been initiated by those who are enthusiastic of solving social problems but are not satisfied with the pattern of charity organizations.

Many socially conscious businessmen may find the ambience 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 comparatively new global social venture, Buy1GIVE1, also known as B1G1 (Buy 1 Give 1), combines commercial activities with noble causes and charity organisations across the globe. Buy1GIVE1 has reduced the costs of administration and fundraising so completely that it is able to give away the whole of the funds it gets. It functions in a way quite similar to online enterprises like Kiva.org, which has been given support by Bill Clinton; Buy1GIVE1 is a substitute for the conventional style of direct giving to charities. Lots of people find them a more practical way for making donations while receiving valuable things in return.

Entrepreneurs, who are forever on the lookout for avenues to give in return to the society in effectual ways and to donate to beneficial charitable causes, realise the exemplary worth and strong marketing principles of organisations like Buy1GIVE1. Each and every sale that is made makes a change – not merely philanthropically. It makes a change with its strong impact as well, for every sale that is made becomes a poignant story that is an eye-opener. Buy1Give1 is a far cry from the commercial enterprises that might donate a million dollars to charity, for it lets the customers fully relish the joy of giving. The transaction-based giving of Buy1Give1 is a lesson in perfection.

All ventures like Buy1GIVE1 particularize charities and these are mostly charities where help is considered to be fully necessary, with enough potential to attract contributions. Businessmen obviously understand how poignant situations attract customer interest and as such they tend to support such causes rather than give importance to the organisation’s rating. They are only too conscious of the customers’ proclivity to bond better with a stronger story than worry about charity 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.

In a matter of a few years, changes are bound to happen in the background of the top 100 charities as more inventive and effectual ways of giving originate. The current scenario offers very few choices on how to give for a charitable purpose. All the available ones are not good enough to make a dent in the existing problems.

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.

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 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.

MARKETING VALUE TO BUSINESS – C – Businesses’ one-off contributions to Salvation Army may be mentioned 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.

TRANSPARENCY – B – Lack of transparency – sum of money is contributed for every purchase – but result is not fully measurable.

ADVANTAGE TO BUSINESS – A – People and enterprises by and large prefer to support it as it is promoted by popular idols like Bono and Oprah. End result of marketing is not correctly available.

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.

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 is involved in community trade to help economically backward countries and makes large donations to causes from the profit they generate.

TRANSPARENCY – B – Lack of transparency – sum of money is contributed for every purchase – but result is not fully measurable.

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.

EXPENSES FOR RAISING FUNDS – A – Costs are kept low – Business design is good enough to attract large contributions and further community trade.

CONTRIBUTORS’CHOICE OF CHARITY – A – Businesses can choose where their money goes.

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 music concerts for a global audience held on July 7, 2007 which kick-started a three-year long campaign to fight climate changes across the world.

CANDOUR – F – As per the reports of the site Intelligent Giving, satisfactory accounts were not produced on the proceeds from the sales of tickets.

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.

CONTRIBUTORS’CHOICE OF CHARITY – C – Only three charities received funds.

ABILITY FOR EFFECTING A CHANGE – C – Occasions like this can be managed only yearly or may be still rarely. The earnings are mostly donated to charities that are already established.

Buy1GIVE1 (B1G1)

WAY TO GIVING: SOCIAL ENTERPRISE

B1G1 is a brand licensed to any business – partnering them with any charity anywhere in the world. A truly global concept.

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).

BENEFIT FOR THE BUSINESS – A+tve – Superb marketing value as a result of:

* Quantifiable giving * Press coverage * Valuable stories * Individual to individual * Continuing customers

EXPENSES FOR RAISING FUNDS – A+tve – No cost at all – B1G1 can look after a charity’s fundraising requirements which will include a good percentage of management also. All the funds that have accrued go to the cause.

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.

Asking the right questions is necessary for bringing about the required changes. Social entrepreneur Mohammed Yunus, who won the Nobel Peace Prize, has done pioneering work in the field of Microfinance and is revolutionizing the ways in which indigence and environmental problems can be tackled. People like him are showing the way as to how consumerism and social enterprise can change the face of the world. Another such example is the ‘Trade – Not Aid’ of The Body Shop. The ideals of Buy1GIVE1 are equally potent and are a model for charities. Social enterprise needs total recognition.

When questioned on how one can bring about some positive global change, Bill Gates showed Kiva.org and Buy1GIVE1 (www.b1g1.com) as examples of charities that enrich the giver. Those who sponsor a business are updated by Kiva.org about the activities of the business. Buy1GIVE1 also does this. By this arrangement enterprises get enough stories to tell their clients – if they buy a laptop they will know that it will help in some needy person somewhere else getting a computer.

Other methods for improving your Charity Ratings

Ensure that you have an inquisitive mind, and remain connected to a computer, and spare some time to find out about the new types of charities and how they function. These programs are mainly based on networking and work through 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.

Many enterprises emerge out of thin air nowadays and grow enough in the matter of maybe three years to be sold for more than a billion dollars. This was unconceivable ten years ago, though today it has become a routine state of affairs. All these online enterprises are doing the same thing – drawing on international networks or themselves making international 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

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.

Find out more about how Buy1GIVE1 (BOGO) can transform your business using Cause Marketing.

Tags: BOGO, business, Buy1GIVE1, cause marketing, charity, marketing, society