Perhaps something of a silver lining to the devastating earthquake in Haiti is all the attention that online and mobile phone giving have received. Below my comments are links to just a few of the recent articles that have been published.
Sandy Stonesifer’s post on Slate.com, The pros and cons of donating money to Haiti via cell phone, provides a good explanation of how mobile giving works and the charges that the nonprofits pay to the nonprofit organization (such as the Mobile Giving Foundation) that is the liaison between the nonprofit and the wireless companies. However a nonprofit usually has to also contract with an application service provider (ASP). The ASP manages the technical components of a mobile giving campaign and the ASP charges the nonprofit for its services. In my next post, I will write about the costs that nonprofits can incur with mobile giving.
I also found her two concerns to be thought provoking.
First, if the mobile phone campaigns are promoting $5 or $10 donations will these amounts cause people to give less to charity than they would have otherwise. She wonders if the average donation amount for Haiti relief will be less than the $50 average that occurred with 9/11, the 2004 that happened after the Indian Ocean earthquake, and Hurricane Katrina in 2005. Of course it will be some time before the final tallies are in to find out what the average donation was for Haiti. Perhaps individuals gave less. r we may find that more money was raised from more people. And, the experience of giving may encourage those $5 and $10 to give more to other causes in the future.
Second, she questions whether people will "give as well." Are people going to give to charities that they have little to no research on?
Hopefully organizations, such as mGive and the Mobile Giving Foundation, effectively vet the charities that are using mobile services. On its website MGF states that it has a "detailed application process" that a nonprofit must go through. The site does not go into specifics about the application process but it does post a set of guidelines that the nonprofit must meet; http://mobilegiving.org/Files/MGFGuidelines.pdf. The guidelines are an initial screen.
However, her second concern may rest with the likely situation that a mobile phone giver has no personal connection to the charity. The old adage in fundraising is: people give to people and not to causes. I have experienced that very fact with the long standing cadre of sponsors who support me in AIDS WALK NY.
So the question remains: is the mobile giver going to become a long time supporter of the charity if there was no bond that brought the donor to the charity. Wanting to alleviate human pain and suffering is a very noble desire. Donating to a crisis is a wonderful and useful act because funds are desperately needed. But what happens when the immediate crisis passes? Will the mobile givers of today, send in another donation in three months? At the end of 2010 during the prime giving season? Perhaps a study on mobile donors and long-term giving will be done by an institution like the Center on Philanthropy at Indiana University.
I especially liked Tricia Duryee’s piece, Haiti Update: $22 Million In Donations Pour In By Text Message. Below the nonprofits she cited for raising money for Haiti via cell phones.
American Red Cross: Text the word “Haiti” to 90999 to donate $10.
Yéle Foundation (founded by Wyclef Jean): Text the word “Yele” to 501501 to donate $5; Text the word “Yele10” or “YeleTen” to 501501 to donate $10.
The Clinton Bush Haiti Fund: Text the word “QUAKE” to 20222 to donate $10.
Clinton Foundation Haiti Relief Fund: Text the word “Haiti” to 20222 to donate $10.
Salvation Army: Text the word “Haiti” to 52000 to donate $10.
UNICEF: Text the word “Hope10” or “UNICEF” to 20222 to donate $10.
Religious Broadcasters (NRB): Text the word “Haiti” to 40579 to donate $10.
Save the Children Federation: Text the word “Save” or “Safe” to 20222 to donate $10.
World Vision: Text the word “Give” or “World” to 20222 to donate $10.
International Medical Corps: Text the word “Haiti” to 85944 to donate $10.
International Rescue Committee: Text the word “Haiti” to 25383 to donate $5.
Oxfam America: Text the word “Oxfam” to 25383 to donate $10.
Cooperative for Assistance and Relief Everywhere: Text the word “PP” to 25383 to donate $10.
Americares: Text the word “Americares” to 25383 to donate $10.
Habitat for Humanity: Text the word “Habitat” to 25383 to donate $10.
MTV telethon: Text the word “Give” to 25383 to donate $10.
American Jewish World Service: Text the word “AJWS” to 25383 to donate $10.
Also kudos to Huffington Post for the article, As Wallets Open For Haiti, Credit Card Companies Take A Big Cut. I have often wondered if the average contributor realizes that a nonprofit is generally treated like any other vendor in having to pay the credit card a percentage transaction fee.
The article cites the American Express program, "Giving Express," as charging nonprofits a 2.25% fee. I personally give via this Amex division because the percentage charged is lower than the percentage the nonprofits (especially small ones) pay on their own. There is also the added incentive that card holders, who are belong to Amex’s member rewards program, receive a membership point for each dollar donated. A few years ago the program offered double points for each dollar donated.
American Express also allows its Membership Rewards members to use point balances with which to make charitable donations.
According to the giving site’s FAQs, “American Express developed GivingExpress Online to provide its Cardmembers with a convenient way to donate to their favorite charities. American Express has partnered with GuideStar and JustGive to create this site. GuideStar provides a comprehensive database of over 1,000,000 public charities in the U.S. that are registered with the IRS. JustGive processes donations and disburses funds to charities based on donor recommendations.”
With respect to giving for Haiti relief, Amex's "Giving Express" has prominently featured the following message on its home page www.americanexpress.com/give
"IMPORTANT ANNOUNCEMENT: In response to the devastation caused by the massive earthquake in Haiti, American Express will refund the merchant discount rate for charitable contributions made on the American Express Card directly to any of the non-profit organizations listed on the USAID (www.usaid.gov) website in support of Haiti relief. The refund is effective retroactively from January 12 through February 28, 2010.
All you need to do is make a donation using your American Express Card through American Express Giving Express to an organization in support of Haiti relief listed on the USAID website. You can also make a donation using your American Express Card directly to any of the non-profit organizations listed on the USAID website in support of Haiti relief.
Click here to learn more about how you can support the relief efforts in Haiti."
Here is the listing of recent articles on giving to Haiti relief:
Marketers Line Up To Speed Relief To Haiti
http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=120655&nid=109991
Confusion Over Marketers' Haiti Relief Donations Goes Viral
http://adage.com/article?article_id=141518
Marketers Rushing to Haiti's Aid Hit Twit-Storm of Misinformation
http://adage.com/article?article_id=141553
U.S. cellphone users donate $22 million to Haiti earthquake relief via text
http://www.washingtonpost.com/wp-dyn/content/article/2010/01/18/AR2010011803792.html
Texting's Biggest Moment Since 'American Idol'
http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=120700
The Red Cross Just Had A Marketing Breakthrough
http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=120685
E-mail and social help organizations raise money in time of need
http://www.dmnews.com/inbox-insider-e-mail-and-social-help-organizations-raise-money-in-time-of-need/article/161726/
Haiti Telethon Will Stretch Across Platforms, Countries; Paste Tries Different Approach
http://paidcontent.org/article/419-haiti-telethon-will-stretch-across-platforms-countries-paste-tries-diff/
Haiti Update: $22 Million In Donations Pour In By Text Message
http://paidcontent.org/article/419-haiti-update-16-million-in-donations-pour-in-by-text-message/
Updated: People Text To Donate As Haiti Earthquake Becomes Hot Topic On Twitter
http://moconews.net/article/419-people-text-to-donate-as-haiti-earthquake-becomes-hot-topic-on-twitter/
Mobile Donations For Haiti Top $7 Million
http://moconews.net/article/419-mobile-donations-for-haiti-top-7-million-/
As Wallets Open For Haiti, Credit Card Companies Take A Big Cut
http://www.huffingtonpost.com/2010/01/14/as-wallets-open-for-haiti_n_423238.html
More go online or text to donate for Haiti's quake victims
http://www.usatoday.com/money/world/2010-01-20-haiti-quake-online-giving_N.htm
Why every charity needs an SMS short code
http://www.mobilemarketer.com/cms/opinion/editorials/5194.html
The pros and cons of donating money to Haiti via cell phone.
http://www.slate.com/id/2242668/
Mobile Ad Companies Unite For Haiti Relief
http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=121193
Small Donations Make Big Impact through mGive
http://news.mgive.com/2010/01/19/small-donations-make-big-impact-through-mgive-mobile-phone-subscribers-pledge-more-than-24-million-for-red-cross-to-help-haitian-earthquake-victims/
Cellphone Companies Advance Text Donations for Red Cross – But Not Other Groups
http://philanthropy.com/blogPost/Cellphone-Companies-Advance/20652/
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