When Fundraising Campaigns Don’t Ask For Funds
Would you consider me a supporter if I made a $100 contribution? Absolutely. What if I didn’t send money, but if I clicked my mouse a few times? If it leads to a grant, I suppose you would. Is the popularity of online giving contests redefining what it means to support an organization? If so, the change is about more than technology and delivery. Voting, a la American Idol, creates a very different kind of relationship between me, the supporter, and you, the nonprofit.
This year, Pepsi has been awarding $1.3 million every month through the Pepsi Refresh project. Nonprofits, individuals, and businesses submit ideas and compete for your online votes to win the awards. 32 awards totaling $1.3 million are granted each month in amounts from $5,000 to $250,000. This broadly promoted voting for dollars ties in with Pepsi’s brand building, similar to the Chase Community Giving Facebook campaign and the Sam’s Club Giving Made Simple contest.
Projects in the mix for Pepsi Refresh include nonprofits of all sizes, like Teach for America, which received $250,000, and small organizations such as the Boys and Girls Club of Schenectady, which won a $25,000 grant. The project is open to individuals and organizations that are either very new or loosely formed. Past winners run the gamut from Operation Sweet Dreams, which received $50,000 to provide new PJs to low-income kids, to helloCHANGE, a youth anti-tobacco campaign that won $250,000 in March. To win the monthly competition, submitted projects must mobilize forces and generate lots and lots of votes. After registering on the website, anyone can vote for up to 10 projects a day.
The communications strategy needed to win these competitions is different from what is needed for “traditional” development. In fundraising, nonprofits have learned the importance of reaching out to make a connection that will motivate a donor. For an online contest, the goal is clicks, not dollars. Have you ever been bombarded during one of these contests? An organization that I greatly admire was a finalist for the Sam’s Club grant. They sent me emails every day, and I wasn’t even eligible to vote (I’m not a Sam’s Club member). I wonder if convincing someone to take a few minutes every day for a month to click a vote button builds any kind of a lasting relationship. After voting a few times, am I likely to become a donor or volunteer? If I didn’t make a personal commitment in the form of funds, what kind of relationship was started?
On the one hand I’m happy to see good organizations receive funding. Wellstone Action! won a $50,000 grant in September for a great project with Native American leaders. I’m all for it. On the other hand, though, I prefer philanthropy that builds lasting relationships.
Charity contests are likely to continue as businesses learn how to capitalize on social networks to build their brands and web presence. How can nonprofits use them to build relationships that matter?