Conclusions: Can marketing activate philanthropy?

Among the main findings, our articles show:

• Philanthropists continue to give and expect to shoulder greater responsibility in a time of need – but there is a belief and some research that says philanthropists could do more.
• Among the barriers to giving is a feeling of financial insecurity among the wealthy as the markets continue to fluctuate, though the insecurity is not related to amounts of money so much as how wealthy they feel.
• Philanthropy is a taboo topic – particularly in the UK. Yet, it is felt advisors and donors could be instrumental in promoting philanthropy if they were brave enough to talk more openly about it. Enabling advisors to broach the topic with clients, who are unlikely to raise it themselves, is considered an important next step in developing the advice market.
• Entrepreneurial philanthropists wanting alternatives to cheque-writing are driving innovation in the philanthropic marketplace – impact investing, matched funding and venture philanthropy are some of the new, measurable and increasingly acceptable ways to ‘do’ philanthropy. The hope is they may harness philanthropy as a powerhouse for social change.
• While giving remains a highly personal impulse, often motivated by life-changing experiences, more mundane considerations, such as low administration costs and efficiency of beneficiary organisations, continue to be key factors in who donors support. Personal taste is also powerful in influencing choice. Impact is important – donors want to know the difference they make – but new research shows they want more accessible and meaningful evidence. Lengthy, complicated reports are not appreciated and donors tend to find their own ways to filter information and make funding choices in lieu of user-friendly information.
• Philanthropists, particularly the entrepreneurial kind, are increasingly active and seek to solve rather than just support; they want to use their skills and experience in making a difference. Organisations that want to truly engage donors need to lower their own barriers and hand some power to their supporters.

Can marketing help in this new philanthropic landscape?

In this edition we also ask whether marketing can play a part in promoting philanthropy. Not everybody believes it can or should – certainly traditional marketing methods are not considered the best approach. However, marketing has developed apace and it’s possible that social marketing, with its interactive dimension, might be the key to engaging donors and opening up conversations around philanthropy – vital to its promotion.

'The Giving Pledge', launched by leading philanthropists Warren Buffett and Bill Gates, is a campaign of its time. It fulfils many of the criteria for success as outlined by marketers and practitioners in the preceding articles, namely:

• It invites its audience to be part of the solution, asking them to help shape the campaign by sharing their ideas. They are active players and involved not just for their money but for their knowledge and experience.
• Billionaires are invited to share their views at confidential social events where they can speak freely.
• The campaign is ambitious and based on a ‘big ask’ – to pledge to give away 50% of their wealth.
• It makes the most of social marketing channels – there is a website, a Facebook page, and it has excited the blogosphere and other online PR channels with its story.

Will it work? Some believe the aspiration may remain that. At the time of writing four billionaires have taken the pledge and there is likely to be a way to go before the ‘tipping point’ is reached. But it has certainly shifted the media spotlight on philanthropy and in that way might help confront some of the taboos that surround it.

In conclusion, we’d like to suggest a campaign of our own that aims to tackle those taboos and spark conversations around what might work in promoting philanthropy. We invite interested parties with other ideas to join in. Email your feedback and ideas to theeditor@philanthropyuk.org

The campaign

The campaign centres on a charity staple – a badge, proclaiming a pro-philanthropy statement and featuring a URL to the Philanthropy UK website, where those interested can find more information about the campaign, the issues around promoting philanthropy, and on how to be a more effective philanthropist. The site offers links to the many hundreds of organisations and networks that can provide further support for people interested in exploring philanthropy.

The rationale

Third Sector marketing specialist Lee Jackson says marketing is based on a simple principle: a problem and a solution. Here we analyse the campaign in that context.

Problem 1 – Philanthropy is taboo

As seen from the preceding articles, philanthropy is a taboo topic; both client advisors and philanthropists are not comfortable talking about it. Yet if it remains ‘in the closet’ donors, without the support of peers or advisors will be left in the dark as to how to do it better. There is a call for a more ‘open philanthropy’, for philanthropists and ‘donor leaders’ to stand up and be counted and inspire others as role models, mentors and influencers. Could a badge unite and mobilise philanthropists under a slogan and start conversations about it?

Solution: I wore the badge on a tube trip through London and noticed most people read it – it seems people can’t resist a badge. One person asked me about it, sparking a conversation about philanthropy. It’s not scientific evidence – though our article shows many are not keen on complex, overly-long evidence of impact  – but it is real evidence that a badge is a talking point and can excite interest and spark conversations. Worn in the right environment and by key people, a badge bearing this simple statement could help overcome the difficulty of raising the ‘philanthropy question’, as well as become an endorsement of philanthropy in influential circles. 

Problem 2  - Defining audience
Defining ‘philanthropy’ is difficult and so understanding the philanthropic demographic is tricky. What do philanthropists have in common? They give money to causes they are passionate about for many different reasons. Beyond that they are individuals. Philanthropists are people with a wish to ‘make a difference’ and with different amounts of money available to make that happen.  But defining them by how much they give is a little crude, research suggests. Targeting based on donor interests may be more fruitful. Donors say they want to be part of the solution they fund – they like to be involved in the causes they support beyond the money they give and Barclays Wealth research shows a move towards more active philanthropy.

Solution: In fact this campaign is not about the badge, but the wearer. The wearer defines the slogan – not the other way around. A billionaire philanthropist, a community leader, a celebrity, or an advisor each add their own value to the badge and slogan. So rather than devise a campaign for a notional philanthropist – this is for all philanthropists. It puts the all important ‘I’ in ‘philanthropy’ and allows the wearer to become an integral part of the solution in promoting philanthropy. Philanthropists, we hear, are becoming more active, and isn’t a badge the ultimate symbol for activism?

Problem 3 - Marketing is expensive

Marketing can be an expensive, complex and time-costly undertaking. Campaigns are difficult to measure and ROI is hard to prove. Often they are not cost-effective and sometimes fail.

Solution: Marketing doesn’t have to be expensive. A campaign that uses a badge as its main tool is fairly inexpensive. Of course, making it part of an integrated campaign, such as ours, adds some levels of complexity, time and cost – though online technology is fairly cost-effective. The badge aims to drive people to a landing page on the Philanthropy UK website where those interested can find out more about the issues of promoting philanthropy and their part in that, as well as useful links to philanthropy resources and helpful organisations.

A badge, or indeed a t-shirt or cap bearing this slogan, if it worked as planned, would create a word of mouth campaign; a powerful and inexpensive awareness raising and influencing channel. The slogan lends itself to one-to-one, face-to-face conversations in which the wearer can tell their own stories of giving – all key factors in promoting philanthropy, as we have heard from the marketers we have interviewed. A good story has the scope to engage and inspire and excite online PR and marketing channels such as blogs, forums and websites, as The Giving Pledge has.

Problem 4 - Philanthropy should be pleasurable

“Philanthropy has become too cerebral,” says Felicity von Peters, managing editor of Berlin-based Active Philanthropy which has just launched a playful toolbox to help donors and advisors support other donors in their philanthropy. ‘Fun’, ‘pleasure’, ‘reward’ and ‘enjoyment’ are important ingredients of philanthropy, as our articles show. Philanthropy is about passions, and involves the heart as well as the head. Philanthropists have never claimed to be altruists – they expect to enjoy their giving as they do it, along with the results of it.

Solution: The design of the slogan has at its centre a ‘heart’. It has associations with the phenomenally successful ‘I love New York’ campaign. New York is a classy brand synonymous with passion, enjoyment, pleasure and fun. In that sense there are authentic associations between the two.