America's Charity
Checkout Champions
Top Campaigns That Inspired Consumers to Donate at Point of Sale in 2012
America's Checkout Charity Champions…Page 2
Tips for Point of Sale Campaign Success…Page 7
The 2012 List of Million-‐Dollar-‐Plus Campaigns…Page 8
2
A
MERICA
’
S
C
HECKOUT
C
HARITY
C
HAMPIONS
2012’s Top Point of Sale Donation Programs: A Cause Marketing Forum Report
In the United States, it is common to be asked to donate spare change or give a dollar to a good cause when shopping or dining out, but until now no data has existed on the scope of such
corporate-‐backed charity checkout campaigns. In the Spring of 2013, the Cause Marketing Forum analyzed the largest programs to better understand how much this form of fundraising generates for charity each year, the benefits to participating companies and best practices for creating more successful programs.
More than $358 million was raised in 2012 by an elite group of 63, million-‐dollar-‐plus charity checkout campaigns identified by Cause Marketing Forum. In aggregate, these large point of sale donation programs have raised over $2.3 billion over three decades.
While most initiatives involve brick-‐and-‐mortar retailers, the number one consumer donation-‐ producing program in 2012 was eBay Giving Works: its US participants generated more than $54 million for thousands of nonprofits. Throughout the year, eBay Giving Works empowers sellers to earmark a percentage of their sales proceeds to charity and also invites buyers to make voluntary contributions. Since 2003, eBay Giving Works has generated over $240 million in charitable donations in the US alone.
The largest in-‐store program of 2012, a six-‐week Miracle Balloon Campaign by Walmart and Sam’s Club, brought in $41.6 million to benefit Children’s Miracle Network Hospitals (CMNH).
Consumers purchased paper balloon icons at checkout in more than 4,000 stores to support the national network of pediatric hospitals. Since 1987, the annual campaign by Walmart and Sam’s Club has raised more than $556.8 million for CMNH.
The third largest consumer donation campaign was a year-‐round coin collection effort at 13,000+ McDonald’s restaurants that raised $27.9 million in 2012 to benefit Ronald McDonald House Charities. Between 1992 and 2012, the program raised $227.4 million.
$358.4 Million
tOTAL DONATIONS RAISED IN 2012 BY
63 MILLION-DOLLAR-PLUS CAMPAIGNS
$2.3 billion
$27,900,000
BIGGEST BENEFICIARIES
20.3
%
47
%
21.2
%
16.6
%
14.5
%
$59 MILLION
THE BIG THREE
online
$52 MILLION
supermarkets
TOP BUSINESS SECTORS
$72.6 MILLION
Mass Merchandise
/
club
3
2
1
$51 MILLION
qsr
/
casual dining
to the Children’s Miracle
Network Hospitals via paper
icon sales
$41 Million
Miracle Balloons
TO OVER 22,000 NONPROFITS VIA
BUYER AND SELLER
CONTRIBUTIONS
$54 million
Online Donations
TO RONALD MCDONALD HOUSE
CHARITIES VIA COIN DONATION
BOXES NEAR REGISTERS
$27 million
COIN COLLECTION
Children's Health
$168.4 Million
$76 Million
Health
14.5
%
4 Sectors Generated
64
%
of Total
Dollars Raised
For a copy of the full
report on America's
Charity Checkout Champions, visit:
Total funds raised in aggregate
over 30 years
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The data collected by Cause Marketing Forum on the largest programs is just the tip of the iceberg. For each of the 63 million-‐dollar-‐plus point-‐of-‐sale campaigns identified in this study, Cause
Marketing Forum estimates there were hundreds of smaller campaigns fielded by businesses large and small, each of which raised thousands to hundreds of thousands of dollars annually. This report does not equate bigger with better; resource limitations led us to focus on programs that generated $1 million or more. There were also some multi-‐million dollar campaigns in 2012 for which Cause Marketing Forum could not obtain data.
The goal of this report is to provide a window into how much is being raised by consumer donation campaigns, describe the techniques being used and offer tips on creating successful programs. It concludes with a list of 63 initiatives that generated more than $1 million for charity in 2012.
About the Checkout Charity Champions Methodology: Cause Marketing Forum combed through public data to identify the largest point of sale donation programs and asked companies and nonprofit organizations to provide campaign details in the spring of 2013. We relied on publicly available information such as annual reports or press releases when companies or nonprofits declined to provide information for the study. Information based on public information is footnoted in the report.
To qualify for inclusion, a Charity Checkout Campaign had to invite consumers to make donations at point of sale and had to have raised at least $1 million in consumer donations in 2012. Only program activity in the United States was included in the study.
The Biggest Beneficiaries
Children’s health charities were the beneficiaries of a whopping 47% of total dollars ($168.4 million) generated by point of sale donation campaigns measured in this study. Two giants in this space include St. Jude Children’s Research
C
HILDREN
’
S
H
EALTH
CHARITIES COMPRISED
47%
OF TOTAL
DOLLARS RAISED
Hospital and Children’s Miracle Network Hospitals, which raises money for a network of 170 hospitals throughout North America. Clearly, helping sick children is a compelling ask.
Charities fighting disorders and diseases received the second largest share of donations: 21.2% ($76 million) of dollars raised went to groups fighting conditions such as autism, breast cancer, cystic fibrosis and muscular dystrophy.
Top Industry Sectors
Four industry sectors dominated this collection of campaigns generating $1 million: Mass merchandise/club stores
(Walmart/Sam’s Club , jcpenney, Kmart, TJX, and Costco) rang up $72.6 million for good causes, a 20.3% share of dollars raised. The online sector (eBay and Apple) brought in 16.6% of donations. The supermarket sector (Safeway, Food Lion, Stop & Shop, Publix) carted in $52 million for a 14.5% share. Casual dining/quick serve restaurants (McDonald’s, Yum! Brands, Chili’s Grill & Bar, Wendy’s, Arby’s and Joe’s
Crab Shack) collected $51 million in donations, 14.2% of the total.
Tactics: Consumer donation cause marketing campaigns can take many formats. The most popular include:
Icon/Pinup: At checkout, consumers are asked if they’d like to “purchase” what is typically a paper icon (e.g. a sneaker or pink ribbon) for a set dollar amount (usually $1, $3 or $5) to benefit a designated charity. The icon is then displayed in the store. Partners of Children’s Miracle Network Hospitals have raised hundreds of millions through the group’s ‘Miracle Balloon’ pinup program over the years.
Donation Request: Similar to the ‘pinup’ program above, consumers are asked to make a flat donation upon checkout, typically in a fixed dollar increment.
Coin Collection: A canister, box or other collection device is placed at point of purchase with messaging on where a consumer’s spare change will be donated. Ronald McDonald House Charities received $27.9 million in 2012 from coin collection in over 13,000
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Round-up: Consumers are asked upon checkout if they’d like to round up their purchase to the nearest dollar increment with the overage going to a designated charity. For example, if a consumer agrees to round up a $12.47 purchase, $.53 goes to charity and the consumer pays an even $13.00. jcpenney raised $10.4 million in 2012 over 6 months using this tactic to benefit 7 nonprofit organizations.
Incentives: A popular way to stimulate greater participation in consumer donation campaigns is
to offer an incentive. Incentives regularly used include a coupon for future purchase at the participating retailer or a collection of offers from other companies. These incentives entice consumers to donate, make the “ask” from cashiers a bit easier and, structured properly, can provide valuable data to measure sales impact for companies. Via their ‘Give, Get and Save the Rainforest’ campaign, for example, Macy’s raised $3.2 million for The Nature Conservancy by giving shoppers who made a $3 contribution a discount coupon.
Longevity: Many of these campaigns have been around for years, creating brand affinity and campaign consistency for the nonprofit and the participating company. The longest running campaign in this survey, a partnership between Kmart and the March of Dimes, began in 1983. The campaign raised $8 million in 2012 and raised a grand total of $106 million for the charity between 1983 and 2012.
Business Benefits: In our years of reviewing these programs at the Cause Marketing Forum, we’ve seen how charity checkout campaigns can provide business benefits such as driving store traffic, stimulating sales through associated coupon redemption and elevating employee job satisfaction. Executives behind some leading programs shared these thoughts on the win-‐win nature of such initiatives:
Greg Pedone, General Manager of eBay Giving Works, told us: "As a leading charitable giving platform, we understand the power of our global commerce networks and technologies to enable our community of over 112 million to support the causes they care about most. Over the past decade, our giving programs have raised more than $350 million for more than 30,000 organizations all around the world.
“And in addition to all the social impact these funds have enabled, we're also realizing important business benefits as a result of our efforts to scale charitable giving. We're deepening relationships with our buyers and sellers, building new partnerships with celebrities and retailers, and
innovating our tools and technologies to drive anywhere, anytime shopping and giving.”
Walgreen Co.’s Bonnie Gordon said that “Doing good equals doing good business. There IS value in cause marketing.” One of the top business benefits of Walgreens’ Way to Well initiative is to “(b)uild Walgreens brand preference and differentiation, ultimately increasing consumer basket and trial of health and wellness services,” she said.
Holly Thomas, VP of Cause Marketing for Macy’s, shared, “Point of sale charitable donation
campaigns have been a very important strategy for Macy's, working with national partners such as Reading Is Fundamental, the American Heart Association's Go Red for Women movement and March of Dimes to name a few. Our entire organization is energized by the success of these campaigns, and our customer appreciates the easy opportunity to give back -‐ that when compounded across the country, adds up to big results for our charity partners.
“We believe in long-‐term partnerships where -‐ together with our customers -‐ we can drive real social impact through a sustainable business model. We are proud to celebrate decade-‐long partnerships this year with Go Red for Women, Reading Is Fundamental and Make-‐A-‐Wish. Together, these 3 partnerships have totaled more than $128 million in fundraising.”
Conclusion: The data and insights contained in “America’s Charity Checkout Champions” makes it clear that point of sale donation campaigns should be taken seriously as a source of charity
funding and a vehicle for companies to do well by doing good. Cause Marketing Forum intends to track progress in this field and invite all companies and causes to join us in celebrating
outstanding efforts and sharing best practices in producing sustainable programs that generate social and business benefits.
For more information, please contact info@causemarketingforum.com.
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Children’s Miracle Network Hospitals’ Chief Corporate Partnerships Officer, Clark Sweat, has the following tips for creating point of sale programs that pack a punch with
consumers.
1) Select the right partner – To ensure an authentic partnership, there must be a natural fit between nonprofit and corporate brand, including a corporate culture that sees eye to eye. Logistically, this means a high traffic location that matches well with your brand footprint (local, regional, national).
2) Educate employees -‐ If the people “selling” your campaign don’t buy into the importance of the program, results suffer. It’s critical to provide support and training to these key front-‐line ambassadors at the register as well as tactics to bolster confidence to make a consumer ask with each transaction.
3) Create professional materials - There are many logistical challenges that accompany retail-‐ based programs. Well-‐designed materials that demonstrate impact can ensure your boxes get opened on site, and systems to track delivery and simplify the reordering process are critical.
4) Build Incentives for customers – Whether it’s offering coupons for future purchase or simply providing a choice of multiple giving levels, consumers are more likely to make a donation if there’s something to entice them to do so.
5) Involve vendors to build a total store event – Some of the most powerful programs leverage key vendors so that the promotion becomes more visible throughout the entire store and prepares the customer for an ask upon checkout.
6) Analyze the data -‐ Campaign analytics are of critical importance and should be examined daily during the campaign in order to proactively identify challenges or replicate wins.
7) Recognize and thank – When the campaign’s over, it’s not over yet. It’s essential to provide campaign results both to employees and consumers after the conclusion of the campaign for a comprehensive experience.
T
HE
L
IST
Company Name Charitable Beneficiary Initiated Year Final Donation 2012 Total Campaign Donation Since Inception
eBay
Over 22,000 Nonprofit
organizations 2003 $54,020,000 $240,968,189
WalMart and Sam's Club
Children's Miracle Network
Hospitals 1987 $41,643,464 $556,750,072
McDonald's
Ronald McDonald House
Charities, Inc. 1992 $27,900,000 $227,400,000
Costco Wholesale Children's Miracle Network Hospitals 1988 $14,444,331 $136,649,713
Safeway Hundreds of nonprofit organizations 2001 $12,350,561 $107,516,468 Safeway Easter Seals Special Olympics Rebuilding Together
Multiple local nonprofits 1986 $9,237,548 $139,000,000
Safeway The Prostate Cancer Foundation 2001 $9,235,491 $84,932,527
Walgreen Co. Susan G. Komen for the Cure 2011 $8,541,403
Kmart March of Dimes 1983 $8,000,000 $106,000,000
Safeway The Muscular Dystrophy Association (MDA) 2002 $7,607,677 $68,782,673
Lowe's*
The Muscular Dystrophy
Association (MDA) 2001 $7,600,000 $30,000,000
Kmart*
St. Jude Children's Research
Hospital 2006 $7,500,000 $37,000,000
Pizza Hut
United Nations World Food
Programme 2007 $7,400,000
CVS/Pharmacy St. Jude Children's Research Hospital 2004 $6,400,000 $37,446,525
Speedway
Children's Miracle Network
Hospitals 1991 $6,272,307 $50,000,000
Rite Aid 97 Children's Miracle Network Hospitals 1994 $6,000,000 $56,000,000
iTunes American Red Cross $5,300,000
Walgreen Co. American Red Cross 2011 $5,287,932
CVS/Pharmacy
ALS Therapy Alliance
Cystic Fibrosis Foundation 2002 $5,200,000 $30,274,639
Chili's Grill & Bar* St. Jude Children's Research Hospital 2002 $5,059,671
Food Lion Children's Miracle Network Hospitals 1991 $5,000,000 $45,000,000
Macy's Reading is Fundamental 2004 $4,800,000 $27,000,000
Dick's Sporting
Goods* St. Jude Children's Research Hospital 2007 $4,800,000 $22,000,000
Taco Bell
Taco Bell Foundation for Teens
Various Nonprofit Organizations 2010 $4,200,000 $10,000,000
Toys "R" Us Toys for Tots 2004 $4,000,000 $31,600,000
ANN INC. St. Jude Children's Research Hospital 2007 $4,000,000 $15,800,000**
Williams Sonoma*
St. Jude Children's Research
Hospital $3,800,000
Spirit Halloween Over 130 children's hospitals 2006 $3,500,000 $11,000,000
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Macy's The Nature Conservancy 2012 $3,200,000
Food Lion Easter Seals 2004 $3,100,000 $16,000,000
Macy's March of Dimes and 8,000 local nonprofits 2006 $3,100,000 $42,000,000
Toys "R" Us Autism Speaks 2007 $3,100,000 $13,300,000
GNC* St. Jude Children's Research Hospital 2006 $3,100,000 $10,000,000
Stop N Shop The Jimmy Fund 1995 $3,000,000 $50,000,000
Wendy's Dave Thomas Foundation for Adoption 1996 $2,790,000 $20,000,000
Arby's Share Our Strength 2011 $2,665,129 $4,170,000
Publix
21 Children's Miracle Network
Hospitals 1992 $2,507,029 $23,576,549
New York & Company* St. Jude Children's Research Hospital 2008 $2,500,000 $10,000,000
Corner Stores 32 Children's Miracle Network Hospitals 1997 $2,357,229 $16,902,450
Claire's* St. Jude Children's Research Hospital $2,000,000
jcpenney USO 2012 $1,900,000
Toys "R" Us
Alex's Lemonade Stand
Foundation 2011 $1,900,000 $3,400,000
Sears
Rebuilding Together and its 200
local affiliates 2007 $1,800,000 $15,500,000
Sunglass Hut One Sight 2006 $1,792,445 $6,700,000
jcpenney
Breast Cancer Research
Foundation 2012 $1,600,000
Circle K American Red Cross 2010 $1,513,160 $3,000,000
Ace Hardware Children's Miracle Network Hospitals 1991 $1,500,000 $50,000,000
jcpenney
4H
Boys & Girls Clubs 2012 $1,490,000
Finish Line* Special Olympics $1,450,000
Love's Travel Stops &
Country Stores Children's Miracle Network Hospitals $1,432,911
Wells Fargo American Red Cross $1,400,000
Brooks Brothers
St. Jude Children's Research Hospital
Make-A-Wish Foundation 2005 $1,350,693 $7,785,000
Jiffy Lube Muscular Dystrophy Association $1,250,000
Famous Footwear March of Dimes 2003 $1,245,000 $11,195,000
JP Morgan/Chase American Red Cross 2012 $1,198,324
American Airlines U.S. Fund for UNICEF 1994 $1,185,740 $8,880,407
Kia Motors DonorsChoose.org $1,150,000
jcpenney Share Our Strength 2012 $1,100,000
TJX Companies American Red Cross 2012 $1,030,331
Joe's Crab Shack Share Our Strength 2005 $1,013,998 $2,400,000
Family Video Lymphoma Research Foundation $1,000,000
* Data gathered from publicly available sources (see Appendix A) ** Reflects several programs
Appendix A
Lowe's* http://www.prnewswire.com/news-releases/lowes-raises-more-than-76-million-for-mdas-shamrocks-against-dystrophy-146244055.html
Kmart* http://www.stjude.org/stjude/v/index.jsp?vgnextoid=e06319b764c0d310VgnVCM100000290115acRCRD&vgnextchannel=9f6113c016118010VgnVCM1000000e2015acRCRD
Chili's Grill & Bar*
www.createapepper.com and
http://www.stjude.org/stjude/v/index.jsp?vgnextoid=f9781976d1e70110VgnVCM1000001e0215acRCRD&vgnextchannel=56297ff0be1 18010VgnVCM1000000e2015acRCRD&SearchUrl=search_results.jsp&QueryText=chili's
Dick's Sporting
Goods* http://www.stjude.org/stjude/v/index.jsp?vgnextoid=e06319b764c0d310VgnVCM100000290115acRCRD&vgnextchannel=9f6113c016118010VgnVCM1000000e2015acRCRD
Williams Sonoma* http://www.stjude.org/stjude/v/index.jsp?vgnextoid=e06319b764c0d310VgnVCM100000290115acRCRD&vgnextchannel=9f6113c016118010VgnVCM1000000e2015acRCRD
GNC* http://www.prnewswire.com/news-releases/gnc-surpasses-10-million-in-contributions-to-st-jude-childrens-research-hospital-191373141.html
New York &
Company* http://www.stjude.org/stjude/v/index.jsp?vgnextoid=e06319b764c0d310VgnVCM100000290115acRCRD&vgnextchannel=9f6113c016118010VgnVCM1000000e2015acRCRD
Claire's* http://www.stjude.org/stjude/v/index.jsp?vgnextoid=e06319b764c0d310VgnVCM100000290115acRCRD&vgnextchannel=9f6113c016118010VgnVCM1000000e2015acRCRD
Finish Line* http://www.businesswire.com/news/home/20130117006314/en/Finish-Line-Youth-Foundation-Raised-1.45-Million
