Charity muggers take the first 12 months of your donation

Discussion in 'Diamond Lil's' started by slim, Oct 19, 2007.

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  1. How many of you have been stopped in the street by (normally) young people trying to get you to sign up to some charity or other?
    Has anyone ever been persuaded to sign up by one of these slick salesmen?
    Finally should you sign up?

    Here is the lowdown on the Charity professionals:

    "Charity muggers take the first 12 months of your donation"
    PARTLY TRUE. Most charities have to pay "face-to-face fundraisers"/"charity muggers"/"chuggers" a set fee of between £50 and £100 for each person they sign up. This means that your monthly donations must add up to more than about £70 before the charity actually sees any of your cash. So a person who signs up to £5 a month and cancels their direct debit after a year is actually causing the charity to lose money.

    The moral of the story: only sign up to a chugger if you are going to donate for a period of years, or if your monthly donation is over £10. Even better, if a chugger convinces you of the worthiness of their cause, instead of signing up, go home and donate online via the charity’s website. You will be saving the charity up to £100

    What are your thought on giving?
  2. Re: Charity muggers take the first 12 months of your donatio

    Marketing of charities costs money, there's no getting away from that. The charities are in competition with one another for share of wallet in the same way that retailers are, although the transaction with the individual has a less tangible compensation for their cash.

    It's been known that the cost of establishing these small payment schemes is very high, and they're really predicated on encouraging individuals to increase their rate of giving once they're commited. The retention rate on these things is the more important aspect and they do spend a reasonable amount on that. There is also a segment of those who sign up who then just let it run because cancelling it is more hassle than it's worth, the pain of the small direct debit isn't enough to actually lift the phone.

    That said, it's recognised that some of the value of the street sign ups is profile, whilst many may not sign up there is benefit in getting the name of the charity seen on the streets. Personally I'm not sure about that as I also think that some people can get profoundly sick of being stopped half a dozen times in a couple of hundred yards, especially when it has the potential to happen every day.

    Direct Debit, particularly if coupled with a gift-aid endorsement is good for the charities, since they can plan their income and the tax relief does boost the value of the donation.
  3. I cancelled two of my standing orders to Charity because they were using these slick on street sales people.
    Now when approached I talk with the so called charity workers to find out what they know about the charity, how the money is spent and which countries the money goes to. Most of them don't really know much about the product that they are selling.
  4. Re: Charity muggers take the first 12 months of your donatio

    Or care - they are not charitable people, they are just like the rest of the organisation - as long as they make a buck they're not interested in how much is actually sent in aid.

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