Network for Good

Update: As of February 2, 2010, three weeks after the earthquake in Haiti, Network for Good has processed $5.3 million in donations to organizations responding in Haiti. Results including the additional $1.3 million in donations do not significantly change the trends outlined below.

Bethesda, MD – January 22, 2010 – Network for Good

In the wake of the January 12, 2010, earthquake in Haiti, donors continue to rely on the Internet to channel funds quickly to first-responder organizations who mobilize after humanitarian disasters. Network for Good, the Internet’s leading nonprofit giving platform, has already processed $4 million in donations to over 140 U.S. public charities providing emergency response and rebuilding support to Haiti. 

Key Trends

1. Major charities represented, but smaller organizations raised significant funds.

Top 10 Charities for Haiti Relief through Network for Good Giving System

10. Partners in Health                     (2%)

Many of the major relief organizations made the top ten, but remarkably, many smaller, grassroots organizations with annual revenue well under $1 million received significant funding. The fundraising success of smaller nonprofits demonstrates a shift in crisis giving. Historically, the majority of disaster funds have been donated to the Red Cross and other headline charities. During the South Asia Tsunami in 2004 and Hurricane Katrina in 2005, for example, 60% of donations went to the Red Cross. The response to the earthquake in Haiti shows a new pattern: only 25% of funds raised through the Network for Good giving system went to the Red Cross and the top ten charities accounted for less than 70% of total donations.

Technology is making it easier for resources to flow to smaller charities with direct ongoing projects in Haiti, organizations that can have a big impact as emergency response turns into rebuilding. Several Network for Good customers raised considerable levels of donations for Haiti relief:

2. More places to give online during a crisis creates big range in average gift size.

Choice in charity has exploded on the Internet. People can now donate through multiple online channels such as social media outlets, links on news sites, individual charity websites, company Intranets, blogs, and countless other places. During a crisis, these channels become even more prominent, as the media, charities, companies and individuals rush to mobilize resources. Even though charities can now access donors in multiple places online, the response is not the same across channels. It is vital for charities to set expectations about donations and strategies to activate donors that are appropriate for a given channel. For example, going after large value donations on social media sites will not result in as many funds as tapping thousands of people willing to give $10 through a cause page or text message.

The breakdown of average gift size for Haiti relief across channels demonstrates how volume and amounts vary:

3. Social media outlets activate immediate, far-reaching support.

Social media has become an essential component of disaster response, inciting a multitude of smaller donations that add up to significant funding. Charities with savvy social media strategies can instantly activate an engaged community of supporters through networks like Causes on Facebook (www.causes.com) and Razoo (www.razoo.com), blog posts and targeted email appeals. Nonprofits large and small have success activating their online communities through social media, but one example from the Haiti response shows how effective these tools can be. OXFAM America (www.oxfamamerica.org) raised 76% of total funds through several dedicated Causes set up by the organization and its followers on Facebook. The fact that most of these causes were initiated by loyal fans, demonstrates the power of tapping a network of committed supporters in a crisis. Overall, 11% of total donations processed by Network for Good came through Causes, an application on Facebook powered by Network for Good’s giving platform.

4. Groundswell of giving post-disaster ebbs after first week.

After the Haiti earthquake, donations peaked within two days of the event and then steadily declined. New media coverage of aftershocks and on-the-ground response complications slowed the decline of giving one week out. The House of Representatives bill to include Haiti donations on 2009 tax returns may encourage more charitable contributions in the weeks ahead, further slowing the donation drop-off that usually occurs post-disaster.

Throughout the week following the earthquake, news outlets promoted links to compel people to give. Media sites like Yahoo! (www.yahoo.com) and AOL (www.aol.com), both Network for Good partners, featured “how to help” links for Haiti relief that drove over $700K in donations between them. The level of ongoing donations to Haiti rebuilding efforts will be driven largely by how prominently the Haiti coverage is featured as the earthquake recedes farther into history.

5. Donors have specific expectations about how their gift makes a difference.

Just as donors have preferences about where they give, they also have expectations about how their gift makes a difference and want to make meaningful choices about where to give. In times of disaster, donors are often confused about which organization to support. Some take recommendations from news sites. Others research organizations on rating sites like Charity Navigator (www.charitynavigator.org). And others would rather support several organizations instead of just one. During the Haiti disaster, Network for Good added a new “Give to All” option in response to past feedback from impulse givers who want a quick way to support the overall relief effort. This option attracted 13% of total donations and up to 70 organizations will benefit from those funds raised.

Donors also have specific ideas about how they want their money spent by the nonprofits they support. The designations for donations made to Haiti relief fell into distinct categories:

• Where Most Needed

While charities often seek flexibility in how to allocate donations, donors want to be reassured that their contributions will count towards what they care about most.

In addition to cash gifts, donors also seek ways to help beyond donations. Especially after giving peaks, people want to continue to help and look for opportunities to provide in-kind donations and volunteer. In the case of the Haiti response, many people are also willing to adopt Haitian orphans or take in homeless Haitians into their homes and families.

Here are several postings from the Network for Good Haiti relief blog page demonstrating the desire to help:

Anonymous said...Is there a program that allows us to invite those who have lost their homes to live with us in the United States or other Nations outside of Haiti?

Anonymous said…I will be willing to adopt or support a child without a family

Santana said...me and my family would love to take in one or two children from Haiti. Forever or just till we can get them in better conditions if it be in Haiti or the U.S.

Erica said...I would like to volunteer in Haiti. How can I find out more information about that?

D. Johnson said...I don't have a lot of money, but I have plenty time to donate in any way needed.

Anonymous said…I’m a civil engineer with vast working experience in post EQ relief and reconstruction activities in watsan, infrastructure and reconstruction of buildings as well. I have worked in full time in Pakistan EQ 2005 affected area. If any org needs my assistance, I’m ready to join voluntarily with them for humanitarian assistance.

 John Hartman said...We would like to offer our Non-Toxic, Odorless, GREEN product, PyroPac Heat Gel, at a reduced (Below Wholesale) price to organizations in need of a way to heat meals and purify water for drinking for the Haiti disaster and future disasters.

About Network for Good

Network for Good, an independent nonprofit organization, makes it easy to support any charity, anywhere online by offering simple, affordable and effective online fundraising services, including donation processing, email outreach and online surveys. To foster continued growth in online fundraising, Network for Good provides free tools and expertise in online giving through the site Fundraising123.org so that small and medium sized charities can see bigger returns on their online marketing efforts. Network for Good has processed over $360 million in donations for more than 50,000 nonprofits since its 2001 founding by AOL, Cisco and Yahoo!. www.networkforgood.org

Contact

If you are interested in an interview with Network for Good’s CEO Bill Strathmann or would like to speak with a Network for Good customer working in Haiti or a fundraiser please contact: