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Trust Gap Persists for Charities, and It Hurts Giving, Study Says

By  Michael Theis
November 14, 2019
1114 charity trust

Charities continue to be more respected than many other institutions in America, according to the results of a survey released by the Better Business Bureau. But Americans also hold charities to a very high standard that most do not believe they have achieved.

The study found 70 percent of respondents said the importance of trusting a charity before making a donation is “essential” but that only 19 percent of people highly trust charities. The study’s authors said closing this persistent trust gap is essential.

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1114 charity trust

Charities continue to be more respected than many other institutions in America, according to the results of a survey released by the Better Business Bureau. But Americans also hold charities to a very high standard that most do not believe they have achieved.

The study found 70 percent of respondents said the importance of trusting a charity before making a donation is “essential” but that only 19 percent of people highly trust charities. The study’s authors said closing this persistent trust gap is essential.

“That gap is still there, and it hasn’t changed,” said Elvia Castro, manager of the Better Business Bureau’s regional charity reporting. “There’s an opportunity there to build trust in the sector, we hope, in ways that can lead to more giving.”

The study, based on a 2018 survey of 2,100 adults, found that 14 percent of Americans say they trust charities more today than they did five years ago, up from 10 percent in last year’s edition of the report. Conversely, 36 percent of Americans said they trust charities less today than five years ago, up from 32 percent in 2017. In the middle, 50 percent of Americans said their trust in charities has remained “about the same” compared with five years ago, down from 58 percent in 2017.

Touting Accomplishments

Charities looking to bridge the trust gap would do well to emphasize their results: Fifty-four percent of respondents said “accomplishments” were one of the most important signals of trust for a charity, up from 44 percent in 2017. Third-party evaluations were listed as the second most trusted influencer for Americans evaluating a charity’s trustworthiness, at 33 percent. However, such sources can be hard to find for most charities, and in the real world, potential donors most frequently said they are forced to rely on charity websites to inform their giving decisions, with 42 percent going this route.

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“I think that’s a good sign for the sector in terms of signaling and what to focus on in communications with donors,” said Bennett Weiner, chief operating officer at the Better Business Bureau’s Wise Giving Alliance.

Charities continue to be more trusted than other major institutions in public life. According to the survey, 65 percent of Americans trust charities more than organized religion, a significant jump from 2017, when 53 percent of Americans said the same. Similarly, 68 percent of Americans trust charities more than businesses, and 79 percent of Americans trust charity more than government.

The study also examined how women and men differ in their trust of charities. Eighteen percent of women rated their trust in nonprofits as very high, compared with 21 percent of men. Furthermore, fewer women (9 percent) than men (18 percent) said they would like to be more frequently approached by charities seeking donations.

“They are less open to solicitation than men, which I think was a bit surprising to me,” said Castro. “I think that might have to do with exhaustion. I think when we talk about charities, we think of women perhaps as more of a target than men.”

Disaster-Relief Insights

To gain insights specifically on disaster relief, the study surveyed both donors and 68 disaster-relief charities. Among potential donors, only 24 percent said appeals for charity disaster-relief donations were “very clear.” Also, 54 percent of potential donors seek out information about the specific services a charity will provide before giving.

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“Disaster-relief organizations may want to keep that in mind when they send out their communications in appeals right after disasters,” said Weiner. “Be as specific as possible in terms of what areas they are trying to raise money for.”

When asked about the top influences on disaster giving, the media was the top response, with 43 percent of donors ranking it as the number one influencer and 57 percent of disaster-relief organizations citing it as the most important.

We welcome your thoughts and questions about this article. Please email the editors or submit a letter for publication.
Communications and MarketingFundraising from Individuals
Michael Theis
Michael Theis writes about data and accountability for the Chronicle, conducting surveys and reporting on fundraising, giving, salaries, taxes, and more.
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SPONSORED, GEORGE MASON UNIVERSITY

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  • Only 1 Person in 5 ‘Highly Trusts’ Charities, Study Finds
  • Lack of Charity Oversight Undermines Public Trust
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