Public trust and confidence in charities research released

The Charities Commission has released two new research studies, measuring levels of public trust and confidence in charities, and looking at why people trust and feel confident in charities and how that affects their attitudes towards giving.



Both surveys have been published on the Charities Commission website www.charities.govt.nz. The Commission has made the research available to registered charities, and is encouraging them to use the findings to support their ongoing relationships with donors and supporters.



UMR trust and confidence in charities survey

· Online survey
· 2,210 respondents
· Run late May 2010
· Data weighted by age, gender and region


The Commission undertook the UMR survey – its second – as part of its role in promoting research into public confidence in the charitable sector and matters relating to charities.



The survey found that a majority of respondents (55%) reported high levels of trust and confidence in charities, but this figure had slipped slightly from 58% in November 2008, and there is some evidence that the public are now viewing charities more critically.



Charities Commission chief executive Trevor Garrett says that publicity about charities’ fundraising and easier access to information about charities may have influenced public perceptions about charities. Views may also have been influenced by the wider economic climate. “Many businesses and householders have had to reassess their earnings and their spending during the last year or so, and they also expect charities to look closely at how they raise income and make sure they spend it effectively.”



However, the number of people reporting they donated more than $250 in the past 12 months increased from 25% to 31%.



“Looking at why people give to charities, the survey found that the most important reasons why they donate are because the charity works towards an end cause that is important to the giver, and because they believe the charity makes a difference to the matters it is addressing.”


Mr Garrett said that Annual Returns filed during the past year by the 25,500 charities registered with the Commission showed donations of almost three quarters of a billion dollars.



The survey also showed a significant increase in public awareness of the Charities Commission (up 10% from November 2008, to 67%), and that almost a third of those respondents had referred to the public Charities Register to find out information about a charity.



“The vast majority of people – 84% – also said they were more likely to trust charities that are registered with the Commission, and that are transparent about how they use their money,” he says. “This survey tells us that the public are becoming more critical of how charities use their donations, and are more likely to trust those that are transparent, use their money wisely, and make sure it goes towards helping the people or cause they were set up for, ” Mr Garrett says.



Empathy Insight report – public trust and confidence

· Five focus group interviews, plus street interviews and review of online comments
· Five or six people per focus group
· Respondents had a mix of low, medium and high levels of trust and confidence in charities
· Mix of gender, age, ethnicity
· (Wellington) urban and smaller centre


The Charities Commission has released research showing that the reasons behind people’s trust and confidence in charities tend to remain the same, regardless of whether they have a low, medium or high level of trust in the charitable sector overall.



The research found that even if a person has a lower level of trust in the charitable sector overall, they may still trust individual charities. However, they don’t necessarily give to charities they do trust, and may in fact give to some charities they don’t particularly trust or have confidence in.



Charities Commission chief executive Trevor Garrett says that having trust and confidence in a charity is just one of the factors that influences giving (of both donations and time). Other factors, such as having been a recipient of a charity’s services, also influences trust and confidence.



“Between them, the more than 17,000 charities who filed Annual Returns with the Commission for the year ending 30 September 2010 reported donations of more than three quarters of a billion dollars. It is useful to understand why people do or don’t trust charities, and how this might affect their donating and volunteering behaviour,” he says. “This knowledge can help charities to design their appeals more effectively, and ensure they give donors the confidence they need to continue their support, and to attract the volunteers who help them make a difference.”



“During the past 18 months, trust in charities has remained consistent, with 55% of people saying they have a high or very high level of trust in charities. This research shows that people who had a lower level of trust and confidence in the charitable sector overall still tended to have a high level of trust in individual charities, especially if they could see what the charity was achieving and relate to it.”



My Garrett says the research emphasises the need for charities to “tell their story”, and show their supporters that they spend their money wisely, and make a difference to the end cause.



“What people are telling us is that they are most likely to support charities whose work they can see and can relate to, and that they want to see tangible outcomes – such as the new roof on the church, or the new equipment being used to help people. ”Many of the people who took part in the research made special mention of particular charities, either because they had seen or experienced their work first-hand, or because they knew they might need their help one day.”



However, he says, charities may wish to take note of some of the things that people said made them feel less likely to trust or have confidence, and to use that information when designing their appeals or publishing information about their achievements.



The Commission is running a series of discussion groups about the research findings with charities.



ENDS



The UMR trust and confidence in charities survey, and the Empathy Insight report on the drivers of trust and confidence are available on the Charities Commission website www.charities.govt.nz
 

KEY FINDINGS - 2010 UMR TRUST AND CONFIDENCE IN CHARITIES SURVEY

The survey results summarised below are based on an online survey of 2,210 “general public” respondents, conducted by independent research agency UMR Research during May 2010.  The complete survey results are available on www.charities.govt.nz

* New question added in 2010

MEDIA BACKGROUNDER

KEY FINDINGS - 2010 EMPATHY REPORT TRUST AND CONFIDENCE IN CHARITIES

The research results summarised below are based on focus group and on-street interviews, and a review of online UMR Trust and Confidence survey comments.  The research was conducted by independent research agency Empathy during May 2010, and is available on www.charities.govt.nz

Key findings

·          People trust different charities to different levels. Recent (personal) experiences heavily influence their rating.

·          Giving is one of the consequences of trusting and having confidence in a charity.

Factors likely to lead to trust and confidence in a charity

·          Perception that donations are being spent wisely

·          Trust and confidence in those doing the charitable work

·          The cause that the charity supports feels ‘real’

·          Can see tangible results of the charity’s work

People were most likely to trust and have confidence in charities that:

·          Were related to health or emergencies

·          Acted locally

·          Sought donations for specific projects rather than generic aid

·          Were small, with little overhead

·          Provided tangible outcomes.

Factors likely to lead to a lesser degree of trust and confidence:

·          Aggressive marketing

·          Donations not applied directly to a cause.

·          Fundraising employees or representatives ‘disconnected’ from the cause.

·          Seen to be pushing an agenda.

Trusting and having confidence in a charity often resulted in:

• Giving money or time

• Increased level of trust and confidence in the sub-sector group

• Positive word of mouth about the charity

Participants’ levels of trust and confidence does not neatly relate to their giving

• Might give to charities they don’t trust

• Might not give to charities they do trust

Factors that increase the likelihood of giving might include:

• Belief in the cause

• Wanting to feel good, to do the right thing

• The availability of spare cash

• Getting a tax break

• The cause, charity or method of giving being trendy (or traditional)

• Giving being a form of insurance (“I might need their help some day”)

• Karma-type beliefs