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Why soliciting donations at the cash register can backfire : use these strategies to ensure that it doesn't / Harvard Business Review

By: Series: Harvard Business Review. 98 : 2, pages 17-20 Publication details: March-April 2020Content type:
  • text
Media type:
  • unmediated
Carrier type:
  • volume
Subject(s): Summary: Philanthropic organizations rely heavily on point-of-sale solicitations--but a new series of studies shows that consumers often react negatively, perceiving the request as a violation of their social contract with the retailer. This can lead to diminished satisfaction and a decreased likelihood of revisiting and recommending the store. The researchers outline several strategies for inspiring customers to donate while minimizing the risk of a backlash. Retailers can reward customers for donations, with a small gift such as a reusable shopping bag; keep the process simple--for example, make the request via PIN pad, and ask customers to round up to the nearest full dollar amount; train employees to serve as the charity's ambassadors; demonstrate altruism and be transparent about how much will go to the charity in question; and carefully choose the charity partner and the time to launch.
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Philanthropic organizations rely heavily on point-of-sale solicitations--but a new series of studies shows that consumers often react negatively, perceiving the request as a violation of their social contract with the retailer. This can lead to diminished satisfaction and a decreased likelihood of revisiting and recommending the store. The researchers outline several strategies for inspiring customers to donate while minimizing the risk of a backlash. Retailers can reward customers for donations, with a small gift such as a reusable shopping bag; keep the process simple--for example, make the request via PIN pad, and ask customers to round up to the nearest full dollar amount; train employees to serve as the charity's ambassadors; demonstrate altruism and be transparent about how much will go to the charity in question; and carefully choose the charity partner and the time to launch.

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