dublin legacy presentation
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Effective promotion of legacy giving:
A presentation of new research findings and theory
Russell James III, J.D., Ph.D.Associate ProfessorDirector of Graduate Studies in Charitable PlanningTexas Tech [email protected]
Presentation at Legacy Promotion Ireland, Dublin, Ireland, 26 July, 2010
Previous studies
One time survey• Non-response bias if the whole survey
was about charitable giving
After death distributions• Only for taxable estates• Rare single county probate studies
Current study
LongitudinalSame people asked every two years
DistributionsAfter death nearest relatives are asked about final distributions
New Questions
ChangesNot just who has charitable plans but
when do they add and drop them
Intentions v. Outcomes
Did during life plans result in after death distributions
Details
• Nationally representative of over 50 population since 1998.
• Over 20,000 people per survey.• In person interviews, some
follow up by phone.
• Started in 1992• Questions within
larger Health & Retirement Study
• Respondents paid
What share of people over 50 in the U.S. have “made provisions for any charities in [their] will or trust?”
U.S. Over 50 Population
Charitable Plans; 5.7%
No Charitable Plans; 94.3%
* Weighted nationally representative 2006 sample
U.S. Over 50 Population
* Weighted nationally representative 2006 sample
Charitable Plans; 5.7%
Plans Without Charity; 38.2%No Planning Doc-
uments; 56.1%
What share of over-50 charitable donors giving over $500 per year indicate that they
have a charitable estate plan?
* Donors giving $500+ per year, weighted nationally representative 2006 sample
Over-50 Donors with Charitable Plans; 9.4%
Over-50 Donors With No Charitable Plans;
90.6%
Can that be right?
• Maybe a lot of donors will eventually get around to making a charitable plan?
Will donors ever get around to making a charitable plan?
88%-90% of donors ($500+/year) over age
50 will die with no charitable estate plan.
Projecting based on age, gender and
mortality or tracking actual post-death
distributions
You mean 90% of our donors will die without
leaving a gift?
You mean we could generate 9 times more estate gifts from
our current donors?
Among donors ($500+) over 50 with an estate plan, what is the single most significant factor associated with having a charitable estate plan?
Age? Education? Wealth? Income?
Among Donors ($500+) with an Estate Plan
Family Status
% indicating a charitable estate
planNo Offspring 50.0%Children Only 17.1%Grandchildren 9.8%
Regression: Compare only otherwise identical people
Example: The effect of differences in education among those making the same income, with the same wealth, same family structure, etc.
Likelihood of having a charitable plan(comparing otherwise identical individuals)
•Graduate degree (v. high school) +4.2 % points•Gives $500+ per year to charity +3.1 % points•Volunteers regularly +2.0 % points•College degree (v. high school) +1.7 % points•Has been diagnosed with a stroke +1.7 % points•Is ten years older +1.2 % points•Has been diagnosed with cancer +0.8 % points•Is married (v. unmarried) +0.7 % points•Diagnosed with a heart condition +0.4 % points•Attends church 1+ times per month +0.2 % points•Has $1,000,000 more in assets +0.1 % points•Has $100,000 per year more income not significant•Is male (v. female) not significant•Has only children (v. no offspring) -2.8 % points•Has grandchildren (v. no offspring) -10.5 % points
Find your estate donor…
Amakes substantial
charitable gifts, volunteers regularly,
and has grandchildren
Bdoesn’t give to charity,
doesn’t volunteer, and has no children
From an Australian study by Christopher Baker including 1729 wills:
“Australian will-makers without surviving children are ten times more likely to make a charitable gift from their estate”
How did giving during life compare with post death transfers?
$ $$$
Estate giving and annual giving for 6,342 deceased panel members
OffspringLast Annual
Volunteer Hours
Average Annual Giving
Average Estate Giving
Estate Gift Multiple
No Children 32.6 (6.6) $3,576 $44,849 12.6Children Only 25.4 (7.1) $1,316 $6,147 4.7Grandchildren 23.2 (2.1) $1,497 $4,320 2.9Total 24.3 (1.8) $1,691 $8,582 5.1
When did people drop charitable plans?
Yes! Yes! No.
What happened
here?
Factors that triggered dropping the charitable plan1. Becoming a grandparent 0.7226*
(0.2997)
2. Becoming a parent 0.6111† (0.3200)
3. Stopping current charitable giving 0.1198* (0.0934)
4. A drop in self-rated health 0.0768† (0.0461)
Some factors that didn’t seem to matter: Change in income Change in assets Change in marital status
*Fixed effects analysis including 1,306 people who reported a charitable plan and later reported no charitable plan. Coefficients show relative magnitude of factors.
When did people add charitable plans?
Factors that triggered adding a new charitable plan• Starting to make charitable gifts .1531† (.0882)• An improvement in self-reported health .0927* (0.0446)• A $100k increase in assets .0061** (.0023)
One factor dramatically reduced the likelihood that a new charitable plan would be added:• The addition of the first grandchild -.4641† (.2732)
Do the estates of people who make charitable estate plans grow differently than the general population?
After making their plan, charitable estate donors grew their estates 50%-100% faster than did others with
same initial wealth
Demographics and future projections
The Fall and Rise in Live Births - US
1909 (Age
100)
1911 (Age
98)
1913 (Age
96)
1915 (Age
94)
1917 (Age
92)
1919 (Age
90)
1921 (Age
88)
1923 (Age
86)
1925 (Age
84)
1927 (Age
82)
1929 (Age
80)
1931 (Age
78)
1933 (Age
76)
1935 (Age
74)
1937 (Age
72)
1939 (Age
70)
1941 (Age
68)
1943 (Age
66)
1945 (Age
64)
1947 (Age
62)
1949 (Age
60)
1951 (Age
58)
1953 (Age
56)
1955 (Age
54)
1957 (Age
52)
1959 (Age
50)
1961 (Age
48)
1963 (Age
46)
1965 (Age
44)
1967 (Age
42)
1969 (Age
40)2,000
2,500
3,000
3,500
4,000
4,500
Live
Bir
ths
Age 50 to
54
Age 55 to
59
Age 60 to
64
Age 65 to
69
Age 70 to
74
Age 75 to
79
Age 80 to
84
Age 85 to
89
Age 90 to 94
Age 95 to
99
Age 100+
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
Y2000Y2001Y2002Y2003Y2004Y2005Y2006Y2007
Pers
ons
Aliv
e in
Am
eric
a
Dramatic increases on the horizon
Temporary drop in key demographic population
The fall and rise in live births - UK
Age 50-54
Age 55-59
Age 60-64
Age 65-69
Age 70-74
Age 75-79
Age 80-84
Age 85-89
Age 90-94
Age 95-99
Age 100+
0
500
1000
1500
2000
2500
3000
3500
4000
4500
5000
Persons alive in the UK, 2008-2030
Ireland population pyramid, 2001• Without the large post-war baby boom, expect less
rapid growth in older ages• Growth will come primarily due to improved longevity
Projecting future bequest giving
Frequency of future bequest gifts • Change in population• Change in tendency to make bequest gifts
Charitable Estate Planning among US Adults Aged 55-65
3.0%
3.5%
4.0%
4.5%
5.0%
5.5%
6.0%
1996 1998 2000 2002 2004 2006
Increases in charitable planning are driven by increases in childlessness and education
VariableEstimate
(s.e.) p-valueEstimate
(s.e.) p-valueEstimate
(s.e.) p-valueYear 0.0138
(0.0032)<.0001 0.0033
(0.0034)0.3298 0.0015
(0.0036)0.664
Any children -0.6251 (0.0345)
<.0001 -0.6224 (0.0479)
<.0001
Years of Education
0.1412 (0.0048)
<.0001 ….full set of
….
control variables
Probit analysis of all respondents age 55-65 in 1996-2006 HRS. Outcome variable is the presence of charitable estate planning.
Time trend exists
Time trend disappears
when including childlessness
and education
Charitable estate planning among adults aged 55-65
0%
5%
10%
15%
20%
25%
30%
35%
40%
1996 1998 2000 2002 2004 2006
No Children - NoCollege Degree
No Children -College Degree
Children - NoCollege Degree
Children - CollegeDegree
Basic relationship
• This suggests that the overall trend of increased charitable estate planning may have been driven, in large part, by changes in childlessness and education.
• Such a relationship has important implications for predicting charitable estate planning levels in the future.
Upcoming cohorts and childlessness
• Childlessness among women who will be entering the 55-65 age group over the next decade will be substantially higher than those in the 55-65 age group during 2006 (the year of the latest HRS survey).
• Women in the 56-61 age group during 2006 reported a childlessness rate of 16.0% in 1990 when they were aged 40-44 (Dye, 2005). In comparison, women in the 40-44 age range in 2004 (i.e., those who will begin entering the 55-65 near retirement age group in 2015) reported a childlessness rate of 19.3% (Dye, 2005).
Similar trends in U.K.
Source: http://www.statistics.gov.uk/cci/nugget.asp?id=369
http://www.statistics.gov.uk/articles/population_trends/birthstats_pt94.pdf
Upcoming cohorts and education
• Similarly, a college education is much more common among the upcoming cohorts of individuals nearing retirement age than among the current 55-65 group (Stoops, 2004).
• In 1996, less than 27% of those in the 35-54 age group had at least a bachelor’s degree.
• By 2007, over 31% of those in the 35-54 age group had at least a bachelor’s degree (Current Population Survey, 2007).
• Thus, one can expect the upcoming cohorts of individuals nearing retirement to be more educated than individuals currently in the 55-65 age group.
Big take-aways
• Don’t just recruit estate givers by giving level, also know your donors without children
• After making their intention, charitable estate donors grew their estates 50%-100% faster than did others.
• Future demographics are generally positive based on population, childlessness, and education
New Ideas for legacy promotion from a theoretical framework
Applying “The Generosity Code”
Why theory instead of just a list of techniques?
• Limitations of “war stories” research– So called best practices may just be practices
• Theory based strategies are more flexible– New techniques can emerge as circumstances
change• Guides practice even where, as in bequest
giving, interim measurement is difficult.
What does a fundraiser do?
• Bring in money?• This description is “true”, but not very informative.
Applies to essentially all private sector jobs.• What does a Lawyer do? Makes money. What does
a grocer do? Makes money. What does an artist do? Makes money.
• You could bring money to your organization from government contracts, operation of a charitable business, or other means, but it wouldn’t be as a fundraiser.
What does a fundraiser do?
A fundraiser …
What does a fundraiser do?
A fundraiser …
Encourages Generosity
Encouraging generosity
• An issue of fundamental human significance• An independently valuable mission separate
from (although complementary to) your organization’s mission
Understanding generosity
Giving occurs when the “potential energy” of a gift’s potential value is unlocked by the “catalyst” of a request
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Potential Value of Gift
(Potential Energy)
Quality of Request
(Catalyst)
Gift(Energy
Released)
1. Definitiveness2. Observers
=x
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Interdependent Utility(Recipient’s experience)
• I am happy because you were benefitted
• Empathyi X Change in well-beingi
Act of Receiving
Act of Giving
Others’ Responses
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Act of Receiving
Act of Giving
Others’ Responses
Self-Identity(Donor as giver)
• I am happy because I am generous, faithful, concerned, etc.
• Importance of value and felt adherence to it
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Act of Receiving
Act of Giving
Others’ Responses
Self-Efficacy(Donor as change agent)
• I am happy because I was the one who benefitted you
• My actions were the cause of the change that I selected
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Act of Receiving
Act of Giving
Others’ Responses
Reciprocity(Response of Recipient to Donor)
I receive benefits from the recipient or representative charity
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Act of Receiving
Act of Giving
Others’ Responses
Social Exchange(Response of Others to Donor)
I receive benefits from others because of my giving
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Act of Receiving
Act of Giving
Others’ Responses
Cultural Norms(Response of Others to Others)
I influence others in the way they behave towards others
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Act of Receiving
Act of Giving
Others’ Responses
Theoretical backgroundThese value channels exists for reasons rooted in social psychology (proximate causes) and natural selection (ultimate causes)
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Psychological benefits to donor
Material benefits to similar others
Material benefits to donor
Theoretical backgroundWe can rearrange by their value type including both material and psychological value sources
Understanding generosity
Giving occurs when the “potential energy” of a gift’s potential value is unlocked by the “catalyst” of a request
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Potential Value of Gift
(Potential Energy)
Quality of Request
(Catalyst)
Gift(Energy
Released)
1. Definitiveness2. Observers
=x
Definitiveness• How clearly is a decision required?
Observers• Who observes the decision?
Quality of request
Quality of a request: Definitiveness
Requires a definite
“no”
Indefinitely deferrableresponse
General support concept
General issue
awareness
Specific request
• Definitiveness: The degree to which a request demands a definitive “yes” or “no”
• The enemy isn’t “no”, it is “no response”
General requestNo request
Quality of a request: Definitiveness
Requires a definite
“no”
Indefinitely deferrableresponse
General support concept
General issue
awareness
Specific requestGeneral requestNo request
“100,000 children have died in West Africa’s current food crisis.”
Quality of a request: Definitiveness
Requires a definite
“no”
Indefinitely deferrableresponse
General support concept
General issue
awareness
Specific requestGeneral requestNo request
“100,000 children have died in West Africa’s current food crisis. Please help one of the relief agencies if you can.”
Quality of a request: Definitiveness
Requires a definite
“no”
Indefinitely deferrableresponse
General support concept
General issue
awareness
Specific requestGeneral requestNo request
“Please give £50 to Oxfam to support relief efforts for children caught in West Africa’s current food crisis.”
Quality of a request: Definitiveness
Requires a definite
“no”
Indefinitely deferrableresponse
General support concept
General issue
awareness
Specific requestGeneral requestNo request
“We are sending an office gift to Oxfam on Friday. Put in whatever you like and I will stop by to pick up your envelope in
the morning.”
Quality of a request: Observers
1. Perceived likelihood of observance
2. Observer’s social significance and level of commitment to beneficiaries
Observation of a decision point adds a social cost to saying “no” and a social benefit to saying “yes” based upon:
Office beverages available with payment on an “honor” system.Picture above payment instructions rotated weekly.Payments were higher when picture of eyes was posted.
M. Bateson, D. Nettle & G. Roberts (2006). Cues of being watched enhance cooperation in a real-world setting. Biology Letters 2, 412–414.
A B
Two groups with two computer backgrounds. Each person receives $10. Computer question: Do you want to share any of it with another (anonymous) participant?
K. J. Haley (UCLA), D.M.T. Fessler (UCLA). 2005. Nobody’s watching? Subtle cues affect generosity in an anonymous economic game. Evolution and Human Behavior, 26, 245–256
Shar-ing55%
Not Sharing45%
Normal Screen
Sharing88%
Not Sharing12%
Eyes Screen
K. J. Haley (UCLA), D.M.T. Fessler (UCLA). 2005. Nobody’s watching? Subtle cues affect generosity in an anonymous economic game. Evolution and Human Behavior, 26, 245–256
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Potential Value of Gift(Potential Energy)
Quality of Request (Catalyst)
Gift (Energy Released)
1. Definitiveness2. Observers
=x
Applications to legacy giving
Unfortunate reality of legacy giving
“74% of the UK population support charities and when asked, 35% of people say they'd happily leave a gift in their will once family and friends had been provided for. The problem is only 7% actually do.”
From www.rememberacharity.org
* Donors giving $500+ per year, weighted nationally representative 2006 sample
Over-50 Donors with Charitable Plans; 9.4%
Over-50 Donors With No Charitable Plans;
90.6%
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
So, why is legacy giving so low?What is missing?
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
People may not consider charity during document creation (practice of advisors and mistiming of communications from charity).
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Will drafting and legacy planning is easy to postpone (avoid facing mortality).
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Will drafting is not public, and not an acceptable forum for peer observation.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Most legacy giving benefits can only be anticipated, not actually experienced.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Reciprocity or social exchange is limited. Prior to the gift, the intention is revocable.
After the gift, the donor is gone.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Charitable bequests may be viewed as competitive with transfers to offspring
What strategies within this framework might improve participation in charitable bequest making?
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Spend more efforts with those donors who do not have offspring (and thus lower
competing interdependent utility).
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Promote self-identify of the planned legacy donor as a current identity of social worth.
Identify an important value.
Associate current planned giving status with that value.
Create experienced gift value today, rather than only anticipated post-mortem value.
[Legacy club] members have a love for animals that lasts more than a lifetime.
Become a [legacy club] member today.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Death creates a natural self-efficacy void. Emphasize giving opportunities with
permanence.
Self-efficacy in legacy gifts
With death we “disappear”, a serious imposition on self-efficacy.
– The desire to overcome this is natural.– Humankind develops memorials emphasizing
permanence.
Self-efficacy in legacy gifts
Legacy giving can also help fulfill the desire for permanence.
But may depend on how the charity will use the gift.
Logo from http://www.rememberacharity.org.uk
Self-efficacy in legacy gifts
It is easier for the wealthy to imagine charitable gifts with permanent impact.
Buildings, large charitable foundations, parks, art
Consider developing permanent giving opportunities for mid-level donors.
• Named giving opportunities limited to legacy donors (so as not to pull from current giving)
• Permanent memorial trusts for legacy donors only• Scholarships, lectureships, sponsor a child, sponsor a
rescued pet, annual performances, etc.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Develop small permanent giving opportunities exclusively for legacy gifts.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Emphasize data on how quickly inheritances are spent by family members as compared to
longevity of a “permanent gift”
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Legacy societies to publicly recognize planned donors and create functioning donor communities through social events.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Always reminding so that the option is “top of the mind” whenever planning happens to occur.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Creating planned giving campaign deadlines to interfere with ease of postponement.
A small organization’s two-year campaign to reach 100 planned legacies
http://www.fcs.uga.edu/alumni/legacies.html
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Encourage will making in donor population.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Provide free planning services to donors with high potential.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Create immediate commitment pledge devices with follow up verification.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Targeting advisors to include charitable questions in their document creation process through information and recognition.
Why not recognize the intermediaries?
• Intermediaries, such as a will drafting lawyer, are essential to the process.
• Often the simple act of specifically asking about a gift to charity by an advisor is key.
• A “new” idea?
Magdalen HospitalList of Contributors, 1760From: Sarah Lloyd, ‘A Person Unknown’? Female supporters of English subscription charities during the long 18th century, Voluntary Action History Society Research Conference, Canterbury, UK, July 14-16, 2010
Recognizing intermediaries
• Friends of charity solicitors society• Sponsoring free CPD (continuing professional
development) charitable planning related education opportunities– Advertising those who have completed the CPD
program.• Publishing recognition of active solicitors authoring
charitable wills probated in most recent 6 months in particular county, town.– Shows frequency of professional activity.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
Consider legacy arrangements that involve children in charitable decisions.
Public notice of founding
of the Bible
Society (1804)
and listing of donors
The Morning Post (London, England), Monday, March
19, 1804; pg. [1]; Issue 11061. 19th Century British
Library Newspapers: Part II.
Executors become voting
Governors for life
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
1. Definitiveness2. Observers
=x
The framework doesn’t provide automatic answers, but may help generate ideas about value creation and realization in your context.
Reciprocity(Response of Recipient
to Donor)
Interdependent Utility
(Recipient’s experience)
Self-Identity(Donor as giver)
Social Exchange (Response of Others to
Donor)
Cultural Norms (Response of Others to
Others)
Self-Efficacy(Donor as change
agent)
Potential Value of Gift
(Potential Energy)
Quality of Request
(Catalyst)
Gift(Energy
Released)
1. Definitiveness2. Observers
=x
Thanks for listening
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www.slideshare.net/Generosity