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Charity Awareness Monitor Executive Overview (CAMEO)Donation Trends

Please credit any usage and only for personal or presentation use without prior permission January 2010Tel: 020 7426 8888Email: [email protected]: www.nfpsynergy.net

About this CAMEO

• CAMEOs are themed reports which cover data from recent waves of the Charity Awareness Monitor, nfpSynergy’s syndicated awareness tracking service among the general public. They aim to delve deeper into key trends and demographics and explore the implications for charities.

• Using data from the January 2010 Member Intelligence wave 1 of 6, and previous waves of CAM research, this CAMEO looks at recent trends in the number of donors, the ways in which they give and the size of their donations.

• In the light of recovering consumer confidence after the 2008 credit crunch, it also looks at how donors are expecting the amount of money they give to charity to change in the year ahead and which groups are most likely to drive expectations of increasing charitable donations.

Contents1. Key findings Slide 4

2. Who gives to charity, and how do they give? Slides 7-11

3. How much has the public donated, and to how many charities? Slides 12-18

4. How do changes in charitable giving fit within the wider context of consumer confidence and changes in other areas of spending? Slides 19-27

5. How much are the public expecting to donate next year? Slides 28-31

6. Key implications Slide 32

Key findings • 74% of the public reported donating to charity between Nov-09 and

Jan-10, overall with very little change compared to previous months despite the recent Haiti Appeal.

• However, for the first time since the beginning of the recession, the number of people who report having donated less to charity dropped, from 30% to 24%, while the number of those who report having donated more increased, from 15% to 20%.

• The reported average size of donations is higher for men, older generations (65+) and higher social grades (AB).

• As consumer confidence increases, the public expects fewer and fewer cutbacks in several areas of spending for the year ahead, including charitable giving- the proportion of the public expecting to give less dropped from 26% in Sep-09 to 22% while the proportion expecting to give more rose from 6% in Sep-09 to 10%.

• Improving expectations about future charitable giving are led by younger generations- the likelihood of expecting to increase charitable giving in the year ahead is almost double than average among the 16-24 and the 25-34 year olds.

Methodology

5

A nationally representative sample of 1,000 adults, 16+ in Britain

Online survey

Dates

Sample

Methodology

Fieldwork Fieldwork carried out for nfpSynergy by Research Now

25th January – 3rd February 2010

6

Basic demographics of respondents

• The socio-economic classification system we use consists of six social grades which classify the household social status based on the occupation of the Chief Income Earner (so if a casual worker lives with a parent or spouse who is a doctor they'll be an A rather than an E);

- AB - higher (A) or intermediate (B) managerial, administrative or professional

- C1 - supervisory or clerical, and junior managerial, administrative or professional

- C2 - skilled manual workers- DE - semi-skilled and

unskilled workers (D) & state pensioners, casual or lowest grade workers (E)

Base: 1,003 adults 16+, Britain. Source: Charity Awareness Monitor, Jan 10, nfpSynergy

Scotland, 9%

Male, 48%

Female, 52%

16-24, 16%

25-34, 19%

35-44, 20%

45-54, 17%

55-64, 20%

65+, 9%

DE, 24%

C2, 21%

C1, 27%

AB, 27%

East of England, 9%

North West, 12%

London, 12%

North East, Yorkshire and

Humberside, 13%

South East, 15%

South West and Wales, 14%

Midlands, 17%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Gender Age Social grade Region

Who gives to charity, and how do they give?

7

8

Stability in the proportion of the public donating to charity in the last 3 months, despite Haiti appeal


“Have you donated to charity in the last three months?” Yes

72% 71%73% 71% 71%

76%79%

72% 73%70% 71% 73%

81%

69%

75%78%

74%71%

72%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Apr06

Sep06

Mar07

Jul07

Sep07

Nov07

Jan08

Mar 08

May08

Jul08

Sep08

Nov08

Jan09

Mar09

May09

Jul09

Sep09

Nov09

Jan10

9

Women, AB social grades and over 45s most likely to give money to charity


“Have you donated to charity in the last three months?” Yes

70%

78%73% 72% 72% 74% 73% 75%

83%

69%73%

80%

74%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Total Male Female AB C1 C2 DE 16-24 25-34 35-44 45-54 55-64 65+

Jan 08 Jan 09 Jan 10

On street cash collections are the most popular way to give, followed by supporting charity shops

10


“In which of the following ways did you give to charity in the last 3 months?”

10%

3%

5%

8%

10%

14%

16%

21%

30%

33%

40%

41%

45%

46%

0% 20% 40% 60% 80% 100%

Other

Payroll giving

By text message/ SMS

Cheque

By membership subscription

A collection envelope through the door

Debit card or credit card

By standing order or direct debit

Taking part in or sponsoring someone else to take part in anevent

Raffle

Buying products that include a charitable donation

Bought from a charity shop

Donated to a charity shop

On-street cash collections

Jan 10

Convergence of committed and ad hoc giving disrupted by recession

48%

38%

30%33%

0%5%

10%15%20%25%30%35%40%45%50%55%60%65%70%75%80%85%90%95%

100%

Mar-03

Jul-03

Nov-03

Mar-04

Jul-04

Nov-04

Mar-05

Jul-05

Nov-05

Mar-06

Jul-06

Nov-06

Mar-07

Jul-07

Nov-07

Mar-08

Jul-08

Nov-08

Mar-09

Jul-09

Nov-09

Mar-10

Envelopes - forecast

Direct debit - forecast

Envelope - actual

Direct debit - actual

Base: 1,000 adults 16+, Britain. Source: Charity Awareness Monitor, nfpSynergy

“If yes, have you given to a collection tin/envelope through the door or by standing order/direct debit or via a membership subscription?” 2007 based forecast

11

Expected point of

convergence between the two methods

of giving (2007

forecast)

But since the recession started, figures have

diverged from long term trends

How much has the public donated, and to how many charities?

12

13

On average, donors have given just under £60 to charity in the three months prior to Jan-10

Base: All donors (756) among 1,000 adults 16+, Britain. Source: Charity Awareness Monitor, Jan 10, nfpSynergy

“In total, approximately how much money have you donated to any charities in the last 3 months?”

2%

6%

14%

23%

27%

12%

7%

2%

8%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

£0.01 -£1.99

£2.00 -£4.99

£5.00 -£9.99

£10 - £19.99 £20 - £49.99 £50 - £99.99 £100 -£499.99

£500+ Not sure

Mean amount donated over 3 months: Jan-10: £59.99

14

On average, men, older age groups and higher social groups have donated larger amounts to charity


“In total, approximately how much money have you donated to any charities in the last 3 months?”

£59.99

£65.24

£55.59

£49.16£46.07

£63.61£66.81

£63.84

£76.66

£38.07

£51.31 £51.20

£76.55

£87.60

£48.11

£41.20

£54.29

£0

£10

£20

£30

£40

£50

£60

£70

£80

£90

£100

Total Male Female 16-24 25-34 35-44 45-54 55-64 65+ Under£13k

£13k -£27k

£27k -

£40k

£40k+ AB C1 C2 DE

14%23%

30%24%

5%

3%

4%

4%

55%

58%51%

51%

26%16% 15%

20%

18%

9%

59%

14%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

May 08- Past 12months

Nov 08- Past 12months

May 09- Past 12months

Sep 09- Past 12months

Jan 10- Past 12months

Given more

Given thesameamount

Not sure

Given less

More people feel they have increased their charitable giving over the last year

15Base: 1,000 adults 16+, Britain. Source: Charity Awareness Monitor, Jan 10, nfpSynergy

“Looking back over the last year or so, would you say that you have given to charity more or less than in previous years?”

Younger generations are driving this change in perceptions of recent giving

16


“Looking back over the last year or so, would you say that you have given to charity more or less than in previous years? Given more

20%19%

22%

32%

19%

16%18% 18%

23%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Total Male Female 16-24 25-34 35-44 45-54 55-64 65+

Given more (Jan-10)

..and so are higher social grades

17


“Looking back over the last year or so, would you say that you have given to charity more or less than in previous years?

20%

26%

18%16%

21%

16%

21%

18%

25%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Total AB C1 C2 DE £0-£13k £13k - £27k

£27k - £40k

£40k+

Given more (Jan-10)

18

Little change in number of charities donated to in the last 3 months

“Approximately how many different charities have you donated to in the last 3 months?”


41%

52%

4%0%

2%

34%

56%

8%

0%2%

33%

53%

6%

1%

6%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

1-2 3-5 6-10 Over 10 Not sure

Sep 09 Nov 09 Jan 10

How do changes in charitable giving fit within the wider context of consumer confidence and changes

in other areas of spending?

19

After collapsing in 2008, consumer confidence is on the rise in 2009 Monthly consumer confidence index – latest data for December 2009

20

-25%

-20%

-15%

-10%

-5%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Base: UKSource: Experian, Martin Hamblin Gfk/nVision

…as is optimism about household finances, though not yet back to normal Latest data for December 2009

21

-25%

-15%

-5%

5%

15%

25%

35%

45%

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Balance

Past 12 months Next 12 months

Base: UKSource: Experian, Martin Hamblin Gfk/nVision

22%

22%

30%

23%

34%

22%

26%

35%

33%

9%

11%

11%

17%

18%

19%

22%

23%

31%

-43%

-39%

-38%

-27%

-28%

-23%

-26%

-23%

-15%

-11%

-10%

-9%

-8%

-4%

-6%

-10%

-6%

-4%

-100% -80% -60% -40% -20% 0% 20% 40% 60% 80% 100%

Heating/hot water

Petrol

Weekly food shopping

Giving to charity

Clothing

Fair trade or organic products

Holidays

Eating out

Large purchases (e.g. homeimprovements/ cars)

Definitely not Probably not Not sure Yes, probably Yes, definitely

The public still plan to cut back on spending in many areas, including charitable giving

Base: 1,000 adults 16+, Britain. Source: Charity Awareness Monitor, Jan-10, nfpSynergy

22

“Do you expect to cut back on your spending in any of the following areas in the next 12 months?” Ranked on ‘yes definitely’ responses

But rising confidence is reflected in fewer cutbacks expected than in previous months


23

“Do you expect to cut back on your spending in any of the following areas in the next 12 months?” Yes definitely

17%

20%

20%

15%

25%

15%

33%

13%

13%

13%

20%

21%

21%

33%

12%

12%

12%

20%

19%

20%

26%

9%

11%

11%

17%

18%

19%

23%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

Gas bill

Petrol


Giving to charity

Clothing


Eating out

Jan 10

Sep 09

May 09

Nov-08

Women more cautious about spending, but no gender gap for charitable giving plansCutbacks by gender


24

“Do you expect to cut back on your spending in any of the following areas in the next 12 months?” Yes definitely/ Yes probably

31%

40%

42%

48%

52%

57%

60%

67%

35%

40%

40%

34%

44%

44%

53%

62%

35%29%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Petrol

Heating/hot water

Giving to charity



Holidays

Clothing

Eating out

Large purchases

Male

Female

Middle ages cut back on luxury, while younger people focus on foodCutbacks by age


25


0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Largepurchases

Eating out Clothing Holidays Weekly foodshopping

Fair trade ororganic

products

Giving tocharity

Petrol Heating/hotwater

16-24 25-34 35-44 45-54 55-64 65+

Higher social grades less likely to cut back on anythingCutbacks by social grade


26


0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Largepurchases



products

Giving tocharity


AB C1 C2 DE

Similarly, higher income groups less concerned about cutting back on expenditure Cutbacks by household income


27


0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Largepurchases



products

Giving tocharity


£0-£13k £13k - £27k £27k - £40k £40k+

How much are the public expecting to donate next year?

28

Improving expectations about giving in the coming year

10%

24% 26% 22%12%

8%10%

9%

64%

61%58%

59%

14%6% 6% 10%

22%

13%

58%

7%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

May 08- Next 12months

Nov 08- Next 12months

May 09- Next 12months

Sep 09- Next 12months

Jan 10- Next 12months

Give more

Give the sameamount

Not sure

Give less

29


“Looking forward to the year ahead, do you expect you will increase or cut down on the amount you give to charity?”

Under 35s are most likely to drive these improved expectations

30


“Looking forward to the year ahead, do you expect you will increase or cut down on the amount you give to charity?” Give more

10% 10%9%

19%

14%

9%

4%6%

3%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Total Male Female 16-24 25-34 35-44 45-54 55-64 65+

J an 10

10%12% 13%

6% 6%

11%

6%

10% 11%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Total AB C1 C2 DE £0-£13k £13k - £27k

£27k - £40k

£40k+

J an 10

…as are higher social grades

31


“Looking forward to the year ahead, do you expect you will increase or cut down on the amount you give to charity?” Give more

Key implications • Charities should capitalise on the public’s increased optimism about the

future economic outlook and their improved confidence in spending, as expectations of future charitable donations show signs of improvement for the first time after the recession.

• However, they should be mindful that the rise recently seen in consumer confidence may slow down in the next few months as the full effect of the recession is felt through increasing unemployment levels.

• Although middle aged and older generations have traditionally constituted the core donor base – being more likely to give and being responsible for the largest donations – it seems the scope for charities to increase donations from these groups could be limited – they are also among the groups indicating the most cut backs in spending.

• Younger generations, on the other hand, seem to hold the largest potential, being more open to increase their donations in the future. However, currently this potential looks far from being realised – the likelihood of this group to donate has actually decreased slightly in recent years.

• As well as looking to tap into donors’ improved expectations of future charitable donations, charities may also need look at ways of restoring levels of committed giving, which have shown signs of deterioration in the hardest months of the recession.

Are these responses ‘statistically significant’?

• When looking at any survey sample, unless the whole population is questioned, it is impossible to say that the responses are exactly representative of the wider population – there will be a “margin of error” of a few percent.

• This margin of error changes according to the size of sample, the size of the population and to the observed percentage in question (the margin of error is at its lowest for scores of 1% or 99%, and gets higher the closer a score is to 50%.)

• The CAM sample of 1,000 is robust enough for us to be 95% sure that results are representative of the wider British public aged 16+ (about 48,516,000) within a 0.5% to 3% margin of error.

• For example if 14% of respondents are aware of Charity X this means the awareness figure for the whole population lies between 12-16%.

33

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