Several companies at the 2009 PayPal Developer’s conference said that giving consumers the option to make a donation to the charity of their choice at the point of online checkout, increased sales. There are several reasons why I believe this happens. 1) People want to give but they do not want to be put on a never-ending mailing list. The company acts a buffer between the consumer and the charity. 2) People want to give to causes that are relevant to them or people they know. 3) People want to do something positive but don’t want to make a time commitment 4) People perceive the company they are buying from as more trustworthy and legitimate because they are charity-minded and not 100% profit-minded. Who doesn’t want to do business with companies that socially responsible and care about worthy causes?
The ecommerce challenge is to make the charitable donation process easy. If it takes more than 1-click, consumers will bypass the step in the interest of time. Think of how many times you abandoned a shopping cart because the process was more involved than you expected. On the web, every small marketing advantage helps. As more companies increase sales by even small percentages, eventually charitable giving at checkout will become common practice. Further, we could see shopping carts adding charitable donation capabilities as an add-on module.
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