Whether or not you’re engage in social networking, there’s a good chance you have come across a crowd-sourced corporate philanthropy contest (such as Chase Community Giving, Pepsi Refresh, or the American Express Members’ Project) sometime in the last few months. These initiatives, in which companies award funding to the nonprofit or nonprofits that earn the most votes via Facebook, Twitter, or the company’s own website, are sparking discussion in nonprofit and philanthropy circles. Most recently, James Epstein-Reeves’ editorial in Forbes outlines the pros and cons of the crowd-sourced corporate philanthropy model. (The June 2010 issue of BCA News [.pdf 873 KB] also covered the topic.) So, what’s the consensus? Is the crowd-sourced philanthropy model the wave of the future?
In some ways, crowd-sourced philanthropy seems like a win-win for both companies and non-profits. For businesses, crowd-sourced philanthropy contests don’t simply promote positive brand recognition, but also stimulate consumer engagement (especially in examples such as American Express and Pepsi, where consumers/participants log on and vote for nonprofits in different rounds, meaning they will keep returning to the company’s website or Facebook page). On the nonprofit side, Epstein-Reeves points out that these contests help level the playing field by allowing nonprofits who previously may have been ineligible for corporate grants access to the funding and branding power gained from association with the corporation, as well as national recognition that typically does not come from the award of a more traditional grant. Read the rest of this entry »
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Last month’s Americans for the Arts Half-Century Summit in Baltimore, MD, was a rousing success on many fronts. Despite economic challenges, a thousand attendees joined us for several days of networking, collaborating, and learning.