Supermarket Fundraising: We’re Leaving Millions At the Register

by Joan Garry

I said no at the checkout counter – and I’m not alone. Even nonprofit leaders hesitate to donate at that moment. Here’s what that reveals about checkout fundraising and how nonprofits can turn more of those No’s into easy Yes’s.

I have a confession to make. I went to a Catholic church and a Catholic grade school, and so the confession thing is real for me.

On Sunday, I went to Acme, a big supermarket in my town of Montclair, NJ. Like every visit there, I am asked if I would like to donate to a cause. I was asked a simple question: “Would you like to fight hunger in our community?

Checkout screen at a grocery store asking, “Would you like to donate to fight hunger in our community?” with options for $1, $5, $10, other, and a highlighted “No” button.

I thought about it for a nanosecond. Before I pressed the button, I looked around – I was already judging myself and didn’t need others to join the “fun.” And then I pressed “NO.” 

NO? 

I PRESSED NO.

I do not want to fight hunger in our community?

I’m kind of ashamed of myself. Kind of.

OF COURSE I WANT TO END HUNGER IN MY COMMUNITY.

I sat in my car and mulled this question. Why did I not say YES? And shouldn’t I have said YES?

Then I thought, if someone like ME feels this way, this might not be a very successful fundraising strategy.

Turns out I was wrong.

DID YOU KNOW THESE PROGRAMS RAISE TONS OF MONEY?

Who knew? (not me). Some facts:

  • Over the past thirty years, these programs have collectively raised over $6.7 billion for various charities.
  • In 2022 alone, these programs raised $749 million, an increase of 24% over 2020.
  • Supermarkets select causes with universal emotional appeal – kids, food insecurity, and cancer. Nothing controversial.
  • Big nonprofits are the big winners: St Judes, Children’s Miracle Network, Feeding America, Susan G. Komen, and Leukemia/Lymphoma Society.

AND YET, SAYING “NO” IS VERY COMMON

I am not alone in saying NO. I checked in with members of our Nonprofit Leadership Lab, and it turns out that DOZENS of NONPROFIT LEADERS say NO. 

Are they overly picky? Skeptical? 

Do they know more than folks not steeped in nonprofit fundraising? 

I mean. Come on – we’re only talking about $1 or $2 or rounding up to the nearest dollar.

Here’s some of what I heard:

  • “I always say no, as I prefer to donate directly to charities of my choice.”

  • “I always want more specific information about how the money will be used to fight hunger.”

  • “I always say no. The corporate overlords use it as a tax deduction for themselves”
    (Note: a common perception, but nope, you make the donation, you get the deduction, not the retailer. BUT we all know that perception is reality.)

  • “No one should feel guilty in the least for saying no to these cashier programs that have zero accountability measures in place.”

  • “Sometimes I say yes – answering “no” to “Do you want to help fight hunger in our community?” feels awful. I take a leap of faith that the money finds its way to a worthy cause.”

TIME FOR SOME PRACTICAL ADVICE

I believe nonprofits are leaving SO MUCH FUNDING on the table or at the checkout counter. 

Think about the hundreds of thousands of folks who say NO for the reasons noted above. And retailers are losing so much brand credibility, customer loyalty, and goodwill by simply adding this vague question on the checkout screen.

WHAT CAN RETAILERS DO DIFFERENTLY

My guess is that many of these decisions are made at a regional or national level. That’s kind of the problem, isn’t it? The retailers are handed the program. It’s easy, and as a result, there may be a lot less skin in the game.

  • Don’t go the easy way: Even if the program is obligatory and turnkey, add your own spin. Think about yourself at the checkout counter. What would lead YOU to say yes? 
  • Be specific: Look at the image above. What am I giving to? Is it even really a donation? I believe this reflects poorly on the supermarket I shopped at on Sunday (and visit multiple times a week FWIW).
  • Go local: The key goal of this work is brand credibility and customer loyalty.  Affiliation with a big, well-known national organization might add credibility, but local tells me you care about OUR community.
  • Tell shoppers about the impact: Help Boys and Girls Club launch a new clubhouse in Newark. Every dollar counts.”  Me? I would say yes to that in a heartbeat.
  • Demonstrate company commitment: Many easy strategies – a big sign in the window affirming your commitment to the community by this program, a button that every employee wears with a catchy slogan, and cashiers who actually mention it at checkout and can say something specific and compelling.
  • Be transparent and be a myth buster: People are skeptical about these programs (and they still raise buckets of money). How about being explicit – maybe in the window signage? 100% of your donation goes to XYZ.org.

WHAT CAN NONPROFITS DO DIFFERENTLY?

The winners in this supermarket world are often the big fish, as I noted above. If you are not a big fish, see your size as an ASSET.  Small and local will make more folks say yes. Here is some advice about how to get a retailer to say yes.

  • Make your pitch with THEIR goals in mind: I guarantee you that a worthy organization like St. Jude’s may add to their brand credibility, but a specific local organization will definitely stick with a customer and really hit home (pun intended), thus driving customer loyalty.
  • Try smaller retailers: If it is a big chain, go for the ones in which the franchise is owned locally.
  • A catchy sign at each check-out: A national nonprofit may have resources for signage, but a catchy sign at each checkout – minimum text and catchy graphic – can be something a cashier can point out as items are being scanned and before the message appears on the payment screen. 
  • “Light lift” education for employees: Every employee has a smartphone, right? A short video – maybe every other week – with an impact story or an update on dollars raised? (Did you read that and roll your eyes? – Wait!) Make it an extemporaneous short video that you can send not just to the store but to board members as well. 
  • Remember, it’s about more than money: A retailer endorsement gives your organization needed visibility, awareness, and credibility
  • A window sign: Signs are so cheap to design and print (thank you, Canva).  Provide it to retailers so they can prominently display their commitment. If I only see the image on the checkout screen, I’m not compelled. But if, while I am getting my wagon, I see a sign in the window that tells me the retailer cares.
  • Highlight a local chapter of a national nonprofit: Make a large organization feel small – the work they do is in your own backyard.

OTHER IDEAS

Here are a few other comments from members of our Nonprofit Leadership Lab generated to get your wheels turning!

  • “I only donate at the cash register if the organization is local AND if the cashier can tell me more about the program – if they can’t, it just all feels performative – for both the nonprofit and the business.”
  • “I will say yes if I see and recognize the name of the organization – along with EIN number – makes it feel real.”
  • “I would say yes if the organization used my dollar as part of a match. And signage in the store window keeps me up to date – that tells me it is part of a successful campaign – will likely keep adding $1.” 
  • “I gave to a “round up” campaign to a local organization fighting food insecurity. I said yes, and the receipt said “Thank you for your Gift to XYZ,” and it included a QR code to learn more about the organization.”
  • “I’d like to know something before I am asked to give – maybe something that creates a sense of urgency – In the 20 minutes you were shopping….<X kids missed a school meal> or <X people were diagnosed with X>.
  • “I would definitely say yes if it were made clear that the retailer was matching my dollar to a specific local organization. I want to know that the retailer CARES.”

FINAL THOUGHT

In our Lab community, my question about this kind of program blew up with comments.  Everyone had a point of view, and of the dozens who commented, nearly all of them said: “I say NO.

And these are nonprofit leaders!!!!

People who fundraise, people who care about changing the world, and helping individuals who need them.

Can you just imagine how many more resources could be available to the sector if we all worked together to do this WELL??

Hope you’ll grab some of this advice and get to the business of building a foundation of small-dollar giving.