Economic Growth We Can All Get Behind
Reactive vs. Proactive
Andy Stanley of North Point church in Atlanta Georgia, once spoke about “Giving 2.0". In the video, he makes a few points that stood out to me and are relevant to for-profit philanthropy.
- There is absolutely a need for reactionary giving (e.g. natural disaster, abuse, starvation, etc.).
- We also have a need for proactive giving. Meaning, give even when a natural disaster hasn’t just struck. This is the very essence of Giving 2.0.
- While easier to do, raising empathy and money for a gruesome circumstance is far from the only worthwhile thing we can do.
The reason this matters is because giving 2.0 is incredibly difficult to promote. People don’t want to pay administrative costs or pay to keep the lights on. They want 80+% of every dollar donated to end up as a hot meal for starving children or as a relief fund to rebuild a collapsed house. I think it’s in our human nature to want that for others.
Unfortunately it’s difficult to effectively do. Which is why you see countless scandals. This eventually chokes charities into a corner. Some charities lie for the sake of avoiding public persecution and meeting board standards.
Why WonderBus Cares
Traditional import/export models pay the lowest wage possible. Philanthropic companies traditionally take a spin on this by giving their workers better-than-average compensation. And thanks to the added press that surrounds philanthropic causes, these companies tend to make out like bandits.
Because of this free promotion, one could identify the extra margin that they pay out to workers a marketing fee. And hey, that’s GREAT in my book. Why? Because people are excited to talk about something that is ACTUALLY EMPOWERING people to do better. This is precisely the sort of thing that people should be tweeting and sharing.
But hey, why stop there?
We leverage economies of scale to create a “supplier agnostic” community of creators that consumers love to love. In other words, consumers buy a product that they enjoy, which actively benefits others regardless of where they live.
I explain this phenomenon more in depth over this 3 article series: