81% of Canadians believe all companies should give back and 68% say they would be more loyal to companies that did
TORONTO, Nov. 27, 2018 /CNW/ - A new report from The Upside Foundation, a charity that enables startups to give back by sharing their financial upside, examines Canadians' attitudes toward corporate giving and the effect it has on purchasing decisions. The report* was commissioned in collaboration with Interac Corp. (Interac), The Upside Foundation's Innovation Sponsor, to celebrate #GivingTuesday, which takes place annually the day after Cyber Monday, and encourages Canadians to give back with their time or money. The report found that 70% of Canadians are more likely to purchase from companies that support charities, with 81% of Canadians agreeing that all companies should give back, and 68% saying they would be more loyal to companies that have a corporate giving mandate.
"The numbers speak for themselves—charitable giving helps drive economic growth because Canadians not only prefer to support businesses that give back, they are also willing to spend more at businesses that do so," said Debbie Gamble, Chief Officer of Innovation Labs and New Ventures at Interac. “We’re proud to sponsor The Upside Foundation to help promote connecting business innovation to social good and encourage Canadians to spend smart this holiday season.”
While one-fifth (20%) of Canadians feel that after doing their holiday shopping they should be giving back to charities, yet another good reason to maintain control of spending by using their own money during the holidays.
When it comes to purchasing decisions, nearly half (46%) of Canadians say they have based their purchase on whether or not a company was considered charitable. What's more, 48% are willing to spend more on products from companies that give back. The report also found that corporate giving has a long-standing impact on consumers—almost a quarter (23%) of Canadians say they have purchased from a company more than once or changed their shopping habits entirely as a show of support for that company's charitable giving.
"Charitable giving has been a central part of our business and brand ethos since day one, so donating company equity for charity through The Upside Foundation was a simple decision for us," said Tyler Handley, co-founder and CEO of inkbox, creators of the world's first semi-permanent tattoo and an Upside Foundation Member. "Companies have a responsibility to give back to the communities that have supported them—not only is it the right thing to do, it's also a relatively simple way to better align your brand with the values of your employees and customers."
As Canadians look to the year ahead, 46% say they believe that the biggest trend for charitable giving in 2019 will be an increase in digital donation options. When it came to the way that Canadians believed companies can be most effective with the corporate giving mandates, "donating money to causes/charities" was the top choice (75%).
To celebrate #GivingTuesday, Interac has donated $10,000 to Tech4SickKids, a SickKids fundraising campaign targeted at the tech community. The campaign is aiming to raise $25 million to build a new emergency room.
For companies who would like to give back, but don't have the resources to make cash donations today, donating equity for charity is a way to make a longer-term, meaningful impact on the causes they care about most. Over 200 companies in Canada have already taken the pledge to donate equity for charity. To join them:
- Companies can fill out the online pledge form
- Once the pledge form is received, companies will receive detailed instructions on how to contribute from an ESOP (employee stock ownership plan), warrants or a simple legal form, with flexibility depending on the stage of the company.
- With the donation embedded in the company's DNA, the company then integrates the charitable commitment into their culture and brand.
- Once the company has a liquidity event (typically acquisition or IPO), the proceeds are donated to the company's charity of choice.
*About the Survey
Maru/Blue conducted an online survey of Canadian residents between October 29th and November 2nd, 2018. In total, 1000 members of the general public 18 years or older were surveyed. Final survey data were weighted based on national Census figures, according to region, age, and gender.
About The Upside Foundation
The Upside Foundation is a charity that enables startups to give back by donating equity in their company to Canadian charities. Early stage companies pledge stock options or warrants to The Upside Foundation, which upon a liquidity event convert to a cash donation for the company's charity of choice.
To learn more about The Upside Foundation visit: www.upsidefoundation.ca
About Interac Corp.
Interac Corp. operates an economical, world-class debit payments system with broad-based acceptance, reliability, security, and efficiency. The organization is one of Canada's leading payments brands and is chosen an average of 16 million times daily to pay and exchange money. For more than 30 years, Interac Corp. and its predecessors, Interac Association and Acxsys Corporation, have facilitated secure financial transactions through the development of innovative and convenient debit and money transfer solutions. A leader in the prevention and detection of fraud, the organization has one of the lowest rates of fraud globally. Visit interac.ca or follow @INTERAC on Twitter. Interac Corp. has a diverse group of shareholders that includes banks, credit unions, caisses populaires, payment processors and merchants.
SOURCE The Upside Foundation
For further information: Press contact: Jamie Gillingham, Account Manager, [email protected], 1 647 490 1507