text to give

Early yesterday evening, the American Red Cross announced it had received more than $5 Million in texts, $10 at a time. That means more than 500,000 people from all over America have texted "HAITI" to 90999. Although they are still raising much more through other forms ($35 million so far in total), this is a record for the organization and for mobile giving. Previously, the Red Cross's most successful mobile giving campaign was in 2008, when they raised $200,000 in response to the hurricane season. Other groups, including Wyclef Jean's Yele Haiti and the Clinton Foundation, are also accepting text donations. It's amazing to see how people are responding to this crisis through various forms of giving, and I wonder what this will mean for future mobile campaigns. In addition, Ushahidi has adapted its mobile mapping technology to assist in the relief efforts. As of this morning, 425 reports have been posted through voice, text and video to help find and map urgent needs, threats, survivor information and response.

We have talked on this blog about how 2010 might be the year of mobile, when adoption and technology catch up with other parts of the world and we begin using our cell phones in new and innovative ways. I wonder if this Haiti response is any indication of what's to come. As we learn more about these efforts and the numbers behind them, the public may have more questions and reactions that could help improve the mobile giving process.

This will lead to increased comfort (and therefore use of) mobile giving, disaster response platforms and other budding technology. I'm sure there are thousands of people who are being compelled to give via text for the first time because of this crisis. People who were unsure about giving at football games or while watching American Idol may have been pushed over the hump by what is happening in Haiti. Odds are, they had a good experience. They received a confirmation text message, it will show up as $10 (and just $10) on their bill, and they will feel even more comfortable doing it again next time.

There will be pressure on the entities involved in mobile giving campaigns. Over the past few days, I've seen people in my Twitter stream pose questions about what the mobile service providers would be donating and how much money actually goes to the beneficiary. As the amount of money given to Haiti through text grows, there could be more questions about who, if anyone, is gaining from this. Through the Mobile Giving Foundation, 100% of donations will go to the organization you choose. Neither the Mobile Giving Foundation nor Verizon, At&T or whoever keeps you connected will take anything off the top. BUT the Mobile Giving website also states that they charge "back costs for short-code costs, reporting and messaging charges directly to the nonprofit organizations or their supporting service providers on a post-donation basis."

I've not been able to find out how much money we are talking about here, but a Seattle Times article last year cited the amount as 10 cents per transaction. If I'm reading this right, 100% of mobile donations may go to the organization, but the organization has to pay mobile marketing companies like mGive to be able to receive these donations. There may be special arrangements made around this campaign for Haiti, but people are going to want to know what these charges are. Undoubtedly, providing this mobile donation service costs money, so mGive and organizations have to charge something to be able to continue providing this service, but this might be the perfect CSR opportunity for a major service provider like Verizon or AT&T. If I were them, I might drop the commercials about the maps for a commercial about how they are funding organizations like mGive and the Mobile Giving Foundation so nonprofits don't have to pay anything to receive mobile donations.

In addition, while service providers are not taking anything off the top of these donations, they are still charging whatever service fee you agreed to when you signed up for your plan. Let's say your plan charges 10 cents per text sent and received. When you consider that you send one text and receive up to three (I did) to confirm your donation, Verizon is making 40 cents on your donation. I think as we realize how much money that adds up to, there will be calls for service providers to either waive all fees on mobile donations or to donate that money.

There also may unfortunately be a little bit of backlash. The fine print says that when you donate $10 by texting "HAITI" to 90999, you are also agreeing to receive up to four texts per month from the Red Cross. While unsubscribing is easy enough (just text "STOP" to 90999), I'm sure the vast majority of people do not know these texts are coming and may get annoyed with text solicitations pretty quickly.

Did you use mobile giving for the first time in response to Haiti? What was your experience and what are your questions?