Conducted by Giving What We Can with the University of Queensland, the survey comes as respondents say they are reducing giving due to cost of living
SYDNEY, AUSTRALIA, June 20, 2024 /EINPresswire.com/ -- Australians are demanding more bang for their charitable buck, even as they cut back on donations due to cost of living pressures, according to a new study by Giving What We Can, a global community of effective givers, in collaboration with the University of Queensland.Almost 8 out of 10 respondents said they had reduced charitable giving because of the cost of living crisis. At the same time, Australians surveyed expressed a strong preference for transparency, measurable impact, and accountability in charitable giving, with 9 out of 10 more inclined to donate to charities that demonstrate clear, measurable outcomes.
This puts pressure on charities to demonstrate routine, verifiable impact, which is not currently happening. Most respondents (73%) are uncertain about whether their previous donations had a lot of impact or didn't think their previous donations had a lot of impact.
An overwhelming 93% of Australians surveyed indicated they would utilise a reliable source of information comparing the effectiveness of different charities to inform their donation decisions. This finding points to a strong desire for informed and effective giving. Further, 85% demanded that charities be accountable for the impact of their work and the effectiveness of their programs, and 79% believe that donating to highly effective charities should be the norm in society.
Australians seem willing to stand behind these convictions with their own behaviour, with 87% expressing a willingness to switch their donations to highly effective charities. This reflects a significant potential shift towards high-impact philanthropy.
Luke Freeman, Executive Director of Giving What We Can, said, "As we begin to turn a corner on the cost of living crisis, with many Australians now believing that inflation and interest rates have peaked and tax cuts are coming, it's a critical moment to think about how we can use our good fortune to help others. Australia is often referred to as 'the lucky country', and for good reason: most Australians are among the top 1-3% highest earners on the planet. With that luck comes an opportunity to support those who are less fortunate."
Mr Freeman continued: “Australians are increasingly aware of the importance of effective charitable giving and this survey highlights a significant shift in donor priorities towards transparency and measurable outcomes. I think these challenging economic times may be contributing to that awareness. While people may not have more to give this financial year, they can make their charitable donation go much further.
“It’s clear that Australians want to ensure their donations make a real impact. Charities must step up to this challenge and provide the accountability that donors want to see. This demand for transparency and measurable impact is a call to charities: prove your worth or risk losing support. The message is clear - Australians want their donations to count, and they are ready to pivot towards charities that can demonstrate real, tangible results.”
Survey respondents on average believe the best interventions are around 1.44x (44%) more effective than average. However, research suggests a much greater variation among donation opportunities, with most donors easily able to 100x their impact by choosing to fund the best interventions, according to Giving What We Can's research team. 70% of respondents believe they should donate more effectively, demonstrating an awareness and desire for having more impact in their charitable giving.
Luke Furness, a Brisbane-based lawyer, has been monitoring the impact of his philanthropy for several years and has already pledged to give 10% of his earnings to high-impact causes. He said, “Initially, I found the thought of charitable giving challenging, but putting it into a global perspective helped. Australians who earn over AUD100k are in the richest 1% of the global population, even taking into consideration our higher cost of living.
“That made it clear that I, like most Australians, am in the position to help those less fortunate, something that I am easily able to do through the Giving What We Can pledge.”
Hon Dr Andrew Leigh MP, Assistant Minister for Competition, Charities and Treasury said, “The Australian Government has a target to double philanthropy by 2030. That means inspiring existing donors to give more and encouraging more people to become charitable givers. Providing more information about the effectiveness of philanthropy is sure to boost both the quantity and quality of donations.”
ENDS
Media contacts:
Nick Albrow
nick@wilkinsonbutler.com
+61408 681 499
Zachary Link
zachary@wilkinsonbutler.com
+61 400 275 415
About Giving What We Can:
Giving What We Can is a community of effective givers. Our mission is to create a world where giving effectively and significantly is a cultural norm. We support donors in finding the world's most pressing problems and identifying the best charities working to solve them.
We're best known for The GWWC Pledge, where members commit to giving at least 10% of their income to the most effective charities. Our community of pledgers and donors have already donated almost $400 million USD.
Learn more at www.givingwhatwecan.org
Nick Albrow
Wilkinson Butler
+61 408 681 499
nick@wilkinsonbutler.com
