VocaLink Corporate Social Responsibility
VocaLink operates with Corporate Social Responsibility (CSR) at
the heart of its business and it continually seeks opportunities to
positively impact society through its corporate presence and
individual contributions. VocaLink has recently
conducted research into the opportunity for mobile payments to
change the demographics of charitable donations.
Read on to find out more about our latest initiative.
Click
here for more information on our approach to CSR.
Latest News
Using mobile payments to drive charitable donations -
find out why 96% of charities surveyed are keen to pilot mobile
payment donation technology.
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The way that we pay for goods and services in Britain is
evolving. In December 2010, for the first time, UK consumers spent
more using debit cards than cash over the course of a year.
Electronic payment volumes are growing and older payment methods
such as cheques are now in steady decline.
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Findings from the Charities Aid Foundation and the National
Council for Volunteering Organisations indicate that although cash
is still the most popular way to donate to charity, the use of
debit cards or Direct Debits is rising.
Looking further than the move from paper to electronic
donations, even more advanced ways to donate are emerging and
charities must equip themselves to participate in this new
economy.
VocaLink has authored a report that found a significant
opportunity for mobile payments as a fundraising channel.
The research found that there is a high level of enthusiasm for
any new method of donating, particularly if the method means
donations are easier to make. Charities recognise that mobile
payment fundraising particularly appeals to younger people, whom
they are keen to target in order to broaden their donor base away
from typically older givers. This is an important consideration for
charities' strategic and long-term objectives to ensure that they
can continue to raise the funds that they require as Generation Y
and tech savvy individuals make up a greater proportion of
society.
Of the charities interviewed in the research, 96 per cent stated
that they would be keen to explore the opportunity to pilot mobile
payments for their organisation, as long as it could address the
following points:
- ensuring that GiftAid can be accommodated. GiftAid is worth up
to 28 per cent of extra income and therefore a vital aspect of any
future donation platform.
- Secondly, the availability of personal information from the
donor is critical in long-term relationship building and sustained
fundraising activities. Such long-term relationships are the main
focus of virtually all charities and any preferred donation method
must enable charities to generate future marketing
opportunities.
- Finally, the charities participating in the VocaLink research
highlighted that any new payment technology must be something that
the donors find easy and comfortable using repeatedly.
If mobile payments can demonstrate a higher level of donation
combined with easy provision of the requisite information and
enthusiasm among donors then it would appeal strongly. One of the
strengths of mobile payments for charities is that it is a
paper-free alternative to some of their current donation methods.
This is not only easier for people to donate but it's also far
simpler and cost effective for the charity to manage.
With benefits for the charity and the individual, the research
highlights the need for charities to work together to continue to
evolve their donation schemes with the new ways that people want to
pay.