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Thursday, January 15, 2009

Meet the new givers - BOGO and B1G1

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By David Anttony

Definitions of English words often change quite rapidly these days. In the not-to-distant past the definition of words was often set in concrete. Today the meaning can change in the blink of an eye. With new and faster ways to exchange ideas and with wider and more culturally, socially and educationally diverse groups connecting together - words are put back on the hard anvil of evolution and transformed into something new and more reflective of current life and living.

There is a growing significant movement happening global where consumers are asking businesses to look after the things they care about such as the environment and the less fortunate in society. The request is still mainly tacit and despite it being an ironic request it still signals we are in a time of great change. Consumers these days want their 'toys' but they don't want the environment to be destroyed in the creation of these. They want cheap products but they do not want workers to be paid a pittance to create the cheap products.

There may not seem an answer to this complex puzzle and yet one actually exists. It exists in the reforging of a simple single word - GET. Today there is a new movement of people wanting to get but give at the same time and they are reforging it's meaning into the word GIVE.

Every day automated email notices arrive in my inbox from Google Alerts for two keywords - BOGO and B1G1. I see all the new places these words are turning up on the Internet. Little by little these two words are gaining a their new meaning as more and more people take up the Buy One Give One cause.

B1G1 and BOGO are acronyms for Buy One GET One free. You buy one and they give you an extra one for the same price.

If you look on Wikipedia you will find these definitions for BOGO (there isn't a definition yet for B1G1 - there will be soon when I write one!) :

* An acronym in the retail industry that stands for Buy One Get One. For example, you could say "Buy 1 DVD, Get 1 FREE!

* An acronym in slang British that stands for Britons Of Greek Origin or Greek Britons.

* Bogo, Cebu, a city in central Philippines.

* An alternate name for the Bilen ethnic group of Ethiopia or their language, Blin.

* An alternate name for the Bilen ethnic group of Ethiopia or their language, Blin.

* The mascot of the ITESM CEM.

* Bogosort, an ineffective sorting algorithm

* Bogosort, an ineffective sorting algorithm

BOGO light

There is an organisation in the USA called SunLight Solar founded by a gentleman called Mark Bent. He has created a special torch that not only is an amazing and robust solar-powered light, his company also gives a free torch to a family in need in developing nations for each one purchased. If you look on their website you will learn about their "BOGOlight".

BOGOlight.com. - "The BoGo - our Buy one/Give one - program has successfully provided lights to many, many thousands of people in the developing world, changing lives because of your purchase and participation."

Mark Bent turned the acronym upside down when he started to use the word as part of his product name. For him now and the thousands who buy his lights, BOGO now means Buy One GIVE One. Each person gets to give a light every time they buy one for themselves. So now with each sale people who do not have the luxury of electricity can harness the power of the sun to support their lives.

There are many other well known and less well know businesses now doing Buy One Give One giving or transactional giving as it is becoming known. Some of the famous ones are One-Laptop-Per-Child (OLPC) and TOM'S Shoes. Some of the less well-known ones (in the USA at least) are based in New Zealand, Australia and the UK - Earthstar Publishing, Maple Muesli, Blinds Couture, Figure 8 Body Chains, Sunsplash Homes, Honestly Women magazine and Thavibu Gallery based in Thailand are just a handful of special businesses that are heading the Buy One Give One movement.

Many Buy One Give One businesses are coming together under the single brand banner of Buy1GIVE1, a Singaporean based social enterprise which is becoming the home of transaction based giving. Any business can now choose to be part of Buy One Give One giving with ease. It's like a CSR 'plug-in' to allow a business to start giving from each and every sale today - starting from just one cent. It is now not even a matter of giving an equivalent product to someone else. Instead it is about giving to a charity project that is in resonance with a company's business activity. For example a magazine publisher can not support the planting of a tree every time they sell a subscription, a restaurant can feed a child for each meal sold, a TV store can gift a cataract blind person with the gift of sight (Get Vision-Give Vision), and a builder or property developer can build a budget home for those in need who have lost their homes in a disaster (Buy1BUILD1) - the list is only limited by imagination.

The stats now add up saying consumers do care. The 2008 Goodpurpose global study of consumer attitudes revealed that nearly a huge 68% of consumers would remain dedicated to a brand during an economic slump if it supported a charity cause. This study also highlighted some other key points as well such as :

* Half (52%) of consumers globally are more likely to recommend a brand to others when it supports a good charity cause over one that does not.

* and 54% would champion a brand to promote a product if there was a good cause behind it.

* And going even further globally, consumers are voicing a strong desire for marketers to connect their brands to social causes or action. Forty-two percent say that if two products or services are of the same quality and price, commitment to a social purpose trumps factors like design, innovation and brand loyalty when choosing one product brand over another.

Getting becoming Giving

In the minds of consumers, Buy One GIVE One is sure to replace Buy One GET One as the global giving movement led by Buy1GIVE1 ripples out. Certainly with the large consumer demand shown for products from companies like BOGOlights, TOMS Shoes and One Laptop Per Child (OLPC), this tide will continue to spread.

I did a recent Google search to find the top 25 keywords associated with the keywords BOGO and B1G1. The results were interesting indeed seeing none of them contained the word Give. You can see the results below. It will be interested to repeat this experiment in 12 months time to see what changes. Consumers are now starting to drive significant change and despite them wanting to receive free gifts (as in traditional BOGO/B1G1), they equally want to help others and the environment. This feeling is validated by 2008's Goodpurpose global study.

Keyword results :

Free, photography, blogging, discount, networking, African, boots, groups, music, dallas, togo themes, wallpapers, buy, applications, skins, values, coupon, gift, sharing, shopping, pics, join, prose

Transactional or transaction-based giving

Unlike normal charitable giving Buy One Give One giving is transactional. What is meant by that is : every time you buy something you give something. In the case of SunNight Solar they give a physical light for every light sold. In most cases, businesses that become part of this special form of transaction-based giving, give in a different way. At Buy1GIVE1, giving can start from just USD 1c contribution per sale. At this amount no business in the world can say they cannot give and 100% contributed goes to the cause.

The actual amount given from each and every sale is not the point of focus with Buy1GIVE1 transaction based giving. It is not about saying 10% is contributed or 5c from each sale - instead the focus is on the story and sharing the simple joy of giving. In the end, if you think that 1c is not a lot to contribute and is not likely to make much of a difference think again and consider the following.

From its origins in Ethiopia, where the main coffee production is still from wild coffee tree forests, coffee consumption has spread globally. Brazil is still by far the largest coffee producer in the world producing on average 28% of the world's total coffee. In 2006 Brazil produced enough coffee to make 216,400,000,000 (216 billion four hundred million) espresso coffees. If we were to calculate across global production then we get a daily global consumption of around 2,117,416,830 cups of coffee - wow. The figures are somewhat hard to track down but lets guess that 40% of the world's coffee is sold and consumed in coffee shops then we would get that 846,966,732 cups are sold commercially each day globally - nearly 900 million. This would equate to about 185,485,714 cups in the US on its own seeing they purchase around 21% of the world's coffee.

If we considered the impact of the coffee industry alone taking up Buy1-Give1, imagine now that for every cup of coffee sold a child in a developing region like Sub-Sahara Africa received clean drinking water from a well and it only costing 1cent to do this. Surely any coffee shop could afford to contribute this amount from the sale of a single cup of coffee. Imagine the different that this one action alone would make in the world.

Transactional giving is the story of the thousand-mile journey starting with that first single step. Digging a well costs a few thousand dollars so it's a big barrier for communities in developing nations. However if you break the cost down it only takes the sale of a cup of coffee to give clean water to a single person for a day1. This is the power of transactional giving. It is like the compound interest of giving - a little turns into a lot very quickly.

So many companies are used to doing things on their own. Doing transactional giving is no different. A company can go out find a cause and start doing Buy One Give One giving. And yet they are missing the point when they do this. Buy1GIVE1 giving is about sharing the joy of giving and not trying to change the world. As soon as you step up and say you are going to change the world then the world will step up and challenge you. Within a heartbeat a company would experience the sharp scrutiny of the media inspecting their every move. And yet when a company steps up and says it is supporting what its customer want and joins with others in its industry to do that in a win-win way, the story is different. When companies choose to join together under a commonly recognised banner/brand they can have a powerful joint effect. The ripple that a single company creates is added to that of another and the ripple grows into a tidal wave that benefits so many. This is the power of giving and doing things together.

Everyone wins with Buy-One-Give-One transaction-based giving. The consumer wins - at no extra cost to themselves they've made a difference to the lives of others through their purchasing choices. The business also wins in so many tangible and intangible ways. And of course the charity partner wins because they are now able to receive small amounts from numerous sources aggregated and paid in a lump sum on a regular basis allowing them to focus on what they do rather than raising funds.

A new beginning

If you check Wikipedia today you should find that a new definition has been added for BOGO. It is time for a change. A change from focusing on GETTING to focusing on GIVING. The subtlety in the words that we use so often point to a deeper underlying meaning. I added this small addition to Wikipedia, "... an acronym in the marketing industry that stands for Buy One GIVE One."

Imagine a world where every time you buy you are giving a gift forward to someone in greater need than you. This is the magic of transactional giving - seamless and simple.

This is the world I want to be part of.

Just remember - you don't 'get' giving till you get giving.

References :

http://www.buy1-give1free.com/index.php/Partnering/Worthy-cause-charity-projects.html

http://www.dep.org.uk/globalexpress/13/page1.htm

http://www.tesco.com/greenerliving/what_we_are_doing/ethical_clothing.page

http://www.scfnw.org.uk/site/article183.html

http://www.scfnw.org.uk/site/article183.html

http://www.goodpurposecommunity.com/

http://www.dep.org.uk/globalexpress/13/page1.htm

Footnotes: 1 The daily cost for clean well water per person is calculated by taking the average cost to dig a well then dividing that amount by its average expected life without major maintenance then divided it by the number of people in the community benefitting from the well on a daily basis.

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