The world is experiencing a collapse of trust in all institutions that is spilling over into skepticism around causes and charities — nonprofit technology may be a way to refill the nearly empty well.
A Global Trust Crisis and Nonprofits Have Not Been Spared
The 2018 Edelman Trust Barometer report was released last month and offers some bad news for nonprofits and government agencies that engage volunteers.
The Trust Barometer is the international public relations ﬁrm’s 18th annual trust and credibility survey. It reports the general population’s trust in all four key institutions — business, government, NGOs, and media. Over the past three years, Edelman has reported that trust has declined broadly across institutions both in the US and abroad.
In 2018, for the first time, the level of public faith in non-governmental organizations (NGOs) — generally one of the most trusted sectors — fell to nearly the same level as trust in business. This year, trust in US-based NGOs fell to a record low of 4 percent, down 8 percentage points from 2016. In other words, nearly half of the public surveyed distrusts nonprofits. For government agencies, trust dropped to 33 percent, down 6 percentage points in three years. These trends are also consistent in other developed countries around the world.
With the fall of trust, the majority of respondents now lack full belief that the overall system is working for them. In short, in the current environment there has been an implosion of trust, and nonprofits have not been spared.
The Tyranny of the Algorithm
At the same time, we have seen an increase in trust for online sources, as the public more often turns to their smartphones for information. Between 2012 and 2017, trust in search engines rose three percentage points to 64%, while trust in the traditional news media fell five percentage points to 57 percent.
In terms of reliable sources for general news and information, the public trusts search engine algorithms — and the “wisdom” of crowds of internet browsers — more than they trust journalists and even social media.
Moreover, peers are considered as credible as experts, with 54 percent believing that “a person like you” is very/extremely credible. This has fallen six points since 2017, but regular folks still rank third behind technical experts and academics. NGO representatives rank a distant seventh, with 46 percent rating them as very/extremely credible.
How to Rebuild Trust With Nonprofit Technology
Given the public’s trust in technology, it makes sense to put it to use in a strategic way to rebuild trust in institutions, particularly within nonprofits and government agencies. More specifically, nonprofit websites might be purposefully used as tools to boost communications and transparency with the public.
Consider new experiments like the software platform Frank, which publishes nonprofit transactions from a bank account onto a website or mobile device, with no human intervention. Donors can tracce how their gifts were utilized in a refreshingly direct way. Whether or not Frank gets traction, nonprofits, government and businesses are sure to face rising expectations of transparency from donors, citizens, and customers.
On a more simple level, organizations might start to rebuild trust by posting the following, in addition to their annual reports, on their website and promoting them:
- Conflict of Interest Policy — When organizations are clear about who they will accept contributions from, it reassures the public that they are free of pressures form special interests.
- Impact Scorecards — When organizations develop outcomes metrics and display an updated scorecard online, they reassure the public that they are working with the interests of stakeholders in mind.
- Philosophy of Volunteer Involvement — When organizations are clear about the rationale for the use of volunteers, beyond simply free labor, it becomes clear that they value the community as important partners in mission achievement.
- Testimonials from Stakeholders — Perhaps most obvious, when organizations highlight the honest assessments and testaments to their character and qualifications, they use the most powerful influence of all, social proof.
To rebuild trust and restore faith in the the work of the third sector, nonprofit and public sector institutions must shed their traditional roles and work outside their comfort zones to allay the fears and suspicions of the public.
Only by practicing consistent and fearless transparency, communicated online (the media most trusted), can we begin to break through the current atmosphere of distrust and begin to reconnect our missions with the hearts of those in our communities.
Join Us for More Nonprofit Technology Trends?
Check out our upcoming free webinar, presented in partnership with Wild Apricot.
Need Volunteers? Four Tech Trends You Need to Know
February 22, 2pm EST/11am PST
If you’re struggling to attract and mobilize volunteers, you’re not alone. Many organizations are experiencing the effects of four tech trends that are changing public expectations and behavior.
In this webinar, you’ll learn:
- How new technology is impacting the public’s expectations of causes and charities
- 4 key tech trends that will help you recruit, grow, engage, and recognize volunteers
- Low-cost, simple tips to address common volunteer challenges using technology
Register here for free — https://trial.wildapricot.com/volunteer-tech-trends