Charitable donor behavior : The role of brand image in charitable giving among Finnish millennials

Research in charitable donor behavior has focused on how much, in which way, and why individual private donors donate to non-profit organizations (NPOs). However, less research has been dedicated to understanding the influence of brand associations on the willingness to donate. The target group of this study is potential millennial donors in Finland, since literature has found the donor behavior among them less studied overall. This study is further motivated by the clear lack of research in donor behavior and particularly the role of brands in a Finnish market. Since the importance of brands and brand management has emerged also in the non-profit sector, there is an apparent need to investigate their influence on donor behavior. Donor perceptions have been claimed to be essential for the creation of strong non-profit brands, since the value of the brand is manifested in the minds of donors. Decision-making has also been argued to be dominated by the donor’s subjective perception, which accentuates the importance of understanding how non-profits are perceived. The aim of this study is to firstly explore the motivations for donating among the target group, followed by an investigation of the most important brand associations relating to the willingness to donate. This furthermore creates the basis for the development of a strong brand image, which has been found to influence charitable giving. The empirical study has been conducted using qualitative methods and social constructionism as the philosophical basis. All primary data have been collected through semi-structured interviews, which have been analyzed through thematic analysis. This thesis uses an abductive approach to inquiry, allowing for a constant dialogue between the empirical study and the theoretical framework. The results of the empirical study showed that most interviewees are not engaging in charitable giving, but that they have a positive attitude towards donating. It also found that they consequently have very little knowledge about non-profits and are thus unable to connect desirable brand associations to the organizations they recognized. A general uncertainty regarding the trustworthiness, accountability and transparency was found in different parts of all interviews, suggesting that brand management is needed in the non-profit sector. A consensus was gained about the most desirable brand associations, which related to reliability, efficiency and ethicality in the brand image dimensions conceptualized by prior research. A new dimension was created to meet the demands of the target group, who suggested transparency to be the most reoccurring brand association. The study has answered the theoretical, empirical and normative research questions through presenting a comprehensive literature review in the topic, by examining the target groups’ perceptions of non-profits in general and based on specific companies. Finally, the study provides theoretical and practical implications, as well as suggestions for further research