Applying Behavioural Insights to Charitable Giving 4

Behavioural Insights Team (2013)
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Summary by 
Mark Egan

The B.I.T. worked with Home Retail Group (50,000 staff & 1,079 stores in the U.K.) and Charities Trust to raise charitable giving through a payroll giving scheme. They have an automatic escalation program called Xtra Factor which increases donations by 3% per year. However, only 10% of new donors were taking it up. By changing the default for the Xtra Factor to opt-out for new donors,the proportion of new donors using it jumped from 6% to 49%.