In this Nov. 9, 2018, file photo money gets dropped into the kettle during the Annual Salvation Army Red Kettle and Angel Tree Kick Off outside the Hobby Lobby store in Augusta, Ga. Canada’s Salvation Army is testing out a new and faster way to allow cashless donations to its kettle stations via debit and credit card, making the process as quick and easy as dropping a toonie in the bubble. THE CANADIAN PRESS/AP-Michael Holahan/The Augusta Chronicle via AP, File

In this Nov. 9, 2018, file photo money gets dropped into the kettle during the Annual Salvation Army Red Kettle and Angel Tree Kick Off outside the Hobby Lobby store in Augusta, Ga. Canada’s Salvation Army is testing out a new and faster way to allow cashless donations to its kettle stations via debit and credit card, making the process as quick and easy as dropping a toonie in the bubble. THE CANADIAN PRESS/AP-Michael Holahan/The Augusta Chronicle via AP, File

No cash? Salvation Army USA’s red kettle campaign now accepts mobile donations

Charity’s leaders hope adding Apple and Google payment options will boost giving to the red kettle campaign

Carolyn Harper made her pitch for donations to the Salvation Army with a smile on her face and a bell in her hand, trying to convince shoppers along Chicago’s busy Michigan Avenue that there was “no line, no wait.”

Despite her prodding, half a dozen people apologetically explained they had no cash to drop into the bright red kettle. Most passed on before Harper could explain there’s a new way to donate to the classic fundraising campaign this year: with a smartphone.

Heather Bishop, 35, was among those who did wait to hear about the non-cash option. She quickly completed her electronic donation while keeping an eye on her two young children after a stop at the American Girl store.

“It was fast, very easy,” Bishop said, adding that she was visiting the city from Wisconsin and doesn’t carry cash while on trips. “All of my giving is online.”

The charity’s leaders hope adding Apple and Google payment options will boost giving to the red kettle campaign, which makes up 10% of its annual fundraising. Those donations fund programs providing housing, food and other support to people in poverty.

“Those red kettle campaign funds help us throughout the entire year housing the homeless, feeding the hungry and helping families overcome poverty,” said Dale Bannon, the assistant national community relations director for Salvation Army USA.

“I think the future is bright, but we have to be flexible and provide multiple options for people to give.”

Americans’ dependence on physical cash to make purchases has declined over time, especially among people who make more than $75,000 per year, according to the Pew Research Center. The same survey found about 46% of Americans “don’t really worry much” about leaving home without cash because of all their other payment options.

Nonprofits of all types have increased their focus on online fundraising in response, but campaigns that rely on spur-of-the-moment donations outside stores directly feel the effects of consumers’ cashless lifestyle.

The organization has tested other cashless options in recent years, including a text message-based program and credit and debit card readers that plugged into bell ringers’ phones. But both were time consuming compared to dropping cash into the kettle.

Donors preferred “an easy and quick” option, Bannon said.

The physical change to the kettles is subtle — a tag containing microchip has been added to the Salvation Army sign attached to each red kettle stand.

Donors tap their phone to the tag, opening a donation form that suggests giving $5, $10 or $25. Donors also can type in a different amount.

People whose phones aren’t compatible with contactless payment systems can use their camera to photograph a QR code, opening a similar donation form.

Any mobile donations are sent to the Salvation Army chapter nearest to the donor’s billing zip code.

This year marks the 129th campaign using the bright red kettles, staffed by bell ringers outside grocery stores and popular shopping spots. For at least five years, it has been clear that cashless shopping was affecting donations, Bannon said.

The organization tested Apple Pay and Google Pay in four cities last year, and officials decided to roll the options out nationally this year as they aim to raise $150 million.

This year’s holiday calendar shaves six days off the Salvation Army’s typical window for the red kettle campaign, and officials hope the mobile options will help make up for that lost time. Bell ringers will be out in force starting the day after Thanksgiving, though many chapters launched their efforts in early November.

Anecdotally, nonprofits believe donors could wind up giving more via mobile than they would in spare change or dollar bills. They reason that someone pulling out a phone will choose one of the suggested dollar amounts, likely exceeding a few singles or loose change from a coat pocket.

A digital donation also gives the non-profit information about donors that lets the organization follow up by email. Creating that opportunity for future giving is impossible with cash, said Una Osili, associate dean for research at Indiana University’s School of Philanthropy.

“Anytime you can expand opportunities to reach new donors, that’s a win for the organization,” Osili said.

Non-cash gifts have one financial downside though. They trigger financial processing fees, said Rick Cohen, a spokesman for the National Council of Nonprofits.

Small businesses can try to offset processing fees in the cost of their goods. Nonprofits don’t have that option, though some organizations do ask donors to voluntarily increase their total gift and cover fees, he said.

“You always want to meet the donors where they are, but there’s an opportunity cost,” he said.

Bannon said there is a processing fee for mobile donations at red kettles, ranging between 2 and 2.5% depending on which card a donor connects to their Apple or Google Pay account.

Harper said she hopes the new options will increase donations to the Salvation Army. Her only concern is cold temperatures in Chicago and other parts of the country discouraging people from stopping to use the mobile system.

“Right now, it’s easy,” she said. “Hopefully it works out when it’s really cold out. Let’s keep our fingers crossed.”

ALSO READ: Salvation Army sending record number of kids to camp

Kathleen Foody, The Associated Press

Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Chief Constable Norm Lipinski, Surrey Police Service. (Submitted photo)
Surrey chief constable says ‘comprehensive’ public engagement to be done this year

Norm Lipinski says Surrey Police Service has ‘good momentum’

Surrey-raised forward Jujhar Khaira in action with Edmonton Oilers. (Photo: nhl.com)
Q&A: Surrey’s Jujhar Khaira credits parents for hard work on his path to NHL

Port Kells-raised player talks about his journey to pro hockey with Edmonton Oilers

An example of a Surrey Police cruiser, showcased at Mayor Doug McCallum’s State of the City Address at Civic Hotel in May of 2019. (File photo: Amy Reid)
OUR VIEW: Surrey Police Service continues to draw from RCMP well

Again, it flies in the face of mayor’s election campaign pitch that Surrey needs a police force whose ranks live in this city

Crews work to clear the aftermath of a three-vehicle collision that occurred Wednesday morning (Jan. 20, 2021) at the intersection of 16 Avenue and 156 Street. (Tracy Holmes photo)
One person to hospital following three-vehicle collision in South Surrey

Police say it appears one driver went through intersection ‘as if it was not even there’

A woman writes a message on a memorial mural wall by street artist James “Smokey Devil” Hardy during a memorial to remember victims of illicit drug overdose deaths on International Overdose Awareness Day, in the Downtown Eastside of Vancouver, on Monday, August 31, 2020. THE CANADIAN PRESS/Darryl Dyck
B.C. paramedics respond to record-breaking number of overdose calls in 2020

On the front lines, COVID-19 has not only led to more calls, but increased the complexity

Southern resident killer whales in B.C. waters. Research shows the population’s females are more negatively influenced by vessel traffic than males. (Photo supplied by Ocean Wise Conservation Association)
Female orcas less likely to feed in presence of vessel traffic: study

Research the southern resident population raises concerns over reproduction capacity

(Black Press Media files)
Transport Canada not budging on enclosed deck rules, despite calls from BC Ferries union

There have been at least 23 cases of the U.K. variant detected in Canada, four of which are in B.C.

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

The Elk Valley Hospital is adapting to meet the needs of patients in the Elk Valley.
One in five tests in Fernie area coming back positive: doctor

Dr Ron Clark of Elk Valley Hospital said one in five tests was returning positive for COVID-19

Ralliers gather in front of the Cityviews Village apartment building in Maple Ridge to protest attempts to evict low-income tenants by the building owner. (Ronan O’Doherty - The News)
Tenants protest pressure tactics by new landlord at Maple Ridge apartment building

Protest held in front of Cityviews Village on 223 St. Tuesday to rally against low-income evictions

Throughout December, RCMP conducted CounterAttack road checks as police worked to keep roads free of impaired drivers. (BLACK PRESS file photo)
From the “You can’t make this stuff up” file – stories from the BC CounterAttack campaign

Amusing, yes, but a reminder impaired driving affects ability to drive and to make good decisions

Snow is forecasted to appear in parts of Metro Vancouver this weekend. (Black Press Media files)
Snow forecasted for parts of Lower Mainland this weekend

Environment Canada is predicting flurries and snow from Saturday to Monday evening

(Thesendboys/Instagram)
Video of man doing backflip off Vancouver bridge draws police condemnation

Group says in Instagram story that they ‘don’t do it for the clout’

Most Read