August 2024

Mohammad Anas Wahaj | 31 aug 2024

One of the most critical challenge that nonprofits face is effective and efficient allocation of their limited funds towards their various activities. According to the research study, 'Allocation of Nonprofit Funds Among Program, Fundraising, and Administration' (Authors: Telesilla O. Kotsi of The Ohio State University; Arian Aflaki of University of Pittsburgh; Goker Aydin of Johns Hopkins University; Alfonso J. Pedraza-Martinez of University of Notre Dame), published in Manufacturing & Service Operations Management (2023), 'U.S. nonprofits declare three types of expenses in their IRS 990 forms: program spending to meet beneficiaries' needs; fundraising spending to raise donations; and administration spending to build and maintain capacity. Charity watchdogs, however, expect nonprofits to prioritize program spending over other categories. We study when such expectations may lead to the 'starvation cycle' or underspending on administration and fundraising.' Researchers have developed a mathematical model that can guide nonprofits to prioritize and optimize spending for present and future success. Capacity, that consists of organization's resources such as infrastructure, equipment, staff etc, is crucial and is related to the administrative costs. Researchers found that striking a right balance on allocating funds for program costs depends on the nonprofit's existing capacity. Early stage nonprofits need to spend more on adminstrative costs to build solid foundation and long-term resilience. When some capacity is build then emphasis should shift to fundraising. Researchers explain, 'That approach allows them to gather the funding necessary to maximize their existing capabilities. Importantly, the share of spending for administration or fundraising should align with the organization's anticipated future needs.' Big established donors are now classifying percentage of their grants to adminstrative costs and recognize the need for better managed organization for long-term success. Nonprofit rating organizations are also broadening their criteria to look at an organization's overall well-being and impact, and not just on their minimizing spending on administration and fundraising. Read on...

The Conversation: Nonprofits can become more resilient by spending more on fundraising and admin - new research
Authors: Telesilla Kotsi, Alfonso J. Pedraza Martinez

Mohammad Anas Wahaj | 27 aug 2024

Changes in cultural environment, consumer's needs and wants, and advancements in technologies, all play a role in the evolving field of graphic design. Fads and trends are short-term blips in the graphic design industry. But the things that last define the future. Max Ottignon, co-founder of Ragged Edge, says, 'We spend our whole time trying to figure out how to avoid such 'trends'...trends have a beginning and an end. Something that feels 'on trend' will probably feel 'off trend' in the near future. And as brand people, we're trying to build something that lasts...following trends means that you're making stuff that looks like everything else. But with branding, the primary objectiveness is distinctiveness.' More graphic design experts share their views on the future of the industry below - AI CAN'T BE IGNORED AS IT SHORTENS THE DESIGN PROCESS: Simon Case, founding partner of Chromatic Brands, says, 'We've been using AI for a while now. We started to use it just for production, basically for resizing ads....There are now platforms where you can put in one image and just type in all the different versions, sizes, and file types you need...Next, we started using it for visualisation.' THE NEED TO BE DIFFERENT: Mr. Ottignon, says, 'We live in an age of convergence. Designing for algorithms, not people, means that everything is starting to look the same...those who can create work that looks, sounds and behaves differently are becoming rarer and ever more valuable.' Mr. Case adds, 'without the strategic and creative ability to generate new thinking, designers won't get far in the future. Design has to become more about ideas and less about 'decorating'.' THE RISE OF AUTHENTICITY: Tebo Mpanza, co-founder and client director at Unfound, says, 'At Unfound, we spend a lot of time trying to uncover the clients' unique territory and the space they occupy...We want to encourage our clients and the brands we're working with to pursue difference - to challenge the norm, to challenge what's already been, and to push and go further...we're going to continue to see a rise in authentic storytelling...It's all about experience now.' PERSONALIZATION AND EXPERIENCE: Mr. Mpanza says, 'Personalisation is becoming huge now. It's hugely driven by AI and machine learning, which is increasingly sophisticated...I think the future of branding and design lies in authentic storytelling, personalisation, brands just becoming real and tangible, and creating memorable experiences.' SMALLER TEAMS: Barrington Reeves, founder and creative director at Too Gallus, says, 'In general, everyone has become much more professional in what we do...Access to learning is so much higher...we're seeing designers who are much more capable. That's why smaller agencies can deliver the same quality of work for global brands as much bigger agencies...That traditional agency model, that big-adland approach, is quite transactional...we really become part of the team, really integrated into the company culture of the people we work with.' Mr. Case goes even further, envisioning a world of 'single-person, full-service agencies', all leveraging AI for tasks ranging from copywriting to 3D modelling. He adds, 'We want our partners to see us as just an extension of their own team.' IMPORTANCE OF SOCIAL MEDIA: Mr. Reeves says, 'If you don't understand how to articulate a brand on social media, then you're sunk. That's almost the first place any new company rebrand is going to go out in practice.' Mr. Mpanza says, 'Our creatives are in the culture. They can bring their collective expression and experience to help us deliver world-beating creativity across disciplines for our clients.' MORE DIVERSE FUTURE: Mr. Reeves believes that even though 'cultural fluency' is requisite to the success of any brand, but is often sorely lacking, and points to a lack of diversity in the creative industries as a major contributing factor. But he is noticing a change now and says, 'I do think in the last couple of years, we've seen things starting to move, and you can instantly tell the creative work that has come from that. It's more vibrant, it's more natural to whatever culture that's being talked about. So I am optimistic that we're closing the gap.' Read on...

Creative Boom: What's next for graphic design, according to industry insiders?
Author: Tom May

Mohammad Anas Wahaj | 24 aug 2024

Branding provides businesses and organizations to build value and trust in hearts and minds of consumers regarding their products and services. But with constantly changing consumer sentiments and behaviors branding exercise needs to continuously evolve and keep tab on statistics and trends to build effective strategies. Following are select statistics and trends for today and future - Top Branding Statistics: 81% of consumers need to trust a brand to consider buying ('In Brands We Trust?', Edelman, 2019); 77% of consumers prefer shopping with brands they follow on social media (The 2023 Sprout Social Index Report', Sprout Social, 2023); 65% of consumers say a brand's CEO and employees influence their decision to buy ('From Me to We: The Rise of the Purpose-led Brand', 14th Accenture Strategy Global Consumer Pulse Research, 2018; 55% of brand first impressions are visual. General Branding Statistics: Tech is the world's largest industry in terms of brand value ('GLOBAL 500 2024', BrandDirectory.com, 2024); 60% of consumers have taken an action - either positive or negative - based on a brand's actions ('Battle of the Wallets: The Changing Landscape of Consumer Activism', Weber Shandwick, 2018); Two-thirds of consumers think it's annoying when brands make fun of their competitors (The 2023 Sprout Social Index Report', Sprout Social, 2023). Branding Design Statistics: 55% of brand first impressions are visual ('What Makes a Good First Impression', US Chamber of Commerce, 2018); Color increases brand recognition by up to 80% ('Why Color Matters', Colorcom, 2005); Consumers are 81% more likely to recall a brand's color than remember its name ('What is the importance of color in brand recognition?', Reboot, 2019); 40% of Fortune 500 companies use the color blue in their logo ('60+ Logo Stats and Facts - New Fortune 500 List Research', Website Planet, 2024). Employer Branding Statistics: 86% of job seekers read company reviews before applying for a job ('The ROI of Employer Branding', Glassdoor, 2020); 80% of job seekers won't apply to a one-star-rated company ('CareerArc Employer Branding Study', CareerArc, 2017); 64% of shoppers have stopped buying from brands with poor employer reputations ('CareerArc Employer Branding Study', CareerArc, 2017); On average, companies with strong employer branding receive 50% more applicants ('The Ultimate List of Employer Brand Statistics', Linkedin); Strong employer branding can increase retention by as much as 28% ('Linkedin Employer Brand Playbook', Linedin). Branding Marketing Statistics: It is estimated that there are more than 10000 branding & positioning agencies worldwide ('The Most In-Demand Digital Industries and the Top Locations for Creatives', Sortlist, 2021); 94% of marketers believe that personalized marketing has a positive effect on brand-building ('Need-to-Know Marketing Statistics for 2019', Salesforce); 70% of brand marketers list building brand awareness as their top goal for social media (The 2023 Sprout Social Index Report', Sprout Social, 2023); 64% of consumers have tagged a branded hashtag on social media ('The State of User-Generated Content', TINT, 2020); Brands spend 46% of their mobile ad budget on branding objectives ('How Much Should You Budget For Marketing In 2023?', Webstrategies); Brand consistency can increase revenue by 10-20% ('Brand consistency - the competitive advantage and how to achieve it', marq, 2021). Read on...

Exploding Topics: 33 New Branding Statistics and Trends for 2024
Author: Josh Howarth

Mohammad Anas Wahaj | 20 aug 2024

The research study, 'How Companies Restrain Means-Ends Decoupling: A Comparative Case Study of CSR Implementation' (Authors: Andromachi Athanasopoulou of Queen Mary University of London; Emilio Marti of Erasmus University.; David Risi of Bern University of Applied Sciences; Eva Schlindwein of Bern University of Applied Sciences), published in Journal of Management Studies, utlizes the concept of means-ends decoupling to examine why companies continue to be major contributors to environmental and social problems despite committing increasingly to corporate social responsibility (CSR). Means-ends decoupling occurs when there is a gap between implementation and achievement ['From Smoke and Mirrors to Walking the Talk: Decoupling in the Contemporary World' by Patricia Bromley of University of Utah and Walter W. Powell of Stanford University; 'Means versus Ends in Opaque Institutional Fields: Trading Off Compliance and Achievement in Sustainability Standard Adoption' by Frank Wijen of Erasmus University]. The research study shows that experimentation is critical for impactful CSR, which has implications for both companies that implement CSR and companies that externally monitor these CSR activities, such as sustainable investors and ESG rating agencies. Authors analyzed CSR activities of four companies and found that two realized their intended CSR goals as a result of experimentation approach while the other two did not. Authors explain, 'In a CSR context, experimentation means that companies produced knowledge about the local effects of their CSR practices and used this knowledge to adapt their CSR practices on an ongoing basis. By establishing a close link between the production of CSR knowledge and the adaptation of CSR practices, these companies were able to achieve their intended CSR goals...By contrast, in the companies that failed to realize the intended CSR goals, consistency - not experimentation - was central to their CSR implementation. In these companies, the emphasis was on standardizing CSR initiatives based on perceived best-practices among senior managers. There was no feedback loop.' How Companies Can Foster Experimentation in Their CSR Implementation - (1) Companies should mobilize broadly for CSR. (2) Companies should instill confidence in the business case for CSR among their employees. How Sustainable Investors and ESG Rating Agencies Can Monitor Experimentation - (1) They should monitor who is involved in the production of CSR knowledge. (2) They should monitor and examine who is involved in the adaptation of CSR practices. Even though experimentation brings in more challenges but authors suggest that this approach strongly outweigh its potential drawbacks. Read on...

Harvard Business Review: Creating a Corporate Social Responsibility Program with Real Impact
Authors: Andromachi Athanasopoulou, Emilio Marti, David Risi, Eva Schlindwein