Toys R Us Australia….good charity or good business (non IT related side topic)
December 12th, 2007 Drazen Drazic Posted in WTF |
Is it just me that finds something wrong with the Toys R Us approach to charity and their support of the Childrens Hospital?
For those of you who have no idea what I am talking about, and have never been into a Toys R Us, when you purchase an item, the standard line from the cashier before you pay is; “Would you like to buy a balloon in support of the Children’s Hospital?”. The balloons sit next to the cash register. Now the first few times, I did, thinking; yeah, good cause….happy to!
I subsequently read the print on the balloon container; “Balloons 99c” and down the bottom of the container, “20c from each purchase goes to the Children’s Hospital”.
Since then, I question the ethical nature of the standard blurb that the young checkout girls are forced to recite. Who is making the bucks from this? I doubt each balloon would cost Toys R Us 1c, so on each purchase, 78c goes back into Toys R Us.
Today I noted a money thermometer sign attached to each checkout, proudly showing that Toys R Us had now “donated” over $1M to the Children’s Hospital through these balloon purchases.
Am I just being a hard, cynical bastard by thinking well that means you made about $5M on your bottom line, $4M in your pocket and probably tax deducted the $1M you gave? Sure the kids got $1M bucks but it just doesn’t sit right with me when this organisation proudly promotes their “donation”.
It wouldn’t be as bad if the blurb was “Would you like to buy a balloon for $1 of which 20c goes to the Children’s Hospital?”
Is it just me?


December 12th, 2007 at 3:38 pm
Its not just you, mate. I get annoyed pretty annoyed about this too.
The only way it is ethically achievable is when more than 50% of the sale value goes to an independent charity. And it has to be an independent charity.. Branded charities don’t cut it, sorry. Of course, “All proceeds go to charity” is better..
December 12th, 2007 at 5:07 pm
It’s not surprising but it’s never nice to find out. What a sick world we live in. We need more co-ops, and human run places, that inject and actually care about the local community, rather than those who say they do, but drain the profits.
Peace,
–Wade
http://themiddleway.net
December 12th, 2007 at 5:44 pm
Years ago my parents used to donate to one of those organisations where you could adopt a child. They had their ‘adopted’ child for quite a while when the organisation was found out to be a hoax with none of the money getting to the children which probably didn’t even exist. Least to say my mum was devastated. Makes me very wary of any charities now. There are also lots of little ones that pop up around major disasters such as the giant tsunami or hurricane katrina run by very shady people too.
ALSO never give to those people walking around with the buckets claiming to be from whatever charity, much better to give directly to the organisation itself than the backpackers they hire for that work.
December 12th, 2007 at 8:35 pm
Good hear it’s not just me. Unless Toys R Us can explain this, it is nothing more than a revenue raising exercise for them. Gees….look at the margins! I would love margins like that in my business.
Dec, totally agreed mate.
Wade, good to hear from you again mate. I hope all here click on your link! http://themiddleway.net
Fin, I can imagine your parents devastation at it but moreso thinking that kids had missed out as opposed to the money.
This is something people have to think about and do their research to find out where the money goes before handing it out. Don’t feel bad about brushing the street merchants….if you want to give, decide where and do it direct.
I used to give to the Surf Life Saving mob….every year….until I got a call from someone who sounded like a backpacker reading from a script. After having given money for a few years, (not that it seemed like he knew I had), he still read the script which tried to make me feel guilty that people were still dying in the surf and I was almost guilty for it! Gees, I gave him my thoughts on his approach and that was the last time I gave money there.
I give to the Doctors without Borders (can’t recall the French name) every month….they are good. I have a world vision child I sponsor and I trust Fin that they are legit. The Salvos get something from me every time I see them at the train station, the Red Cross when they knock and the Smith Family get the clothes but fucked if I am ever going to support the likes of a Toys R Us.
We all need to be loud against these supposed charity givers who do nothing but look for creative ways to help their bottom line.
December 12th, 2007 at 10:04 pm
I’m not the only one:
http://www.news.com.au/heraldsun/story/0,21985,22863321-5000116,00.html
December 13th, 2007 at 11:45 am
@Drazen,
ppl need to understand the “agenda” behind economics.
For instance, take the availability of the reusable bags at supermarkets - It is promoted as for the future of the environment but their agenda is that it reduces the on going cost to purchase plastics bags and the consumer pays the reusable bag (with mark up of course).
June 11th, 2008 at 12:37 am
Yeah this is an interesting one.
I
I actually struggle a bit with the wording on http://www.boxofgoodfeelings.com/
Obviously the site for me is commercial; but I’m trying to give the majority of it away [without losing money].
Toys-R-us are being a bit dishonest here I agree, but obviously it’s better then the balloons not being there, which is probably the alternative.
I think perhaps if there were a nice ’scale’ to show the delivery of monies whenever someone claims ‘charity’ donation that would help.
Like even something as lame as red/green/blue/whatever to help indicate how ‘altruistic’ the company is being. But I guess this would stop companies who were the worst from doing it. Maybe that would be for the best.
Mmm.
June 14th, 2008 at 7:51 pm
It’s still a rip-off to my knowledge since I originally posted this and nothing has changed. Bottom line is that these dudes make 80% margin on a charity directed campaign! That smells bad no matter which way you look at it!