CHAPTER 7 PREPARING THE PROPER ETHICAL AND LEGAL FOUNDATION CASE 7.2 CoachUp and Charity: Water: How...

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CHAPTER 7 PREPARING THE PROPER ETHICAL AND LEGAL FOUNDATION CASE 7.2 CoachUp and Charity: Water: How For-Profit and Nonprofit Start-ups Build Credibility and Trust CoachUp: www.coachup.com Facebook: CoachUp Twitter: @CoachUp charity: water: Web: www.charitywater.org Bruce R. Barringer, Oklahoma State University R. Duane Ireland, Texas A&M University Introduction Credibility is a vital part of any start-up's persona. Whether a prospective customer in a for-profit context or a prospective donor in a nonprofit context, it's im- portant that the company or organization presents itself in a manner that builds credibility and trust during first encounters. Both consumers and donors have multiple options for allocating their money. As a result, it's es- sential that a start-up make a favorable first impression and give its patrons reasons to trust it. Technique Have an attractive logo, corporate e-mail address, and professional looking website. . Facebook: charity: water Twitter: @charitywater How Companies and Organizations Build Credibility and Trust There are several ways companies and organiza- tions can build credibility and trust. We present eight techniques that are essential in nearly all cases in the following list. The following are examples of how two organizations-one for-profit and one nonprofit- are building credibility and trust via these techniques. Techniques for Engendering Credibility, Legitimacy, and Trust Explanation Prospective customers and donors have a mental image of what real companies and organizations looks like. If your logo, website, or e-mail address look amateurish or suspect, the game is up. Always have a corporate.com or .org e-mail address. A Gmail or Yahoo! e-mail address makes a company or organization look amateurish. 251 Technique 1. Have an attractive logo, corporate e-mail address, and professional looking website. 2. Receive media coverage. 3. Obtain expert testimonials. Techniques for Engendering Credibility, Legitimacy, and Trust Explanation Prospective customers and donors have a mental image of what real companies and organizations looks like. If your logo, website, or e-mail address look amateurish or suspect, the game is up. Always have a corporate.com or org e-mail address. A Gmail or Yahoo! e-mail address makes a company or organization look amateurish. 4. Obtain customer testimonials. 5. Give people a reason to care. 6. Tell your story. 7. Have a presence on Twitter, Facebook, or both. 8. Tell people how you'll use and/or protect their money. Display prominently on your website the media coverage you've received. If you're new, start by asking bloggers in your industry to cover you. Media coverage is a tacit sign of legitimacy and support. Get expert testimonials and feature them on your website and in your literature. An expert doesn't have to be someone who is famous. If you're selling surgery- related software, ask a surgeon to test it and comment. If you're starting a nonprofit to provide a place for at-risk kids to hang out after school, ask the local police chief or a school principal to comment on your service. Ask customers, donors, or recipients of the good or service you provide to test that good or service and then to comment about their experiences. Include their pictures if possible. Positive quotes from real people are often the most persuasive. Make sure to convey your start-up's relevance, but don't use buzz words like you're "revolutionary," or "are the industry's best." These terms are too slick. Instead, be genuine. Explain in everyday language why your customers or donors should care. Why do you care? There is nothing that builds credibility and trust faster than a founder telling the sincere story of why he or she is launching a company or starting a nonprofit. Include your picture and put a real e-mail address next to it. Like it or not, people will look for you on Twitter and Facebook. If you're not there, it's a red flag. Establish a presence on one or both sites and provide frequent updates. If you're a for-profit business, offer a money-back guarantee. If you're a nonprofit, explain in specific terms how your donor's money will be spent. (continued) It has a proven and a corporate e-mail address. 2. It has attracted considerable press and has been featured on ABC, CNN, and CBS SportsRadio. Articles about CoachUp have appeared in The Huffington Post, Forbes, The Wall Street Journal, and USA Today. 3. CoachUp has established partnerships with the National High School Basketball Association, the Positive Coaching Alliance, and the Sports Legacy Institute. Its advisory board includes Philadelphia 76ers center Nerleans Noel and Boston Bruins presi- dent Cam Neely. The company has raised money from private investors Paul English (co-founder of Kayak.com) and Albert Dobron (managing director of Providence Equity Partners) and venture capital firms Point Judith Capital and General Catalyst Partners. 4. CoachUp maintains an archive of customer testimo- nials on its website. The testimonials are provided by coaches, athletes, and the parents of athletes. 5. The company routinely posts videos on the front page of its website that depict the benefits of private coaching. The videos connect potential clients with CoachUp's core belief-that coaching is the secret to reaching the next level in both sports and life. 6. CoachUp founder Jordan Fliegel is very transpar- ent about his story-of being a mediocre high school basketball player who, through the efforts of a private coach, made his high school team, played in college, and played professional basket- ball overseas. The company's core values are also very visible and transparent. CoachUp believes that private coaching helps boost the performance and life skills of athletes and provides extraordi- narily rewarding experiences for coaches. 7. The company is active on both Twitter and Facebook. As of June 2014, it had 4,780 Twitter followers and a very active Facebook page. 3 and acquaintances to attend his 31st birthday party. Instead of giving him a gift, he asked each invitee to pledge $31 to help him start a nonprofit to focus on clean water. A total of 700 people attended, and the money was used to fund the drilling of six wells in a refugee camp in Uganda. Charity: Water has grown and is now active across the world. It has done many things to bring the urgency of its cause to the attention of the public, including setting up an outdoor exhibition in New York City in which it displayed tanks of water that were similar in appearance and quality to the poor-quality water consumed daily in many parts of the world. In 2012 alone, Charity: Water raised $33 million and funded more than 2,000 water projects. Its projects vary from country to country depending on water sources, the na- ture of the terrain, and the local population. Its solutions range from drilled wells to rainwater catchments (gutters on rooftops that catch rain water and place it in sanitary holding tanks) to spring protections (a system captures and safely stores pure water from a natural spring). That's what Charity: Water is about. Like any char- ity, it relies on the trust and support of its donors. Here's how Charity: Water covers the eight techniques shown previously for building credibility and support. 1. It has a professional logo design, beautiful website. and a .org e-mail address. 2. It's attracted considerable press and has been featured on MSNBC, ABC, CNN, and Fox News. Articles have been written about it in The New York Times, USA Today, The New Yorker, and other outlets, 3. A number of high-profile people have raised money for Charity: Water, including Tony Hawk, Justin Bieber, and Dr. Oz. In each area of the world it en- ters, Charity: Water collaborates with local partners to complete its work. CHAPTER 7 I PREPARING THE PROPER ETHICAL AND LEGAL FOUNDATION 4. In 2012, 90,057 people donated money to Charity: Water for an average donation of $187.90. A section of Charity: Water's website is titled "Stories from the Field." The stories provide contributors a personal view of what it's like for someone to get clean water i for the first time, and the difference their donations are making to real people across the world. 5. The statistics that Charity: Water disseminates about the hazards of unsafe drinking water are both compelling and heart-wrenching. Unsafe drinking water represents a health crisis in many parts of the world. A total of 90 percent of the 30,000 deaths that occur each week from unsafe water and unhygienic living conditions are children under five years old. 6. Charity: Water's website provides extensive infor- mation about why the organization was started and who's behind it. 7. Charity: Water is active on both Twitter and Facebook. As of June 2014, it had 1.43 million Twitter followers and a very active Facebook page. 8. Since day one, Charity: Water has believed in prov- ing its work to its supporters. Much of the money raised by Charity: Water is raised via campaigners, 253 which are schools, churches, and others who are interested in helping provide clean water for people in need. Once a campaigner's project is funded and finished, they are sent a completion report with pho- tos and GPS coordinates of their project. Discussion Questions 7-46. What actions have CoachUp and Charity: Water taken to establish trust and credibility with various groups? 7-47. How can building trust and credibility help start-up firms avoid legal disputes and problems? 7-48. As related to ethics and ethical behavior, what are the characteristics you anticipate are associated with the cultures at CoachUp and Charity: Water? 7-49. Describe actions the founders of CoachUp (Jordan Fliegel) and Charity: Water (Scott Harrison) took to lead by example with respect to establishing an ethi- cal culture. Sources: CoachUp website, www.coachup.com (accessed June 19, 2014) Charity: Water website, www.charitywater.org (accessed June 19, 2014) CHAPTER 7 PREPARING THE PROPER ETHICAL AND LEGAL FOUNDATION CASE 7.2 CoachUp and Charity: Water: How For-Profit and Nonprofit Start-ups Build Credibility and Trust CoachUp: www.coachup.com Facebook: CoachUp Twitter: @CoachUp charity: water: Web: www.charitywater.org Bruce R. Barringer, Oklahoma State University R. Duane Ireland, Texas A&M University Introduction Credibility is a vital part of any start-up's persona. Whether a prospective customer in a for-profit context or a prospective donor in a nonprofit context, it's im- portant that the company or organization presents itself in a manner that builds credibility and trust during first encounters. Both consumers and donors have multiple options for allocating their money. As a result, it's es- sential that a start-up make a favorable first impression and give its patrons reasons to trust it. Technique Have an attractive logo, corporate e-mail address, and professional looking website. . Facebook: charity: water Twitter: @charitywater How Companies and Organizations Build Credibility and Trust There are several ways companies and organiza- tions can build credibility and trust. We present eight techniques that are essential in nearly all cases in the following list. The following are examples of how two organizations-one for-profit and one nonprofit- are building credibility and trust via these techniques. Techniques for Engendering Credibility, Legitimacy, and Trust Explanation Prospective customers and donors have a mental image of what real companies and organizations looks like. If your logo, website, or e-mail address look amateurish or suspect, the game is up. Always have a corporate.com or .org e-mail address. A Gmail or Yahoo! e-mail address makes a company or organization look amateurish. 251 Technique 1. Have an attractive logo, corporate e-mail address, and professional looking website. 2. Receive media coverage. 3. Obtain expert testimonials. Techniques for Engendering Credibility, Legitimacy, and Trust Explanation Prospective customers and donors have a mental image of what real companies and organizations looks like. If your logo, website, or e-mail address look amateurish or suspect, the game is up. Always have a corporate.com or org e-mail address. A Gmail or Yahoo! e-mail address makes a company or organization look amateurish. 4. Obtain customer testimonials. 5. Give people a reason to care. 6. Tell your story. 7. Have a presence on Twitter, Facebook, or both. 8. Tell people how you'll use and/or protect their money. Display prominently on your website the media coverage you've received. If you're new, start by asking bloggers in your industry to cover you. Media coverage is a tacit sign of legitimacy and support. Get expert testimonials and feature them on your website and in your literature. An expert doesn't have to be someone who is famous. If you're selling surgery- related software, ask a surgeon to test it and comment. If you're starting a nonprofit to provide a place for at-risk kids to hang out after school, ask the local police chief or a school principal to comment on your service. Ask customers, donors, or recipients of the good or service you provide to test that good or service and then to comment about their experiences. Include their pictures if possible. Positive quotes from real people are often the most persuasive. Make sure to convey your start-up's relevance, but don't use buzz words like you're "revolutionary," or "are the industry's best." These terms are too slick. Instead, be genuine. Explain in everyday language why your customers or donors should care. Why do you care? There is nothing that builds credibility and trust faster than a founder telling the sincere story of why he or she is launching a company or starting a nonprofit. Include your picture and put a real e-mail address next to it. Like it or not, people will look for you on Twitter and Facebook. If you're not there, it's a red flag. Establish a presence on one or both sites and provide frequent updates. If you're a for-profit business, offer a money-back guarantee. If you're a nonprofit, explain in specific terms how your donor's money will be spent. (continued) It has a proven and a corporate e-mail address. 2. It has attracted considerable press and has been featured on ABC, CNN, and CBS SportsRadio. Articles about CoachUp have appeared in The Huffington Post, Forbes, The Wall Street Journal, and USA Today. 3. CoachUp has established partnerships with the National High School Basketball Association, the Positive Coaching Alliance, and the Sports Legacy Institute. Its advisory board includes Philadelphia 76ers center Nerleans Noel and Boston Bruins presi- dent Cam Neely. The company has raised money from private investors Paul English (co-founder of Kayak.com) and Albert Dobron (managing director of Providence Equity Partners) and venture capital firms Point Judith Capital and General Catalyst Partners. 4. CoachUp maintains an archive of customer testimo- nials on its website. The testimonials are provided by coaches, athletes, and the parents of athletes. 5. The company routinely posts videos on the front page of its website that depict the benefits of private coaching. The videos connect potential clients with CoachUp's core belief-that coaching is the secret to reaching the next level in both sports and life. 6. CoachUp founder Jordan Fliegel is very transpar- ent about his story-of being a mediocre high school basketball player who, through the efforts of a private coach, made his high school team, played in college, and played professional basket- ball overseas. The company's core values are also very visible and transparent. CoachUp believes that private coaching helps boost the performance and life skills of athletes and provides extraordi- narily rewarding experiences for coaches. 7. The company is active on both Twitter and Facebook. As of June 2014, it had 4,780 Twitter followers and a very active Facebook page. 3 and acquaintances to attend his 31st birthday party. Instead of giving him a gift, he asked each invitee to pledge $31 to help him start a nonprofit to focus on clean water. A total of 700 people attended, and the money was used to fund the drilling of six wells in a refugee camp in Uganda. Charity: Water has grown and is now active across the world. It has done many things to bring the urgency of its cause to the attention of the public, including setting up an outdoor exhibition in New York City in which it displayed tanks of water that were similar in appearance and quality to the poor-quality water consumed daily in many parts of the world. In 2012 alone, Charity: Water raised $33 million and funded more than 2,000 water projects. Its projects vary from country to country depending on water sources, the na- ture of the terrain, and the local population. Its solutions range from drilled wells to rainwater catchments (gutters on rooftops that catch rain water and place it in sanitary holding tanks) to spring protections (a system captures and safely stores pure water from a natural spring). That's what Charity: Water is about. Like any char- ity, it relies on the trust and support of its donors. Here's how Charity: Water covers the eight techniques shown previously for building credibility and support. 1. It has a professional logo design, beautiful website. and a .org e-mail address. 2. It's attracted considerable press and has been featured on MSNBC, ABC, CNN, and Fox News. Articles have been written about it in The New York Times, USA Today, The New Yorker, and other outlets, 3. A number of high-profile people have raised money for Charity: Water, including Tony Hawk, Justin Bieber, and Dr. Oz. In each area of the world it en- ters, Charity: Water collaborates with local partners to complete its work. CHAPTER 7 I PREPARING THE PROPER ETHICAL AND LEGAL FOUNDATION 4. In 2012, 90,057 people donated money to Charity: Water for an average donation of $187.90. A section of Charity: Water's website is titled "Stories from the Field." The stories provide contributors a personal view of what it's like for someone to get clean water i for the first time, and the difference their donations are making to real people across the world. 5. The statistics that Charity: Water disseminates about the hazards of unsafe drinking water are both compelling and heart-wrenching. Unsafe drinking water represents a health crisis in many parts of the world. A total of 90 percent of the 30,000 deaths that occur each week from unsafe water and unhygienic living conditions are children under five years old. 6. Charity: Water's website provides extensive infor- mation about why the organization was started and who's behind it. 7. Charity: Water is active on both Twitter and Facebook. As of June 2014, it had 1.43 million Twitter followers and a very active Facebook page. 8. Since day one, Charity: Water has believed in prov- ing its work to its supporters. Much of the money raised by Charity: Water is raised via campaigners, 253 which are schools, churches, and others who are interested in helping provide clean water for people in need. Once a campaigner's project is funded and finished, they are sent a completion report with pho- tos and GPS coordinates of their project. Discussion Questions 7-46. What actions have CoachUp and Charity: Water taken to establish trust and credibility with various groups? 7-47. How can building trust and credibility help start-up firms avoid legal disputes and problems? 7-48. As related to ethics and ethical behavior, what are the characteristics you anticipate are associated with the cultures at CoachUp and Charity: Water? 7-49. Describe actions the founders of CoachUp (Jordan Fliegel) and Charity: Water (Scott Harrison) took to lead by example with respect to establishing an ethi- cal culture. Sources: CoachUp website, www.coachup.com (accessed June 19, 2014) Charity: Water website, www.charitywater.org (accessed June 19, 2014) CHAPTER 7 PREPARING THE PROPER ETHICAL AND LEGAL FOUNDATION CASE 7.2 CoachUp and Charity: Water: How For-Profit and Nonprofit Start-ups Build Credibility and Trust CoachUp: www.coachup.com Facebook: CoachUp Twitter: @CoachUp charity: water: Web: www.charitywater.org Bruce R. Barringer, Oklahoma State University R. Duane Ireland, Texas A&M University Introduction Credibility is a vital part of any start-up's persona. Whether a prospective customer in a for-profit context or a prospective donor in a nonprofit context, it's im- portant that the company or organization presents itself in a manner that builds credibility and trust during first encounters. Both consumers and donors have multiple options for allocating their money. As a result, it's es- sential that a start-up make a favorable first impression and give its patrons reasons to trust it. Technique Have an attractive logo, corporate e-mail address, and professional looking website. . Facebook: charity: water Twitter: @charitywater How Companies and Organizations Build Credibility and Trust There are several ways companies and organiza- tions can build credibility and trust. We present eight techniques that are essential in nearly all cases in the following list. The following are examples of how two organizations-one for-profit and one nonprofit- are building credibility and trust via these techniques. Techniques for Engendering Credibility, Legitimacy, and Trust Explanation Prospective customers and donors have a mental image of what real companies and organizations looks like. If your logo, website, or e-mail address look amateurish or suspect, the game is up. Always have a corporate.com or .org e-mail address. A Gmail or Yahoo! e-mail address makes a company or organization look amateurish. 251 Technique 1. Have an attractive logo, corporate e-mail address, and professional looking website. 2. Receive media coverage. 3. Obtain expert testimonials. Techniques for Engendering Credibility, Legitimacy, and Trust Explanation Prospective customers and donors have a mental image of what real companies and organizations looks like. If your logo, website, or e-mail address look amateurish or suspect, the game is up. Always have a corporate.com or org e-mail address. A Gmail or Yahoo! e-mail address makes a company or organization look amateurish. 4. Obtain customer testimonials. 5. Give people a reason to care. 6. Tell your story. 7. Have a presence on Twitter, Facebook, or both. 8. Tell people how you'll use and/or protect their money. Display prominently on your website the media coverage you've received. If you're new, start by asking bloggers in your industry to cover you. Media coverage is a tacit sign of legitimacy and support. Get expert testimonials and feature them on your website and in your literature. An expert doesn't have to be someone who is famous. If you're selling surgery- related software, ask a surgeon to test it and comment. If you're starting a nonprofit to provide a place for at-risk kids to hang out after school, ask the local police chief or a school principal to comment on your service. Ask customers, donors, or recipients of the good or service you provide to test that good or service and then to comment about their experiences. Include their pictures if possible. Positive quotes from real people are often the most persuasive. Make sure to convey your start-up's relevance, but don't use buzz words like you're "revolutionary," or "are the industry's best." These terms are too slick. Instead, be genuine. Explain in everyday language why your customers or donors should care. Why do you care? There is nothing that builds credibility and trust faster than a founder telling the sincere story of why he or she is launching a company or starting a nonprofit. Include your picture and put a real e-mail address next to it. Like it or not, people will look for you on Twitter and Facebook. If you're not there, it's a red flag. Establish a presence on one or both sites and provide frequent updates. If you're a for-profit business, offer a money-back guarantee. If you're a nonprofit, explain in specific terms how your donor's money will be spent. (continued) It has a proven and a corporate e-mail address. 2. It has attracted considerable press and has been featured on ABC, CNN, and CBS SportsRadio. Articles about CoachUp have appeared in The Huffington Post, Forbes, The Wall Street Journal, and USA Today. 3. CoachUp has established partnerships with the National High School Basketball Association, the Positive Coaching Alliance, and the Sports Legacy Institute. Its advisory board includes Philadelphia 76ers center Nerleans Noel and Boston Bruins presi- dent Cam Neely. The company has raised money from private investors Paul English (co-founder of Kayak.com) and Albert Dobron (managing director of Providence Equity Partners) and venture capital firms Point Judith Capital and General Catalyst Partners. 4. CoachUp maintains an archive of customer testimo- nials on its website. The testimonials are provided by coaches, athletes, and the parents of athletes. 5. The company routinely posts videos on the front page of its website that depict the benefits of private coaching. The videos connect potential clients with CoachUp's core belief-that coaching is the secret to reaching the next level in both sports and life. 6. CoachUp founder Jordan Fliegel is very transpar- ent about his story-of being a mediocre high school basketball player who, through the efforts of a private coach, made his high school team, played in college, and played professional basket- ball overseas. The company's core values are also very visible and transparent. CoachUp believes that private coaching helps boost the performance and life skills of athletes and provides extraordi- narily rewarding experiences for coaches. 7. The company is active on both Twitter and Facebook. As of June 2014, it had 4,780 Twitter followers and a very active Facebook page. 3 and acquaintances to attend his 31st birthday party. Instead of giving him a gift, he asked each invitee to pledge $31 to help him start a nonprofit to focus on clean water. A total of 700 people attended, and the money was used to fund the drilling of six wells in a refugee camp in Uganda. Charity: Water has grown and is now active across the world. It has done many things to bring the urgency of its cause to the attention of the public, including setting up an outdoor exhibition in New York City in which it displayed tanks of water that were similar in appearance and quality to the poor-quality water consumed daily in many parts of the world. In 2012 alone, Charity: Water raised $33 million and funded more than 2,000 water projects. Its projects vary from country to country depending on water sources, the na- ture of the terrain, and the local population. Its solutions range from drilled wells to rainwater catchments (gutters on rooftops that catch rain water and place it in sanitary holding tanks) to spring protections (a system captures and safely stores pure water from a natural spring). That's what Charity: Water is about. Like any char- ity, it relies on the trust and support of its donors. Here's how Charity: Water covers the eight techniques shown previously for building credibility and support. 1. It has a professional logo design, beautiful website. and a .org e-mail address. 2. It's attracted considerable press and has been featured on MSNBC, ABC, CNN, and Fox News. Articles have been written about it in The New York Times, USA Today, The New Yorker, and other outlets, 3. A number of high-profile people have raised money for Charity: Water, including Tony Hawk, Justin Bieber, and Dr. Oz. In each area of the world it en- ters, Charity: Water collaborates with local partners to complete its work. CHAPTER 7 I PREPARING THE PROPER ETHICAL AND LEGAL FOUNDATION 4. In 2012, 90,057 people donated money to Charity: Water for an average donation of $187.90. A section of Charity: Water's website is titled "Stories from the Field." The stories provide contributors a personal view of what it's like for someone to get clean water i for the first time, and the difference their donations are making to real people across the world. 5. The statistics that Charity: Water disseminates about the hazards of unsafe drinking water are both compelling and heart-wrenching. Unsafe drinking water represents a health crisis in many parts of the world. A total of 90 percent of the 30,000 deaths that occur each week from unsafe water and unhygienic living conditions are children under five years old. 6. Charity: Water's website provides extensive infor- mation about why the organization was started and who's behind it. 7. Charity: Water is active on both Twitter and Facebook. As of June 2014, it had 1.43 million Twitter followers and a very active Facebook page. 8. Since day one, Charity: Water has believed in prov- ing its work to its supporters. Much of the money raised by Charity: Water is raised via campaigners, 253 which are schools, churches, and others who are interested in helping provide clean water for people in need. Once a campaigner's project is funded and finished, they are sent a completion report with pho- tos and GPS coordinates of their project. Discussion Questions 7-46. What actions have CoachUp and Charity: Water taken to establish trust and credibility with various groups? 7-47. How can building trust and credibility help start-up firms avoid legal disputes and problems? 7-48. As related to ethics and ethical behavior, what are the characteristics you anticipate are associated with the cultures at CoachUp and Charity: Water? 7-49. Describe actions the founders of CoachUp (Jordan Fliegel) and Charity: Water (Scott Harrison) took to lead by example with respect to establishing an ethi- cal culture. Sources: CoachUp website, www.coachup.com (accessed June 19, 2014) Charity: Water website, www.charitywater.org (accessed June 19, 2014) CHAPTER 7 PREPARING THE PROPER ETHICAL AND LEGAL FOUNDATION CASE 7.2 CoachUp and Charity: Water: How For-Profit and Nonprofit Start-ups Build Credibility and Trust CoachUp: www.coachup.com Facebook: CoachUp Twitter: @CoachUp charity: water: Web: www.charitywater.org Bruce R. Barringer, Oklahoma State University R. Duane Ireland, Texas A&M University Introduction Credibility is a vital part of any start-up's persona. Whether a prospective customer in a for-profit context or a prospective donor in a nonprofit context, it's im- portant that the company or organization presents itself in a manner that builds credibility and trust during first encounters. Both consumers and donors have multiple options for allocating their money. As a result, it's es- sential that a start-up make a favorable first impression and give its patrons reasons to trust it. Technique Have an attractive logo, corporate e-mail address, and professional looking website. . Facebook: charity: water Twitter: @charitywater How Companies and Organizations Build Credibility and Trust There are several ways companies and organiza- tions can build credibility and trust. We present eight techniques that are essential in nearly all cases in the following list. The following are examples of how two organizations-one for-profit and one nonprofit- are building credibility and trust via these techniques. Techniques for Engendering Credibility, Legitimacy, and Trust Explanation Prospective customers and donors have a mental image of what real companies and organizations looks like. If your logo, website, or e-mail address look amateurish or suspect, the game is up. Always have a corporate.com or .org e-mail address. A Gmail or Yahoo! e-mail address makes a company or organization look amateurish. 251 Technique 1. Have an attractive logo, corporate e-mail address, and professional looking website. 2. Receive media coverage. 3. Obtain expert testimonials. Techniques for Engendering Credibility, Legitimacy, and Trust Explanation Prospective customers and donors have a mental image of what real companies and organizations looks like. If your logo, website, or e-mail address look amateurish or suspect, the game is up. Always have a corporate.com or org e-mail address. A Gmail or Yahoo! e-mail address makes a company or organization look amateurish. 4. Obtain customer testimonials. 5. Give people a reason to care. 6. Tell your story. 7. Have a presence on Twitter, Facebook, or both. 8. Tell people how you'll use and/or protect their money. Display prominently on your website the media coverage you've received. If you're new, start by asking bloggers in your industry to cover you. Media coverage is a tacit sign of legitimacy and support. Get expert testimonials and feature them on your website and in your literature. An expert doesn't have to be someone who is famous. If you're selling surgery- related software, ask a surgeon to test it and comment. If you're starting a nonprofit to provide a place for at-risk kids to hang out after school, ask the local police chief or a school principal to comment on your service. Ask customers, donors, or recipients of the good or service you provide to test that good or service and then to comment about their experiences. Include their pictures if possible. Positive quotes from real people are often the most persuasive. Make sure to convey your start-up's relevance, but don't use buzz words like you're "revolutionary," or "are the industry's best." These terms are too slick. Instead, be genuine. Explain in everyday language why your customers or donors should care. Why do you care? There is nothing that builds credibility and trust faster than a founder telling the sincere story of why he or she is launching a company or starting a nonprofit. Include your picture and put a real e-mail address next to it. Like it or not, people will look for you on Twitter and Facebook. If you're not there, it's a red flag. Establish a presence on one or both sites and provide frequent updates. If you're a for-profit business, offer a money-back guarantee. If you're a nonprofit, explain in specific terms how your donor's money will be spent. (continued) It has a proven and a corporate e-mail address. 2. It has attracted considerable press and has been featured on ABC, CNN, and CBS SportsRadio. Articles about CoachUp have appeared in The Huffington Post, Forbes, The Wall Street Journal, and USA Today. 3. CoachUp has established partnerships with the National High School Basketball Association, the Positive Coaching Alliance, and the Sports Legacy Institute. Its advisory board includes Philadelphia 76ers center Nerleans Noel and Boston Bruins presi- dent Cam Neely. The company has raised money from private investors Paul English (co-founder of Kayak.com) and Albert Dobron (managing director of Providence Equity Partners) and venture capital firms Point Judith Capital and General Catalyst Partners. 4. CoachUp maintains an archive of customer testimo- nials on its website. The testimonials are provided by coaches, athletes, and the parents of athletes. 5. The company routinely posts videos on the front page of its website that depict the benefits of private coaching. The videos connect potential clients with CoachUp's core belief-that coaching is the secret to reaching the next level in both sports and life. 6. CoachUp founder Jordan Fliegel is very transpar- ent about his story-of being a mediocre high school basketball player who, through the efforts of a private coach, made his high school team, played in college, and played professional basket- ball overseas. The company's core values are also very visible and transparent. CoachUp believes that private coaching helps boost the performance and life skills of athletes and provides extraordi- narily rewarding experiences for coaches. 7. The company is active on both Twitter and Facebook. As of June 2014, it had 4,780 Twitter followers and a very active Facebook page. 3 and acquaintances to attend his 31st birthday party. Instead of giving him a gift, he asked each invitee to pledge $31 to help him start a nonprofit to focus on clean water. A total of 700 people attended, and the money was used to fund the drilling of six wells in a refugee camp in Uganda. Charity: Water has grown and is now active across the world. It has done many things to bring the urgency of its cause to the attention of the public, including setting up an outdoor exhibition in New York City in which it displayed tanks of water that were similar in appearance and quality to the poor-quality water consumed daily in many parts of the world. In 2012 alone, Charity: Water raised $33 million and funded more than 2,000 water projects. Its projects vary from country to country depending on water sources, the na- ture of the terrain, and the local population. Its solutions range from drilled wells to rainwater catchments (gutters on rooftops that catch rain water and place it in sanitary holding tanks) to spring protections (a system captures and safely stores pure water from a natural spring). That's what Charity: Water is about. Like any char- ity, it relies on the trust and support of its donors. Here's how Charity: Water covers the eight techniques shown previously for building credibility and support. 1. It has a professional logo design, beautiful website. and a .org e-mail address. 2. It's attracted considerable press and has been featured on MSNBC, ABC, CNN, and Fox News. Articles have been written about it in The New York Times, USA Today, The New Yorker, and other outlets, 3. A number of high-profile people have raised money for Charity: Water, including Tony Hawk, Justin Bieber, and Dr. Oz. In each area of the world it en- ters, Charity: Water collaborates with local partners to complete its work. CHAPTER 7 I PREPARING THE PROPER ETHICAL AND LEGAL FOUNDATION 4. In 2012, 90,057 people donated money to Charity: Water for an average donation of $187.90. A section of Charity: Water's website is titled "Stories from the Field." The stories provide contributors a personal view of what it's like for someone to get clean water i for the first time, and the difference their donations are making to real people across the world. 5. The statistics that Charity: Water disseminates about the hazards of unsafe drinking water are both compelling and heart-wrenching. Unsafe drinking water represents a health crisis in many parts of the world. A total of 90 percent of the 30,000 deaths that occur each week from unsafe water and unhygienic living conditions are children under five years old. 6. Charity: Water's website provides extensive infor- mation about why the organization was started and who's behind it. 7. Charity: Water is active on both Twitter and Facebook. As of June 2014, it had 1.43 million Twitter followers and a very active Facebook page. 8. Since day one, Charity: Water has believed in prov- ing its work to its supporters. Much of the money raised by Charity: Water is raised via campaigners, 253 which are schools, churches, and others who are interested in helping provide clean water for people in need. Once a campaigner's project is funded and finished, they are sent a completion report with pho- tos and GPS coordinates of their project. Discussion Questions 7-46. What actions have CoachUp and Charity: Water taken to establish trust and credibility with various groups? 7-47. How can building trust and credibility help start-up firms avoid legal disputes and problems? 7-48. As related to ethics and ethical behavior, what are the characteristics you anticipate are associated with the cultures at CoachUp and Charity: Water? 7-49. Describe actions the founders of CoachUp (Jordan Fliegel) and Charity: Water (Scott Harrison) took to lead by example with respect to establishing an ethi- cal culture. Sources: CoachUp website, www.coachup.com (accessed June 19, 2014) Charity: Water website, www.charitywater.org (accessed June 19, 2014)

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746 Coach Up has built trust and credibility with various groups by taking actions such as having an attractive logo corporate email address and profe... View the full answer