ChaNG Coffee addresses ‘giving fatigue’, trust issues by integrating donations into daily coffee habits

[SINGAPORE] While other businesses encourage customers to donate by opting in to a scheme or rounding up when checking out a purchase, ChaNG Coffee has integrated giving into people’s daily habits – as they drink their coffee. 

The local startup, launched in May 2024, sources healthier-option coffee beans from the highlands of Vietnam’s Dalat region for both individual and corporate customers, as well as bakeries and cafes.

Ng Yun Shan, co-founder of ChaNG Coffee, said: “All our coffees carry a Nutri-Grade A rating and are free from artificial flavourings, colourings, sugar, butter or margarine during roasting.”

For every purchase made, 10 per cent of the price will be donated by ChaNG Coffee on behalf of the customer to a charity with Institution of a Public Character (IPC) status. 

Having an IPC status means the non-profit organisation can issue tax-deductible receipts for donations.

ChaNG Coffee’s approach addresses “giving fatigue” – a concept where giving is seen as a separate action that requires additional time, effort and funds, and the donor is overwhelmed by frequent requests.

“This approach is beneficial because it doesn’t require consumers to spend beyond their usual habits or stretch their budgets. They enjoy their daily coffee as usual, while we work behind the scenes to channel part of their purchase towards supporting those in need,” she added.

Ng noted that over time, these small contributions add up to “something much greater”.

“By embedding social contribution into normal business operations, like we do at ChaNG Coffee, we can make giving effortless, consistent and impactful,” she said.

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Tackling issues of trust and transparency

A 2024 survey by the National Volunteer and Philanthropy Centre found that a fear of scams was a major reason why people did not donate cash in the year before. 

Ng said: “One of the biggest barriers today is trust, particularly because scams have become such a concern. People may hesitate to donate when personal details are requested or when transparency isn’t clear.”

ChaNG Coffee’s model enables it to donate on behalf of customers; or customers can choose to donate directly by themselves and receive a 10 per cent discount. If customers choose the former, they will receive a donation slip at the end of each month. They can also receive tax deductions.

Ng noted that this model is designed to be “simple and trustworthy”, and its flexibility helps to ensure customers feel “secure and reassured”.

Customers can choose a specific charity to donate to, or they can choose a cause to support, and ChaNG Coffee will find a relevant charity.

Ng also highlighted the importance of administrative efforts in ensuring the giving process is as transparent as possible.

“The most common feedback we receive is that the model requires significant administrative effort. While that is true, we see this as a necessary part of building credibility and ensuring transparency,” she said. “Customers have also shared that they appreciate the clarity and accountability in knowing exactly where their contributions go.”

ChaNG Coffee does the administrative work even if it is for proceeds from selling just one box of coffee.

“Many organisations avoid smaller contributions due to the administrative work involved, but we believe inclusivity is key… Our mission is to ensure that no act of giving is ever too small,” she added.

To address giving fatigue, businesses could employ other approaches such as percentage-of-sales donations, buy-one-give-one initiatives or partnerships with charities where each purchase directly funds a specific cause, Ng noted.

“These approaches allow customers to give without additional burden, while strengthening the role of businesses as active contributors to society.”