In a commentary co-authored by SMU Associate Professor of Marketing Thomas Allard, the authors found that charities that appear highly capable often receive fewer donations, a pattern called the “Charity Capacity Curse.” They explained that while well-run organisations are best equipped to create lasting impact, donors give less when a charity seems self-sufficient, as it reduces their sense of being needed. The authors suggested that nonprofits emphasise unmet needs and present competence as a means to achieve greater impact rather than as a sign of independence, to maintain both trust and donor motivation.
