Straight Expectations

    Ruth Nelson, [former] director of nonprofit marketing for Intellicall, is a veteran of the non-profit environment and knows the value of a phonecard offering from both sides. Quick to agree that the cards can benefit organizations in a variety of ways, she offers these insights into the “dollars and sense” realities of phonecard programs.

  • You can expect to earn anywhere from 15 to 60 percent of the face value of a card through sales.
  • Most card issuers require a minimum order of 500 cards. This amount gives you the ability to test a program.
  • You can expect to earn between 5 and 25 percent on recharges (customers adding more time to cards once time has expired). This can vary depending on the size of order and amount of the recharge.
  • Another way to benefit with cards is to partner with a retailer in “cause marketing.” This is where a retailer chooses to market the phonecards (or any other product) and a percentage of the proceeds and recharges goes to the non-profit. In a variation of this, the retailer gives the cards free with the purchase of a product. Such arrangements normally yield 5 to15 percent of the face value of the card for the non-profit and can be very effective in driving new customers to a retail location.

    “Straight Expectations.” Intele-CardNews, vol. 2, no. 4 (May 1996):31.

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