When good intentions encounter a tariff storm: How can public welfare organizations stand firm in the face of economic adversity?
Every economic policy storm is not just about bargaining chips between countries or fluctuations in stock market figures. For people like me who have long been concerned about social issues and invested in communication research, what is more important are the inconspicuous but extremely critical indirect victims - that is, social welfare organizations that rely on the stable development of small and medium-sized enterprises and rely on small regular donations to support their service capabilities.
When U.S. President Trump once again proposed the “reciprocal tariff” policy, the global supply chain and economic structure will face a wave of turmoil. My friend and founder of the charity platform “NPOchannel” Dr. Zhang Youlin (https://www.facebook.com/steven.twm) revealed the potential crisis of Taiwan’s charity system: “If the reciprocal tariff policy takes effect, it is estimated that the organization will be affected within 6 months.”
This is not alarmism, but a calm prediction of the future situation. From the perspective of communication and public communication, I tried to think of some contingency strategies for Taiwan’s public welfare organizations, hoping to maintain a place for good.
The dual challenges faced by public welfare organizations
Taiwan’s Public Welfare Organizations have always been known for their resilience. Whether it is the financial crisis, the COVID-19 epidemic, or the challenges of aging donors and alienation from young people in recent years, social welfare groups have always gritted their teeth and persevered, continuing to take care of marginalized cases, provide supplies, and organize activities, becoming the last line of defense for vulnerable groups.
However, this crisis has two fatal variables:
- Tariff policy is not a single event, but a chain effect. Just imagine, if the United States promotes reciprocal tariffs, countervailing countries will inevitably follow suit and intensify the trade war. It is not just a simple increase in prices, but a comprehensive break in the production chain, the collapse of small and medium-sized enterprises, and a shrinking job market.
- The resources that public welfare organizations rely on are small and medium-sized enterprises and small donors. When people’s livelihood is difficult and corporate funds are tight, donations will degenerate from daily habits into extravagant behaviors. Even regular quotas will face suspension or conversion.
This is an invisible but far-reaching stress test that tests not only financial resilience, but also brand identity and communication strategies.
Charity is not just giving and receiving, but an exchange of trust and recognition. When the general environment is unfavorable and information anxiety intensifies, people will give priority to brands and issues that have the deepest emotional connection with them.
In other words: Donation is not a rational transaction, but the product of emotional connection. It is no longer “I have plenty, so I give”, but “I think you are worth it, so I stay.”
Therefore, if social welfare organizations want to break through resource bottlenecks, they must reshape their own narratives and value propositions so that donors not only support a service, but also identify with a belief.
Construct a diversified income model
Currently, the three major sources of income that most social welfare organizations rely on are: public donations (unstable), self-produced products or social enterprises (susceptible to market fluctuations), and government subsidies (time-sensitive and strictly reviewed).
In an economic contraction scenario, such a triangular support structure will tilt significantly. Therefore, the following three strategic additions can be considered on this basis:
- Innovative mutual aid platforms: such as charity NFT donations and digital mutual aid communities (Peer-to-Peer microgiving).
- Public welfare subscription service: Combining content marketing and knowledge translation to create a membership-based small-amount support mechanism.
- Cross-border cooperation business model: jointly design products with ESG companies, such as good co-branded gift boxes, disadvantaged family support programs, etc., through rolling support from the B2C side.
The key to the above solutions is to enhance users’ sense of participation, so that support is no longer a one-time donation, but a journey of shared value.
Flip narrative strategy
In the context of public welfare communication, the weak are often placed in a position that needs to be rescued. However, such a narrative method will make donors feel powerless during a period of resource constraints, and even create an alienation mentality that no matter how much they invest, it is not enough.
Therefore, I suggest that public welfare organizations adopt the following narrative transformation strategies:
- From the recipient’s story → to build a story of resilience together. For example, it is no longer just “Ya Ming comes from a single-parent family, we provide him with three meals a day”, but “Ya Ming participated in a community gardening workshop and worked with volunteers to create a shared garden.”
- From service output → social value co-creation. Repackage public welfare activities into participatory solutions, so that supporters are not just financial supporters, but actors.
- From one-time help → continuous relationship development. Convert donations into companion support, such as sending monthly service progress and feedback reports, setting up live broadcast briefings for sponsors, etc.
Narrative methods such as this can turn passive donations into active participation, and will also be helpful in establishing a long-term and stable resource chain.
As a communication researcher, I know the power of public issues. If public welfare is not to be forgotten under the tariff storm, it must be brought back into the mainstream agenda. I suggest you adopt the following approach:
- Media linkage initiative: launch a special report on “Maintaining the Resilience of Public Welfare”, combining commercial media, new media and knowledge-based KOLs
- Data-based impact assessment: Combining academic institutions and think tanks, regularly publish “Investigation Report on the Impact of Economic Policies on Social Welfare Organizations” to gain policy attention with quantitative data
- Develop a policy white paper: Cooperate with NPOchannel and other Taiwanese public welfare groups to draft a white paper, advocating for the public sector to increase emergency response subsidies and encourage corporate donations to increase tax deductions
Through such a strategy, we can incorporate public welfare into the priority thinking of policymakers, instead of waiting to make up for the damage only after the damage has been done.
Digital Transformation and AI Tool Integration
In today’s digital era, if social welfare organizations do not undergo digital transformation and integrate AI tools, it will be difficult to expand their mass base. It is recommended that relevant organizations import AI automatic generation tools to quickly produce touching fundraising stories or regular e-newsletter content. In addition, it is also recommended to deploy a CRM system to make regular donors feel valued and receive exclusive services. Finally, don’t forget to make good use of community and content marketing tools to create a long-tail support circle with value recognition as the core.
These are not luxury investments, nor are they blindly following the trend, but the basic configuration for future survival.
Finally, I want to say to all my friends who are persisting on this road: you are not alone. From Dr. Zhang Youlin’s words, I saw not only an understanding of the crisis, but also the protection of hope.
When political and economic shifts affect public welfare organizations, we cannot just wait for the next donation, but we must take the initiative to reconstruct value communication and organizational ecology. What public welfare organizations need is not only the courage to support, but also strategic guidance, technological support and public resonance. When challenges and opportunities coexist, it is the best time for us to flip the narrative, upgrade operations, and build resilience.
Charity should not just be an umbrella in the storm, but should also become a beacon that guides the direction. May we weather this storm together and keep the light of goodness.
