Rare’s Philosophy & Why it Works Dale Galvin, COO

1. Rare’s Philosophy & Why it Works Dale Galvin, COO

2. A Reef Ranger Dilemma

3. Tragedy of the Commons The tragedy of the commons is a dilemma arising from the situation in which multiple individuals, acting independently, and solely and rationally consulting their own self-interest, will ultimately deplete a shared limited resource even when it is clear that it is not in anyone's long-term interest for this to happen.

4. Agenda  • Why Behavior Change is Important • Why Communities • Rare’s Method • Focus • Execution • Marketing • Measurement • Leadership & Management

5. Individual consumers Corporate Leaders Int’l Trade Regulators National Gov’t Local Communities 55% of the world’s flora and fauna are found in just 5% of its land area… 20-25% of carbon emissions come from tropical deforestation, more than transportation or industry More than half of all agricultural producers in developing nations are small scale farmers (outside coordinated supply chains) Many audiences to target when it comes to conservation 1 billion acres of forest are community managed 40% of world’s fish catch is from small, non commercial vessels

6. Agenda  • Why Behavior Change is Important • Why Communities • Rare’s Method • Focus • Execution • Marketing • Measurement • Leadership & Management 

7. A BINGO example Ecosystem-Based Management Plan Kubulau District, Vanua Levu, Fiji • 0 timelines • 0 budgets • 0 measures of success

8. Rare’s alternative value proposition “Teaching one idea to hundreds of people has turned out preferable [to teaching many people a larger number of ideas], for a wide variety of considerations, ranging from [sustainability] of innovation to leadership development leadership to community solidarity and social justice.” – Roland Bunch, Two Ears of Corn, CAMPAIGN FOR A RARE PLANET/Fiji Islands

9. Fundraising • Is diversification a good idea? • Bridgespan identified 144 nonprofits that have gone from founding to at least $50M in revenue since 1970 • 90% had a single, dominant source of funding! • 2/3 of those specialized even within that segment!

10. Switch = “What looks like resistance is often a lack of clarity.”

11. Agenda • Why Behavior Change is Important • Why Communities • Rare’s Method • Focus • Execution • Marketing • Measurement • Leadership & Management

12. The Great Reef Ranger Jewelry Heist

13. Why Projects are Late

14. The Checklist Manifesto

15. Agenda  • Why Behavior Change is Important • Why Communities • Rare’s Method • Focus • Execution • Marketing • Measurement • Leadership & Management 

16. Apple Macintosh • This 1984 Super Bowl commercial introduced the Macintosh personal computer for the first time and made an immediate impact • The commercial positioned the Macintosh as the anti-establishment, anti-IBM choice for computers • Apple sold 50,000 Macintoshes in only 74 days after the commercial aired. • For comparison: • It took 2. 5 years to sell 50,000 Apple IIs • It took IBM (Apple’s main competitor) 7.5 months to sell 50,000 PCs the year before Source: Ted Friedman, Electric Dreams: Computers in American Culture, 2005.

17. “Don’t Mess With Texas” • Texas was spending $25 million per year on litter clean up with costs rising 15% per year • Within months of the campaign launch, 73% of Texans could recall the message and littering had declined 29% • After 5 years roadside litter had decreased by 72% and the number of cans besides the road dropped by 82% Source: Dan & Chip Heath, Made to Stick, 2008

18. “Click It or Ticket” • Program set out to increase seat-belt usage by highly publicizing the enforcement of a new mandatory seat-belt law • As a direct results of the campaign, seat-belt usage jumped from 65% to over 80% in the first 6 months and is now at 84% (highest in the U.S.) • Surveys showed that 57% said the campaign made them buckle up more often Source: Social Marketing Institute, “Click It or Ticket,” 2007)

19. The Behavior

20. What worked

21. What worked

22. Influence Change

23. Remove Barriers

24. McDonalds Experiment • 63 children between the ages of 3 and 5 sampled McDonald’s chicken nuggets, hamburgers, frenchfries. Milk and baby carrots were purchased from the grocery store • Each sample was divided into two -- half was wrapped in McDonald’s paper and half was wrapped in similar packaging Source: “Tots lovin’ McDonald’s brand” MSN Money, 2007.

25. McDonalds Experiment Percentage of Children that Preferred Each Type of Food Source: “Tots lovin’ McDonald’s brand” MSN Money, 2007.

26. McDonalds Experiment: REEF RANGERS • 64% (7) preferred McDs! • “more salty” • “less oily” • “more potato taste” • “better taste” • 9% preferred Chick-Fil-A (so 73% had a preference) • 27% said the same • PPMs: 1 each (McDs, Chick-Fil-A, Same Source: “Tots lovin’ McDonald’s brand” MSN Money, 2007.

27. Make Marketing Work COSTS BENEFITS • Changing habits • (Short-term?) income loss • Social stigma • Learning • Sustainable natural resources • Sustainable income • Pride!

28. Cross the Chasm!

29. Agenda  • Why Behavior Change is Important • Why Communities • Rare’s Method • Focus • Execution • Marketing • Measurement • Leadership & Management 

30. Measuring Impact “Half of my marketing money is wasted. The problem is I don’t know which half.” “You can't manage what you don't measure” “In God we trust, all others bring data.” “Not everything that counts can be measured. Not everything that can be measured counts.”

31. Some of What Rare Measures

32. Some of What Rare Measures

33. Focusing on Impact • Processes deliver OUTPUTS.  In other words, what pops out of the end of a process is an output. • An OUTCOME is a level of performance, or achievement.  Measure Output or Outcome? # mosquito nets distributed Output # deaths by malaria Outcome # of posters distributed Output Outcome Changes in attitudes in community # trained fisherman in sustainable Output fishing methods Change in fish stocks Outcome

34. Agenda  • Why Behavior Change is Important • Why Communities • Rare’s Method • Focus • Execution • Marketing • Measurement • Leadership & Management 

35. Foreign Aid: Impact versus Investment “It would have been better to do less, but endow what was done with more staying power” –2010 USAID Report on $60 million aid project in Afghanistan to that was supposed to develop a crop substitution and economic development plan, build roads, construct irrigation canals, create hydroelectric plants, and introduce better agriculture practices “The ugly reality is that most poor people in most poor countries never receive or even make contact with aid in any tangible shape or form...it is simply irrelevant to the ways in which they conduct their daily lives.”—Lords of Poverty (Source: Graham Hancock, Lords of Poverty, 1989 & Ben Arnoldy, “Afghan War: USAID Spend Too Much, Too Fast to Win Hearts and Minds,” 2010)

36. The Case of Nicaragua • Illiteracy reduced from 53% to 13% • Nicaraguans with regular access to medical care increased from 25% to 75% • Overall agricultural production went up 8% • The infant mortality rate dropped from 120 per thousand to 80 per thousand • The number of vaccinations given to children more than doubled • Total funds allocated by the government to education and health care tripled Nicaragua Source: Graham Hancock, Lords of Poverty, 1989)

37. Leaders vs Managers? “Managers are people who do things right and leaders are people who do the right thing.”

38. Salamat Po! Q&A