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    Why Does Brand Matter in a New Market?

    July 28, 202610 min read
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    Photo: Ummigarba, Wikimedia Commons. CC BY-SA 4.0. Cropped to 8:5 and resized. Documentary image, not an endorsement from an organisation we support.

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    In an unfamiliar market nobody knows whether you can be trusted with their money, so brand does the work that reputation does at home. Invest in recognisable identity, local proof, and visible governance before scaling spend. Acquisition costs fall as familiarity rises, and unfamiliar charities pay for that gap in media.

    Key Takeaways

    • 1In a new market you start with zero mental availability. Ehrenberg-Bass research is clear that this is a distribution problem, not a creative one.
    • 2Edelman's 2024 Trust Barometer shows donors need to see a message three to five times before believing it. Brand is the mechanism that gets you to threshold.
    • 3IPA research from Binet and Field points to a 60/40 brand-to-activation split. Charities entering new markets typically invest closer to 5/95 and pay for it in CPA inflation.
    • 4Sequence a market entry in three phases: establish local proof, prime with brand-led media, then convert. Skipping phase two doubles or triples acquisition cost.
    • 5In year one, track aided recall, direct and organic traffic share, and second-gift rate rather than CPA. They predict whether the brand foundation is actually being built.

    Every charity that has ever tried to raise money outside its home market has learned the same lesson the hard way. A tested Meta funnel, a proven direct mail pack, and a strong case for support may all work at home.

    They can struggle when you enter a new country, donor group or cause area. The channels are the same. The offer is the same. The results collapse anyway.

    The reason may be brand familiarity. The Ehrenberg-Bass Institute’s explanation of mental availability defines it as the probability that a buyer notices, recognises or thinks of a brand in buying situations. For a charity, the practical question is whether donors remember you when considering a gift.

    In a new market, donors may not yet recognise your name or understand your work. In our experience, retargeting alone cannot substitute for introducing the charity and building familiarity.

    The evidence: trust is the constraint, not creative

    In practice
    Sequence · 4 steps

    Build trust before expanding fundraising

    Select a step to trace the sequence

    Use this diagram with the Your Storytelling Guide for Appeals (guide).

    The single largest predictor of whether a donor gives to an unfamiliar charity is trust in the sector, not enthusiasm for the cause. Edelman's 2024 Trust Barometer shows NGOs are trusted by only 59% of respondents globally, with double-digit swings between markets.

    In the same report, 63% of respondents said they need to see a message three to five times before they believe it is true. That is a brand-frequency problem, not a media-buying one.

    Give.org's 2023 Donor Trust Report found that only 19% of Americans reported "high trust" in charities overall, and that trust drops sharply when donors encounter a charity for the first time. In a new market, you begin with donors who do not yet know whether to trust you. Your brand is the mechanism that closes that gap before the ask.

    The pattern shows up on the giving side too. The CAF World Giving Index 2024 documents large differences in giving behaviour between countries that look similar on paper. Indonesia has ranked first for seven consecutive years, while several G7 economies sit well outside the top thirty. If you assume donor motivations travel, you will misprice every campaign you run in the new market.

    What "brand" actually means for a fundraising expansion

    Brand is not a logo refresh. In the context of entering a new market it is four specific assets, and every serious expansion plan needs to name who owns each one:

    1. Category entry points. The situations and questions that trigger a donor to think of you.

    In the UK a Muslim donor thinks of your charity when Ramadan approaches. In Germany that same donor thinks of a different organisation, because you have never been in the room when the trigger fired. Ehrenberg-Bass research on distinctive brand assets shows charities that own three or more category entry points in a market outperform peers by wide margins on unaided recall.

    2. Distinctive assets. Colour, logo, voice, spokesperson, sonic mark. The things that let a donor identify you in a two-second scroll without reading the wordmark. Nielsen's meta-analysis of brand consistency found consistent brand assets across channels lift ad effectiveness by up to 20%.

    3. A credible local proof point. A named partner, a local beneficiary story, a regulator registration or audited financial statements can help a donor assess your charity. Choose evidence that is relevant and checkable in that market rather than assuming one trust signal works everywhere.

    4. A share of voice premium. Les Binet and Peter Field's IPA research established that brands growing in a category consistently invest at a share of voice above their share of market.

    For a charity entering a new country or vertical, share of market is zero, which means any brand investment above zero is technically compliant, and any brand investment below what the incumbents are spending will feel like shouting into a well.

    Why performance-only expansions underperform

    The default expansion playbook for most charities is to skip brand entirely. Set up a new ad account, translate the landing page, copy the donation form, and let paid social do the work. It fails in a predictable pattern.

    In our experience, rising acquisition costs make it important to examine both brand familiarity and campaign performance. Track each new market separately rather than assuming the home-market results will transfer.

    The IPA’s The Long and the Short of It distinguishes short-term response activity from long-term brand building. Use that distinction to plan investment across time horizons, not to impose a universal budget ratio on a charity.

    We wrote about this dynamic in the context of Ramadan campaigns in Story Sells, But Brand Stays. The principle carries directly to market entry. The campaign converts what the brand has already made available.

    A practical sequencing model for a new-market entry

    Sequencing
    Sequence · 4 steps

    Enter a new market in order

    Select a step to trace the sequence

    1. Brand and credibility first.

    Use this diagram with the Your Storytelling Guide for Appeals (guide).

    At SA Philanthropy we run new-market expansions in three phases. The dollar split shifts each quarter as brand infrastructure is built.

    Phase 1: Establish

    Before any performance media runs, invest in the two things that make acquisition efficient later.

  1. Local qualitative research. Ten to fifteen interviews with donors in the target segment. Map the category entry points, the incumbents they name, the language they use for the cause, and the trust signals that matter. Salesforce's Nonprofit Trends Report documents how sharply donor priorities differ across markets, and running a campaign on assumptions imported from your home market is the most expensive mistake in an expansion.
  2. Local proof point. Publish a partner announcement, a country programme page, or a regulator registration before any donation ad runs. First impressions on cold traffic determine cost per acquisition for the following two quarters.
  3. Phase 2: Prime

    Run brand-led media before performance is optimised. This is the phase most charities skip and later blame the agency for the resulting cost per acquisition (CPA), the cost of gaining a new donor.

  4. Owned earned and influencer coverage in the new market. Aim for a minimum of five credible mentions before scaling paid.
  5. Awareness-objective media on Meta and YouTube with your distinctive assets present in the first three seconds. Kantar's meta-analysis of creative effectiveness shows brand-linked creative delivers 2.5x the long-term revenue impact of unbranded creative.
  6. A repeatable content cadence on the two platforms your target donors actually use, which will not be the same two platforms as at home.
  7. Phase 3: Convert

    Only now does the performance playbook you use at home earn its keep, because the donor has now seen you three to five times and Edelman's threshold is met.

    Layer the donor journey blueprint on top of the brand foundation. Set a local acquisition-cost baseline and review progress against your own budget and donor retention, without promising convergence with the home market in two quarters.

    How to know it is working

    Three measurements matter in the first year, and none of them is CPA.

  8. Aided and unaided brand recall. Field a quarterly 200-respondent survey in the new market. If unaided recall is not moving, the brand investment is not landing regardless of what performance dashboards say.
  9. Direct and organic traffic share. In a healthy expansion, direct and organic search traffic climb steadily from month four onward. If they stay flat while paid climbs, you are renting the audience, not building one.
  10. Second-gift rate on new-market donors. The Fundraising Effectiveness Project reports sector-average first-to-second gift conversion at roughly 20%. In a new market with weak brand, expect 10% or lower. As brand strengthens, this number is the leading indicator of long-term unit economics.
  11. The takeaway

    A new fundraising market is a distribution problem dressed up as a creative problem. Charities expanding abroad or into a new donor group or cause area need to build recognition and trust before asking paid campaigns to deliver gifts.

    Skip the brand phase and every subsequent dollar costs more. Build it, and the campaigns you already know how to run start working the way they do at home.

    If you are planning a market entry in the next twelve months, benchmark your brand readiness before you brief the media team. It will change the plan.

    Put this into practice

    Choose these tasks as a starting assignment for your team. The roles and review timing below are suggested working arrangements, not benchmarks.

    1. Separate local insight from assumptions

    Suggested owner: Market-entry lead. Gather donor questions and partner feedback relevant to the new market. Produce a short brief stating what was heard, from whom and which assumptions remain untested.

    2. Review adapted materials locally

    Suggested owner: Communications lead. Prepare the core message, donation information and follow-up for people familiar with the market to review. Record terminology, examples and visual choices needing revision and name the final approver.

    3. Run a limited, coherent pilot

    Suggested owner: Campaign owner. Choose a manageable set of channels with matching messages and donor-service arrangements. Record the learning question, capacity limit and evidence needed before expanding.

    Check progress: After the planned pilot, compare audience feedback and completed actions with the brief. Keep, revise or pause each adapted element before committing more resources.

    Your homework

    Entering a new fundraising market with performance advertising alone predictably fails because acquisition costs escalate rapidly without baseline donor awareness. Sustainable market entry requires establishing four core brand assets first, specifically category entry points, distinctive creative cues, local proof points, and sufficient share of voice.

    By conducting qualitative research and priming audiences with brand media before launching direct response appeals, organisations protect their long term cost per acquisition. Brand investment provides the critical distribution infrastructure that allows familiar acquisition campaigns to convert effectively in unfamiliar territories.

    Before you move on to anything else, complete these three tasks:

    1. Compile a brand asset register by Friday that assigns a named staff owner to each of the four expansion assets: category entry points, distinctive creative assets, local proof points, and share of voice.

    2. Schedule ten to fifteen qualitative interviews with prospective local donors by next Tuesday to map specific category entry points, competitor organisations, and relevant trust signals.

    3. Draft a revised media budget document this week that adjusts your new market expenditure toward a sixty percent brand and forty percent activation split.

    Resources

    Put this guide into practice

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    Frequently Asked Questions

    QWhy does our home-market fundraising playbook stop working when we expand?

    Because the playbook depends on brand equity you accumulated over years at home and have not yet built in the new market. Ehrenberg-Bass research frames this as mental availability: donors give to charities they can recall at the moment giving is on their mind. In a new market you start at zero recall and every conversion has to bear that cost until brand catches up.

    QHow much of a new-market budget should go to brand versus performance?

    Binet and Field's IPA research puts the long-run optimum at roughly 60% brand, 40% activation for most categories. For a charity entering a new market with zero share of market, the brand share should be higher in year one and taper as recall builds. A 5/95 split, which is where most charities land, guarantees escalating acquisition costs.

    QWhat single trust signal moves the needle most for first-time donors in a new market?

    Third-party accreditation and a credible local proof point. Give.org's 2023 Donor Trust Report ranks accreditation and local presence above brand familiarity for first-time gift decisions. Publish the local partner announcement or regulator registration before you run the donation ad, not after.

    QWhat should we measure in year one instead of CPA?

    Aided and unaided brand recall through a quarterly 200-respondent survey, the share of traffic arriving direct or via organic search, and the first-to-second gift conversion rate. The Fundraising Effectiveness Project benchmarks the sector-wide second-gift rate at roughly 20%. A new-market rate materially below that is the leading indicator that brand has not yet done its work.

    Evidence

    Every statistic and study referenced above links to its primary source. Each entry has a stable anchor, so citations stay consistent over time.

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      Mental availability is not awareness, brand salience is not awareness · marketingscience.info

      Ehrenberg-Bass Institute, undated. Definition of mental availability.

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    Related questions

    About the author and our standards

    Mehak Raza, Senior Account Manager at SA Philanthropy

    Mehak Raza

    Senior Account Manager, SA Philanthropy

    Mehak Raza is a Senior Account Manager at SA Philanthropy. She works with charities on brand, campaign strategy, and the sequencing that makes a new market entry hold.

    This article was reviewed by the SA Philanthropy editorial team before publication. We source every statistic, name every author, date every update, and correct errors on request. Read our editorial policy.

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