Frequently Asked Questions
1. What is (RED)™ / (PRODUCT) RED?
(RED) is a brand created to raise awareness and money for the Global Fund by teaming up with the world's most iconic brands to produce (PRODUCT) RED branded products. A portion of profits from each (PRODUCT) RED product sold goes directly to the Global Fund to invest in African AIDS programs, with a focus on women and children.
(RED) is not a charity. It's an economic initiative designed to create awareness and a sustainable flow of money from the private sector into the Global Fund, to fight the AIDS pandemic in Africa. Consumers buy (PRODUCT) RED, and at no cost to them, money will be sent to the Global Fund.
Bono and Bobby Shriver created (RED) to engage the private sector in the fight against AIDS in Africa. Our partners include: American Express (UK only), Converse, Gap, Emporio Armani, Motorola, Dell, Microsoft, Apple and Hallmark. Discussions are ongoing with other potential partners.
4. Why have you created (RED)?
To engage the private sector, its marketing prowess and funds in the fight against AIDS in Africa.
Private businesses contribute less than 1% of the Global Fund's resource needs. (RED) is designed to kick-start a steady flow of corporate money into the Global Fund.
5. What is the relevance of the name (RED)?
(RED) is the color of emergency. 4,400 people dying every day and many others fighting for their lives is an emergency.
6. What is Bono's involvement?
Bono and Bobby Shriver created (RED) to engage the private sector in the fight against AIDS in Africa. After they set up DATA together in 2002, it became apparent that while DATA leveraged investment from the public sector to the Global Fund, a need remained for greater private sector funding.
Established brands partner with us and license the (PRODUCT) RED mark to create (PRODUCT) RED products and services. (PRODUCT) RED partners send a portion of the profits made on (PRODUCT) RED products directly to the Global Fund, to fight AIDS in Africa. The consumer does not pay extra for this. (RED) never handles this money – it is sent directly to the Global Fund.
A licensing fee for use of the (PRODUCT) RED mark is used to manage and market the (RED) brand. This fee is paid by (PRODUCT) RED partners, and does not infringe on the amount of money they send to the Global Fund via sales of (PRODUCT) RED items.
8. Which brands are involved so far?
9. Do (PRODUCT) RED items cost more?
The point of (RED) is to make the partner company pay money to the Global Fund by sharing a portion of its profit to help people affected by AIDS in Africa. This is a key aspect of the consumer proposition. The company pays extra – the purchaser does not. Some partners have created product lines that are elevated in terms of the content or materials used (e.g. higher-end denim or handmade mudcloth from Mali), but that pricing is commensurate with the materials and production issues involved. The margin of profit that accrues to the Global Fund remains the same.
Making the products the color red is not a requirement, however some partners choose to do so. All will bear the (product/brand)RED logo lockup.
Remember, giving isn't the reason to buy a (PRODUCT) RED product. It is simply built into the product and the act of purchasing these products. In fact, we believe that some people will buy (PRODUCT) RED products without even knowing what (RED) is about or without even knowing what they have just made happen for Africa. And we welcome these people too!
Red is a popular color and word when it comes to charity. It's powerful and it inspires action. But red is not (RED) – helping to eliminate AIDS in Africa – unless it has the embrace around the word (RED) or around the product partner logo, e.g., (Motorola)RED, (Gap)RED.
12. How does the (RED) money get to where it needs to go?
By combining the marketing power of the world's leading consumer brands with the accountability, scale and pace of Global Fund grant-making, (PRODUCT) RED has created a new business model to effectively raise and impactfully invest significant resources to combat AIDS in Africa. (RED) grants (i.e. Global Fund grants supported with (RED) funds) represent the best performing programs within the Global Fund's extensive portfolio of AIDS grants in Africa, thus ensuring that every dollar raised is effectively and immediately translated into lives saved, and that every life thus saved is accounted for. Current (RED) grants are Rwanda and Swaziland.
Funds raised by (RED) partners are contributed directly to the Global Fund, which then transfers those funds to (RED) grants in line with the achievement of their respective performance targets. Over $60 million has already been raised to date, and (RED) funds have already been disbursed to grant recipients in Rwanda, Swaziland and Ghana to save thousands of lives. As (RED) continues to grow and generate additional funding, so too will the portfolio of AIDS grants supported, while maintaining the strict performance standards of the Global Fund and ensuring the effective use of those funds.
The impact and progress of Global Fund-financed programs has been possible because of its unique approach. Through its small staff and efficient systems, the Global Fund has administrative costs of less than three percent of all the money contributed to it, ensuring that the vast majority goes directly to support life-saving work in poor countries. (100% of (RED) money is put to work on the ground in Africa; no overhead is taken from these funds.) In addition, the Global Fund's performance-based funding model holds its recipients to strict standards, only releasing money if programs prove that they are achieving strong results and shutting down those that do not spend money effectively. A key aspect of the performance-based model is the oversight of the transparent and effective use of funds. The Global Fund contracts Local Fund Agents, private accounting firms such as PWC or KPMG, in every country receiving funding, who conduct the initial due diligence on financial and management capacity of grant recipients and provide ongoing verification of program results. As in the case of the Global Fund's suspension of grants to Uganda in 2005 and Ukraine in 2004, any indication of misuse of funds leads to rapid corrective steps - decisive action was taken to replace the grant recipient, guarantee the recovery of funds and ensure the continuation of critical services. As a result, a donor to the Global Fund, whether a private citizen or a government, can be confident that their contribution will rapidly have an impact on the lives of people in need.
13. Are there any programs in particular that the money will be directed to?
All funds generated by sales of (PRODUCT) RED products (aka (RED) money) will support Global Fund-financed programs that positively impact the lives of women and children affected by HIV/AIDS in Africa. (RED) money provides access to education, nutrition, counseling, medical services, and the two pills a day they need to help stay alive. This includes programs in countries such as Rwanda, which has a proven track record and ambitious targets. For example, in the past two years, Rwanda has increased the number of people receiving treatments for HIV/AIDS ten-fold.
14. How can a foundation apply to be a beneficiary of (RED) funds?
The Global Fund supports the plans, projects and interventions which countries themselves have selected as their national priorities. These strategies and priorities are determined through a national body in each country known as a Country Coordination Mechanism, or CCM, which is comprised of representatives from all relevant sectors, including Government, Civil Society, the Private Sector, and Communities affected by the diseases. This nationally owned and inclusive mechanism ensures that the country's strategies and priorities are determined in an integrated and effective manner and that funds are channeled in the most impactful way.
Once the national strategy and priorities are set, the CCM determines the projects and charities to be included in the national proposal and submits this proposal to the Global Fund. At present, about half of Global Fund financing goes to non-government recipients around the world. The Global Fund does not accept proposals directly from individuals, groups or organizations, and all proposals for funding must be channeled through the CCM in the country. The contact information for every CCM can be found on the Global Fund's website www.theglobalfund.org. Click on the drop-down menu named "Or Choose A Country" on the left-hand side of the home page and select a country; this will lead directly to the information page for that country containing contact information for CCM members.
Additional information about the proposal process can be found at: www.theglobalfund.org/en/apply/proposals/. The proposal forms and guidelines for CCMs can also be found there. The allocation of funding to specific projects occurs upon the approval of a new grant proposal; the timing and availability of funding will vary by country.
Funds raised through (PRODUCT) RED products and events are channeled to (RED) grants - pre-selected Global Fund-financed HIV/AIDS grants in Africa. At present, the (RED) grant portfolio includes Rwanda, Swaziland,Ghana and Lesotho. Updates to the (RED) grant portfolio can be found at: www.joinred.com/globalfund/. As with all Global Fund grants, the projects supported through (RED) are selected by the CCM in that country, as described above. This ensures that (RED) funds are invested in programs that are not only effective but also aligned with the national AIDS strategies and priorities. The process for applying for funding also remains unchanged, as described above, ensuring that there is no duplication of effort or unnecessary administrative burden placed on the CCM and grant recipients.
(RED) is not a charity, and we do not accept donations. If you would like to donate money directly to the Global Fund, you can do so through their website at www.theglobalfund.org/en/donate. Remember to check "AIDS in Africa, inspired by (RED)" in order to designate your funds toward fighting AIDS in Africa.
16. How are (RED), ONE, and DATA related?
(RED), ONE and DATA work concurrently to fight the AIDS pandemic and the extreme poverty in which it thrives. (RED) empowers you, the consumer, to choose products that raise money for the Global Fund to help eliminate AIDS in Africa. ONE harnesses the voices of its 2.4 million members to advocate for justice for the world's poor. DATA targets G-8 nations to campaign on debt, AIDS, and trade in Africa. Between (RED), ONE, and DATA, there is way for every individual to get involved in the fight against AIDS and extreme poverty. For more information about ONE and DATA, go to ONE.ORG and DATA.ORG.
