Nonprofit Fundraising in Today's Economy
Many nonprofits and businesses are suffering from the uncertainty of today’s economy. With inflation through the roof, consumer prices continually increasing, and supply chain shortages, necessities are costing more, and people are taking a brutal hit because of it. For nonprofits, this can be concerning. Will potential donors have less money to give?
A survey from April 2022 showed of 1,400 adults who gave to nonprofits in the past year, 24% indicated intent to give less this year. While 9% said, they might pause their giving altogether.
So, as a nonprofit, how can you maximize your fundraisers and giving in a hurting economy? We can look into your donor behaviors and brainstorm new strategies to engage your donors and invite new supporters into your cause, continuing to expand your nonprofit.
Utilize an Omnichannel Strategy
An omnichannel strategy aims to create seamless, effortless, high-quality customer experiences within and between different platforms. The more channels you use to engage your audience, the more opportunities there are for them to become donors.
We want to create an easy and painless donor experience that offers any, and all preferred giving methods - online, over the phone, and through physical mail.
These methods could include creating a giving page on your website, having donation connections and links on your social media, mobile money transfer apps like Venmo and PayPal, a phone number set up with someone ready to answer, and the option to mail in checks or cash.
Setting up a monthly donor program can also benefit your nonprofit.
Having a monthly donor program can lead to higher levels of giving. The average monthly online donation is $52 ($624/year) compared to the average one-time gift. This helps create a reliable stream of income and is an easy and convenient experience for your donors - allowing them to “set it and forget it.”
Make Giving Effortless
Along with this omnichannel strategy, we want to make donating as effortless and painless as possible. The better your donor experience, the more likely they will continue giving.
As things continue to move online, many people use digital wallets, online banking, and payment apps to pay and donate. Extending your payment options is crucial. Set up apps such as PayPal and Venmo alongside your website giving page to accept donations. You can then share these modalities through email lists, social media, and at events.
A recent study found that one-time contributions using digital payments could be up to 30% higher than traditional forms of accepting credit/debit cards.
With apps such as Venmo, the social aspect also allows potential donors to see that others are giving, which helps build rapport and trust within your community.
Get back to In-Person Events.
The pandemic put a pause on in-person events for a long time. You may have become more familiar with hosting your fundraising events online since. While continuing online events is just as important, more people are becoming comfortable attending in-person events again.
According to Nonprofit Pro, “Millennials (ages 27 to 41) are leading giving at in-person events, with average yearly gifts of $284. Gen Xers (ages 42 to 57) are giving in-person at a lower rate, averaging $170 per person, while baby boomers (age 58 and older) are predictably giving the least in-person at an average of $112.”
If you have been trying to increase engagement from your younger supporters, knowing they are more willing to attend in-person events, hosting fun and well-organized fundraisers and community events could excite that demographic and encourage a donor connection.
Connect with Your Audience
Almost nothing is more powerful than word of mouth. Try to engage your supporters and social media audience and pull them into your nonprofit's mission.
Invite your donors to engage in peer-to-peer fundraising. Reach out to your donors and tell them how they can use social platforms such as Facebook to dedicate their birthday to your nonprofit and invite their friends to donate. 39% of Americans have contributed to a charity based on a request from a family or friend.
Within Facebook, add a donate button to your page, posts, live videos, and stories that allow people to contribute to your nonprofit without leaving the app. Verified pages can also create fundraisers, display your goals, and invite your community to give during the fundraiser.
As we approach November, Giving Tuesday is a great giving opportunity to begin preparing for and inviting your community into. The event will help attract new donors and give your current supporters another way to give. The Giving Tuesday organization provides many free resources to leverage to develop a strong fundraising campaign.
As the pandemic and other pressing world events continue, we can never be sure how our economy will develop. But by spending some time getting to know your donors and their behaviors and leveraging new available strategies, you can continue to grow and raise money for your nonprofit.
If you are looking for assistance with fundraising in today’s economy, schedule a call with us to discuss how we can help you with your nonprofit fundraising and marketing strategy.
