Most charities are using some sort of digital fundraising technology now – online giving, text messaging, email campaigns, etc. In fact, according to this research from the UK, Understanding donor behaviour in a digital age, 89% of charities are investing in this form of fundraising. So, how is it going? Do the findings corroborate all of the buzz about online giving? Kinda.
Here are some of the main findings:
How charities are using digital fundraising
- 81% spent less than £10,000 ($15,000) in the past year on this income stream
- 83% used their charity website for online giving, and 55% used Facebook
- Half of all survey participants used peer-to-peer giving sites (e.g. for fundraising events and challenges)
- 48% used email marketing
- About 45% are using other online giving technology – such as eBay and text donations
How successful is online giving?
- 56% of charities saw an increase in digital donations over the past year versus only 4% who saw a decrease
- 50% of people in the UK shop online versus only 2%who donate online
- The number of online donors increased from 4% to 7% over one year (2008/09 to 2009/10), but then flatlined the following year
- Digital giving and interaction is important for young people: 54% said being able to make digital donations encouraged them to give; 34% said they wouldn’t give if digital donations weren’t available; and 35% use social media to interact with a charity
Trends and predictions
- Most charities (70%) think an economic upturn will not boost giving a lot
- Older donors (55+) are more reluctant to give online – better security may help to overcome this for some
- A digital presence is important for awareness raising and engagement – which will ultimately lead to greater fundraising income among all age groups
Conclusion
Many nonprofits are now experimenting with and investing in digital – online, email, social media, text, etc. Most are also experiencing good results, but ultimately not making a huge impact on overall income. The big takeaway from this research is that charities see a digital presence as just as important for awareness and engagement as it is for donations. In other words, a diversified online presence enables them to cost effectively interact with more people (especially younger people), which will ultimately lead to more donations through various channels.