Investment in Online Fundraising Still Pays Off
Many nonprofits are facing a real challenge when it comes to determining how much resource and investment should be directed to various fundraising vehicles and strategies in order to meet their revenue goals. Should they …
1- Hire more major gift folks?
2- Spend more on acquisition in the mail or online?
3- Buy a Magic 8-Ball?
In a recent survey of 111 nonprofits conducted by the Chronicle of Philanthropy … it was found that online donations still make up a very small portion of most organizations’ revenue— less than 1 percent in 2007 (pretty much the same as 2006) — never the less online is becoming an increasingly important fundraising tool. Donations to the individual groups grew by a median of 42 percent last year.
What does all this mean for nonprofits? It shows that even though some organizations are seeing a decline in online gifts a greater number are seeing an increase.
Online never claimed to be a solution to all fundraising challenges. What it does provide is a tool that allows constituents to donate, receive communications and updates in a way that is most conducive to their lifestyles. Do they bank … get their news … communicate with friends and family online? Then this is most likely a medium they feel very comfortable using … just look at the recent amount of dollars raised in this year’s presidential campaign and the hundreds of millions of dollars already raised online.
Organizations that are Investing not just in the tool … but a strategy are finding it enhances their overall fundraising program by providing donors another option. And, isn’t that what is important in the end … communicating with donors in their preferred method?
Have a great weekend!
Sue
