Here at BiddingForGood, every summer we take a step back and do some research on the fundraising landscape. This year we took a look at the trends around nonprofits utilizing the internet for their fundraising. The data is all captured in our report – The Online Fundraising Outlook. One thing that was immediately clear was that while almost all nonprofits are currently using the Internet for fundraising in some capacity, most of them are planning to increase that usage in the future.
Current Fundraising Strategies
Regardless of the size of their fundraising goals, we found that the top three fundraising tactics used last year were direct appeal, galas/events, and silent/live auctions. This is completely in line with what we see and hear when we talk to our customers and prospects. Many nonprofits have tried and true approaches to their fundraising and trying new things is often a bit scary. In the chart below, you can see that some of the newer, more innovative tactics are still bringing up the rear. This includes online auctions and crowd-funding. Again, no big surprise in that many nonprofits are risk-averse.
But here is the really interesting data. When we looked forward and asked fundraisers what tactics they are planning to try in the year ahead, a completely different picture emerged.Three of the top four tactics are fully Internet-based. The top four are online auctions, crowd-funding, direct appeals, and peer-to-peer. These tactics all utilize technology to provide solutions for the challenges that fundraisers face. The data also signals that fundraisers view their constituents as receptive to new technologies. This is of course great news for us at BiddingForGood as we have long evangelized the technologies that enable online auctions and mobile bidding at fundraising events. We know it works. It can expand the reach of fundraising events and attract new supporters. Is there a fundraiser out there that is not looking to raise more money?
There is a lot more in the research which we will be sharing over the next days and weeks. This is just a snapshot of what we discovered. If you are interested in reading about the rest of our findings, you can download the complete Online Fundraising Outlook report here.