New Year, New Decade – Fundraising Trends in 2020
Charitable giving increased by over $147 billion from 2009–2019 (Lilly Family School of Philanthropy at Indiana University). As we begin a new year and decade, nonprofits will need to adapt to the changes in how and why donors contribute to charity.
Virtual fundraising has been on the rise for years. The ease to interact, participate and fundraise on one’s own time make virtual fundraising an attractive option to support charities. Online fundraising platforms such as crowd-funding and virtual events are relatively low-cost and low-maintenance for nonprofits to implement compared to traditional fundraising methods and have the potential to engage a larger audience.
The digital age has also allowed donors the ease and ability to research organizations before making a gift. (All the more reason to make sure your 990s and other organizational information are current on GuideStar.org). Becoming transparent about use of funds and making asks for tangible items such as a project or program will appeal more to donors. To ensure future engagement with your organization, report on the donor’s impact of their gift.
A new decade also means a new generation of donors. Focus will shift to attracting Generation Z (individuals born between 1995–2015) into philanthropic giving. This generation is just entering into the workforce, but their heightened social awareness and desire to make positive change is an opportunity to engage this audience in philanthropy early in their adulthood.
To appeal to the new workforce, corporations will become more focused and strategic about their philanthropic giving in the community. This opens the door for nonprofits to enhance their corporate engagement initiatives with event sponsorships and volunteer activities for corporate employees.