In 2022, we started to recover from the pandemic. There were fewer digital gatherings, and instead, we had more face-to-face events and fundraisers as things began to truly get “back to normal.”
As we begin a new year, now is the time to look forward to the fundraising trends that will affect the organizations in 2023. Nonprofits should keep up with the latest developments in the industry.
A nonprofit organization is a vital component of the community, as it can help individuals in need and deliver vital services. While each organization is different, the need for fundraising can be universal. Below are the top trends in philanthropy in 2023.
Flexible Giving Options Aren’t Going Anywhere
The pandemic will continue to influence philanthropy in 2023. As a result, individuals will be able to give even more freely.
Most donors prefer to give through direct mail or check, though some have also shifted to online giving. This new approach allows individuals to give in a personalized manner and provides them with an easier process.
One of the main advantages of flexible giving is it allows organizations to reach out to new audiences. In 2020, the number of people giving via text message increased by 26%. Mobile giving went up by 205%.
A hybrid event is a fundraising method that combines the traditional and virtual components. It allows organizations to connect with more diverse audiences and reach a bigger potential donor base.
Focus On Donor Retention
One of the biggest factors that prevents organizations from attracting and retaining new donors is the high cost of acquisition. With the help of fundraising technology, it’s now easier than ever to motivate past donors.
Although technology can help organizations improve their retention of donors, effective strategies need to be implemented first.
Getting people to easily access information about an organization is one of the easiest ways to improve their retention. This can be achieved through the sharing of reports that provide a comprehensive view of the company’s operations. Social media is also a great way to communicate with the public and share your organization’s mission. Another important step is to calculate the impact of your retention strategies.
After assessing the state of their current donor retention, organizations should then develop a plan and goals. One of their top priorities is to improve their relationship with potential donors.
Recurring Giving Programs
One of the most effective ways to improve the retention of donors is by implementing recurring giving programs. These programs can provide an organization with stable and predictable income.
In order to connect with the younger generation of donors who give online, fundraisers must prioritize recurring giving in 2023. According to a study conducted in 2020, over 60% of millennials are interested in monthly giving, while 45% of them give online.
Due to the rise of hybrid events and online fundraising, it’s important for organizations to be ready to adapt to these changes.