The Top 5 Nonprofit Fundraising Trends for 2023
Published by
Harness Team
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With 2022 coming to a close, it's time to turn your nonprofit's sights to 2023. In this post, we share five of the top nonprofit trends for 2023 to help you make the most of every fundraising opportunity.
We'll explore ways to build trust with your donors and increase retention rates and donor acquisition. We'll look at:
- flexible donation options,
- the importance of digital wallets,
- hybrid fundraising,
- mobile-friendly giving, and
- personalized giving experiences.
So, let's dive in and learn how you can increase your donation volume and make 2023 your best year yet.
1. Flexible donation options are more important than ever
In a world with two-day shipping and one-click checkout, people expect online interactions to be fast and frictionless. Flexible donation options are essential for your fundraising process. Simply put, it makes it simpler for donors to give, and the easier and more convenient it is for a first-time donor to give, the more likely they are to donate.
Offering flexible donation options, such as monthly donations or round-ups, is a powerful way to increase donations from potential donors and decrease churn. There are so many ways to give!
Now, offering flexible donation options doesn't just mean offering different ways of giving, it also means giving donors flexibility in their donation amount. Especially in economically uncertain times, if you let people change how much they give, you can hang onto that donor instead of getting nothing at all. But, more importantly, it allows donors to donate what they're comfortable giving. This helps build trust and transparency, and it can reduce any feelings of pressure donors might experience, because you’re putting the power in their hands.
2. Be ready to welcome and accept digital wallets
It's time to look beyond credit cards and checkbooks. Digital wallets and the likes of Google Pay, Apple Pay, Venmo, and PayPal are becoming increasingly popular. The Nonprofit Technology Network reported that 75% of nonprofits reported accepting donations via digital wallets in 2022, compared to 53% in 2021. And with contactless checkout in stores and one-click checkout online, people want to give in ways that are familiar and convenient. Plus, the same study saw that nonprofits who accepted digital wallets in 2022 saw a 15% increase in donations compared to those who didn’t.
Accepting digital wallets, and other digital payment technologies, can make it faster and more convenient for your donors to give, and the increased security of digital payment options can build trust and credibility with your donors.
3. In-person fundraising events are back (and hybrid fundraisers are here to stay)
There really is nothing quite like face-to-face interactions, and thankfully in-person fundraising events are back for nonprofit organizations. In-person events help create a community for your donors, and they provide an excellent way to build relationships and trust with them (as well as the opportunity to create some magical moments).
Events allow your donors to connect and engage with others who share the same interests and values as them while contributing and celebrating a cause that you all care about.
However, people still want to choose between virtual and in-person events.
During the pandemic, donors got used to supporting the organizations they loved from the comfort of their homes. Many donors appreciate the simplicity, ease, and frictionless experience that virtual events with digital giving options, such as Text2Give and other virtual donation CTAs. An Eventbrite study found that virtual events saw higher attendance rates and levels of engagement among attendees in virtual events in 2022. This is supported by a Nonprofit Times survey, which found that 82% of nonprofits found virtual events in 2022 were successful in helping them reach their fundraising goals.
Thankfully, with hybrid events, you can have the best of both worlds. You can live stream portions of your physical events and create wonderful experiences for even more of your donors without having to worry about capacity, meals, and other logistics of in-person events. So, be sure to give your donors the power to choose in 2023 and beyond.
4. Mobile-friendly giving is a must
We order food online, shop online, and spend huge amounts of time online. We scroll through our phones and tablets while watching TT and waiting in line for coffee. You want to make sure your donors can give mobile devices as well.
Mobile-friendly websites and reflexive giving pages and donations buttons that work well on mobile are expected. Mobile-friendly websites and donation options make it easier for donors to access information, make donations, and engage with your charity on the go.
It's been this way for a while. A study by the Blackbaud Institute found that over 25% of online contributions came from a mobile device in 2021.
By providing more giving options and letting potential donors engage with your nonprofit how they see fit, you can increase donor retention and acquisition and decrease your churn.
Mobile-friendly giving can also be incorporated into physical material through the likes of QR codes or Text2Give keywords.
5. Personalized giving experiences are here to stay
A study by Accenture found that 55% of donors are more likely to volunteer or give when there's a personalized donation experience. People know it's possible to customize emails and text messages with their names. It's expected. Simply put, you can't build quality relationships with donors if you're being vague and general. Imagine if you went on a date and never used your partner's first name. That would be weird!
Personalized giving experiences help build a deeper connection between your charity and your donors.
Fostering and nurturing donor relationships is an important fundraising strategy that can result in more donations and support for your cause, but crafting personalized giving experiences means more than just "remembering" donors' names. You'll want to segment your audience and craft personalized messages that are tailored to them, and you'll want to offer donors whatever means of giving they most prefer.
Part of being able to personalize your giving experiences means keeping your donor data up to date, which can also help you find untapped capacity in your donor database. Crafting a personalized giving experience could also mean sending automated thank you notes, remembering birthdays and gifting anniversaries, and notes and messages conveying the impact a specific donor's gift made.
Harness is here for you for 2023
We’ve got so much in store for you for 2023. We can’t wait to watch your success. Be sure to sign up for our newsletter and webinar updates so you don’t miss a thing.
