For many fundraisers, the release of the annual Giving USA fundraising report is an exciting day each year to dig into national trends in giving. In case you’re not familiar, this report is a partnership between Giving USA and the Indiana University Lilly School of Philanthropy research department, and analyzes a variety of factors ranging from donations by source to types of causes supported.
Today, we’re sharing our top three takeaways from this year’s report.
1) Individual donors are still the top source of giving!
When looking at donation by source over the past year, individual gifts are still the top source of revenue across the board. The GiveMN team considers “bequests” to be part of individual giving since bequests are legacy gifts that have been directed by an individual person. Together, that brings individual giving up to 73% of all donations made during 2022.
Your takeaway: Focus on your individual donors! While big grants are enticing, it’s important to spend time building and maintaining relationships with the people who make small gifts to you throughout the year. Individual giving helps keep your revenue diverse and more sustainable!
According to the report, online gifts now make up more than 10% of all donations. This means that having a strong digital presence is going to be increasingly important to reaching new donors and staying up-to-date with your current donors. No matter the communications channel, make sure to keep the following in mind:
- Have a clear call-to-action: With so much content out there on the internet, make sure your audience knows exactly what you’re asking them to do and why.
- Make your donation button easy to find: Having a clear and easy-to-find donation button or link on your website, social media profiles, and other online presence is important to make sure your audience can easily make a donation.
- Go where your audience is: There are so many options to get your story out there online, so it’s important to pick and choose wisely! If your donors aren’t big Twitter users, it’s probably not a good use of your time to spend hours on your Twitter presence. Think about what channels your audience already uses and meet them there!
- Don't forget that fundraising includes email: When it comes to digital fundraising, email is typically more effective than social media. According to one study, donors were more likely to give an unplanned gift after receiving an email rather than seeing a social media post.
Your takeaway: Don’t discount your digital fundraising strategy! You don’t have to do every activity—pick a couple that work for you (such as email and your website) and focus on doing those to the best of your ability.
3) Economic challenges impacted giving in 2022.
Many of us saw challenges in fundraising throughout 2022 due to economic uncertainty, inflation, and navigating a post-pandemic landscape. According to Giving USA’s report, inflation reached an all-time high while disposable personal income declined somewhat—a recipe for decreased giving.
However, unemployment was low in 2022 and there was significant growth in gross domestic product (GDP). While there were economic pressures throughout 2022, there were also improvements that helped balance out the impacts of inflation. Looking ahead to 2023, it’s important that nonprofits continue to build a strong story that will inspire people to donate.
Though news sources and other media may want us to focus on the fear of the economic landscape, GiveMN is encouraging both organizations and donors alike to let their values guide their giving. During tough times, our communities need nonprofits more than ever! Keep on fundraising!
Your takeaway: No matter the economic landscape, continue engaging your donors and asking them for their support. Even during a year of rising inflation, individuals continued to show up and support causes that meant the most to them. Your job is to continue doing the good work you do and be available as an outlet for your supporters to help make a positive impact!
For more on this report, you may:
- Watch the free webinar hosted by Giving USA and CCS Fundraising.
- Purchase the full Giving USA report.