4 Trends In Fundraising That Will Impact the Future of Philanthropy

https://s.yimg.com/uu/api/res/1.2/igj8FQkpX3J.LzTQIIqMOA--~B/aD0xMzMzO3c9MjAwMDthcHBpZD15dGFjaHlvbg--/https://media.zenfs.com/en/entrepreneur.com/17afbebf4babbce1a9fc3a2febd1f397

While the needs of fundraising organizations have grown and diversified, the techniques of fundraisers have grown stale instead of evolving. Many organizations continue to use the same strategies to secure gifts as they have for years, despite growing evidence of the need for change.

Unfortunately, because of rare but highly public unethical practices in political and -adjacent industries, nonprofit fundraisers today deal with a lot of issues with stigma, skepticism and mistrust. Recently, the Department of Justice began cracking down on certain matching contributions claims, as an example of the way certain ‘gimmicks’ leave a bad taste in everyone’s mouth.

Because of ongoing challenges, with donor trust, organizations looking to fundraise in 2021 and beyond will not be able to meet new challenges with old habits. Leaders and fundraisers need to be aware of the latest trends in the space to maximize their funding and, by extension, their impact.

Related: How Digital is Bridging the Gap For Nonprofits

Here are a few of the most important trends happening in fundraising right now and what you should do about them.

1. Retain your donors

So many fundraising initiatives focus on acquiring new donors, while not enough attention goes toward the people who have already proven their interest. Retaining your donors is one of the most effective ways to increase funding without overspending on acquisition costs of new donors.

Leaders in fundraising including Dan Pallotta, Mallory Erickson and Kivi Leroux Miller agree on the importance of retaining existing donors. Erickson makes the point that donors stick around when organizations focus on finding “Power Partners” and identifying win-win opportunities for them.

If aligned correctly from the beginning, your existing pool of donors indicate that there is something they like about your organization: your mission, your , your messaging, etc. Find out what makes your donors tick by asking directly. Call, send surveys or post on community messaging boards. Find out why your best donors connect to your organization, then lean into that alignment to keep them engaged.

2. Demonstrate transparency and grace

Fundraising is rarely straightforward. Not only will you struggle to complete many of your goals, but you will likely make mistakes along the way. Be transparent about issues when they arise, but don’t fall flat over every small misstep. Instead, be graceful, accept the lesson and communicate what you will do differently next time.

The pandemic provided plenty of examples of what to do and what not to do on this subject. Take the CDC, for example. At the end of last year, the organization printed, then retracted, then removed a statement about how Covid-19 spreads through airborne transmission. The organization did not change its stance, but it was a bad look in an already tense conversation.

Stay focused on the mission throughout any communication on a faux pas. Clearly illustrate what went wrong and why, reiterate your commitment to the cause and explain what will happen next. The best part of transparency is accountability, and for fundraising purposes, remaining accountable is a must.

Related: Why Radical Transparency (With Staff and Customers) Is Good for Business

3. Step back to see what works

You cannot build a smart fundraising strategy if you never step back to evaluate the effectiveness of your actions. Schedule time each quarter, and preferably each month, to review specific messaging campaigns, events and other initiatives to see what landed and what did not.

Donor Search recommends tracking all the basics, like donation volume, size and retention rates, but also focuses smartly on digital engagement. In a world where fundraising can happen any time online, leaders of fundraising organizations must be digitally savvy.

Lead-tracking can be a great way to identify the best sources of new donors. Ask simple questions of event attendees in follow-up email campaigns and surveys. Invite them to download content about your organization or register for your next event. Try different ways to funnel different donor leads toward single large gifts, smaller recurring gifts or whichever arrangement you find has the highest conversion rate.

Related: 3 Nonprofit Funding Avenues All Founders Should Know About

4. Ditch the perfectionism

No one gets everything right the first time. This isn’t about transparency, though. While it is important to own your mistakes, it’s also important to act decisively when you have enough information instead of waiting until it’s too late.

Have a potential lead on a big donor but your contact fell through? Do your own research and reach out directly. Want to try a new messaging strategy but not sure if the budget is worth it? Try a small test audience and see how it goes. Some of your moves will fail, but you can’t let that stop you from trying. Perfectionism will only slow you down.

Fundraising in 2021 happens in bursts of opportunity. The right moment is only a moment away, and fortune favors those who take action before stopping to work out all the details.

These trends in fundraising have arisen because new tools, new strategies and new social pressures demanded change. The older, more passive ways of fundraising will not be as effective in the months and years to come. Embrace these changes and use these tips to secure the funding your mission needs to move forward.

Peter Daisyme

By: Peter Daisyme / Entrepreneur Leadership Network VIP

Source: 4 Trends In Fundraising That Will Impact the Future of Philanthropy

.

Critics:

Philanthropy consists of “private initiatives, for the public good, focusing on quality of life“. Philanthropy contrasts with business initiatives, which are private initiatives for private good, focusing on material gain, and with government endeavors, which are public initiatives for public good, e.g., focusing on provision of public services. A person who practices philanthropy is a philanthropist.

Philanthropy is different from charity, though there is some overlap. Charity aims to relieve the pain of a particular social problem, whereas philanthropy attempts to address the root cause of the problem.

Traditional philanthropy and impact investment can be distinguished by how they serve society. Traditional philanthropy is usually short-term, where organizations obtain resources for causes through fund-raising and one-off donations. The Carnegie Corporation, the Rockefeller Foundation and the Ford Foundation are examples of such; they focus more on the financial contributions to social causes and less on the actual actions and processes of benevolence.

Impact investment, on the other hand, focuses on the interaction between individual wellbeing and broader society through the promotion of sustainability. Stressing the importance of impact and change, they invest in different sectors of society, including housing, infrastructure, healthcare and energy.

A suggested explanation for the preference for impact investment philanthropy to traditional philanthropy is the gaining prominence of the Sustainable Development Goals (SDGs) since 2015. Almost every SDG is linked to environmental protection and sustainability because of raising concerns about how globalisation, liberal consumerism and population growth may affect the environment. As a result, development agencies have seen increased accountability on their part, as they face greater pressure to fit with current developmental agendas.

Philanthrocapitalism differs from traditional philanthropy in how it operates. Traditional philanthropy is about charity, mercy, and selfless devotion improving recipients’ wellbeing. Philanthrocapitalism, is philanthropy transformed by business and the market, where profit-oriented business models are designed that work for the good of humanity. Share value companies are an example. They help develop and deliver curricula in education, strengthen their own businesses and improve the job prospects of people. Firms improve social outcomes, but while they do so, they also benefit themselves.

The rise of philanthrocapitalism can be attributed to global capitalism. There is an understanding that philanthropy is not worthwhile if no economic benefit can be derived by philanthropy organisations, both from a social and private perspective. Therefore, philanthropy has been seen as a tool to sustain economic growth and the firm’s own growth, based on human capital theory. Through education, specific skills are taught which enhance people’s capacity to learn and their productivity at work.

See also

Doing Good May Make People Look Better

Giving is good for you. For years, researchers have been finding that people who support charities or volunteer for causes can benefit from being generous.

For example, they might learn new things, meet new people or make others whom they care about happier. Researchers have also found that giving may make the givers themselves happier, more confident and even physically healthier.

As experts on the science of giving, we looked into whether there’s another possible upside to doing good: physical attractiveness. It may seem surprising, but across three peer-reviewed studies, we found that others rate people who give money or volunteer for nonprofits, give to their friends and even register as organ donors as more attractive. We also found that more attractive people are also more likely to give in various ways.

While our findings may raise eyebrows, we actually weren’t too surprised – the personal benefits of being generous are well established in our field.

3 studies

Our first study examined data from a large, nationally representative sample of older U.S. adults. We found that seniors who volunteered were rated as more attractive by interviewers than those who did not volunteer – despite the fact that the raters were unaware of respondents’ volunteering status.

The second study analyzed data from a nationally representative sample of U.S. teens for several years. We found that those who volunteered as teenagers were rated as more attractive once they became young adults. We also found the reverse: Those rated as more attractive by interviewers as teenagers were more likely to volunteer when they grew up. Again, raters did not know about participants’ volunteering history.

Our third study used data collected from a sample of Wisconsin teenagers from 1957 until 2011. We found that teens whose yearbook photos were rated as more attractive by 12 raters were more likely to give money over 40 years later, compared to their less attractive peers. We also found that these adult givers were rated as more attractive by interviewers than nongivers around 13 years later, when they were around the age of 72.

In all three studies, raters were asked to give their opinions on how good-looking participants were, using a rating scale where lower numbers meant less attractive, and higher numbers meant more so. Although beauty can be in the eye of the beholder, people often agree on who is more or less attractive.

A halo effect

Our results suggest that giving could make people better-looking, and that being more attractive could make people more likely to donate to charity or volunteer.

These findings build on previous research indicating that beauty confers a “halo” – people attribute other positive characteristics to them, such as intelligence and good social skills.

These halos may explain why attractive people tend to marry better-looking and more educated spouses and are more likely to be employed and make more money.

Those higher earnings, logically, mean that good-looking people have more money to give away. They also make more friends, which means they have larger social networks – subjecting them to more requests to donate and volunteer.

Not just a bias toward beauty

Because we were aware of this beauty bias, in all three of our studies, we statistically controlled for demographic factors such as gender, marital status and income.

We also controlled for respondents’ mental health, physical health and religious participation, given their links to both attractiveness and giving.

So, we know that our results are not explained by these preexisting differences. In other words, it is not merely that more attractive people are more likely to be married, richer, healthier or happier – and therefore more likely to give.

But, there could be other alternative explanations that were not measured.

Why this happens

We would love to know whether doing good actually causes people to be more good-looking. But it is not possible to figure that out for sure.

For example, in studies on what smoking does to your health, scientists could not require some participants to be long-term smokers and other participants to avoid tobacco altogether. Such arrangements would not be ethical or even possible.

Similarly, we can’t require some participants to be long-term givers and others to never volunteer or support charities. Most people give in some way, so asking them to stop would not be realistic, or even ethical.

Still, by following what a group of specific individuals do over time, we can discover whether giving at one time can predict whether someone will be more physically attractive at another time – just like we know that people who smoke have higher rates of lung cancer than those who don’t.

Overall, using the best available evidence, we find that it is indeed possible that doing good today may make you appear better-looking tomorrow.

[You need to understand the coronavirus pandemic, and we can help. Read The Conversation’s newsletter.]

To be sure, we don’t know why beauty and doing good are linked. But it’s possible that people who take care of others are also more likely to take care better care of themselves. This possibility is supported by our previous research showing that volunteers are more likely to get flu shots and take other health precautions.

Taken together, our three studies confirm the link between moral and physical beauty that was described in ancient Greece by the poet Sappho: “He who is fair to look upon is good, and he who is good, will soon be fair also.”

Our findings also contradict myths that beautiful people are shallow or mean, as suggested in the movie “Legally Blonde” and countless other “mean-girls” films about teens.

Instead, we have found another way that doing good could be good for you.

By: Sara Konrath Associate Professor, Indiana University, Lilly Family School of Philanthropy, IUPUI & Femida Handy Professor of Social Policy at the School of Social Policy and Practice, University of Pennsylvania

.

.

AlexKaltsMotivation 690K subscribers WATCH THIS EVERYDAY AND CHANGE YOUR LIFE – Denzel Washington Motivational Speech 2019 —————————————- Email(for business inquiries only):alexkaltsbusiness@gmail.com -Instagram Page :https://www.instagram.com/alexkaltsmo… -Facebook Bodybuilding Page : https://www.facebook.com/pages/Bodybu… Bodybuilding Clothes : https://shop.spreadshirt.com/AlexKalt… —————————————– Generation Iron : Website:https://generationiron.com/ Youtube:https://www.youtube.com/user/Generati… Instagram:https://www.instagram.com/generationi… —————————————– Music: Mitchell Broom – It’s Not Over Mitchell Broom – I Have Hope Mitchell Broom – Aeon Follow Mitchell Broom : Facebook:https://www.facebook.com/MitchellBroo… Twitter:https://twitter.com/mitchellrbroom SoundCloud:https://soundcloud.com/mitchell-broom… Spotify:https://open.spotify.com/artist/67b2L… Speech by Denzel Washington —————————————– Video Footage: All Video Footage licensed through Artgrid.

D. L. Hughley points out the hypocrisy behind painting Black people with broad strokes
%d bloggers like this: