Fundraisers got some well-deserved good news this week. Charitable giving in the first half of 2020 increased by almost 7.5 percent over the first half of 2019.
That marks a big shift from the first quarter of this year, when giving was 6 percent behind the same period in 2019, Eden reports. The second quarter also marked a five-year high in the number of donors and contributions.
The results are from the Fundraising Effectiveness Project, which is managed by the Association of Fundraising Professionals in collaboration with GivingTuesday and analyzes donation data from the Growth in Giving Database.
While donors at all levels have stepped up in a big way during the pandemic, those who gave less than $250 were a major driver of growth. The number of small donations increased 19.2 percent over the first six months of last year. That may be due in part to the $300 universal charitable deduction that was enacted as part of the Cares Act.
It wasn't just small-dollar gifts fueling the growth. The number of midlevel donors, who made gifts of $250 to $999, and major donors, who made gifts of $1,000 or more, increased year over year by 8.1 percent and 6.4 percent, respectively.
But this is 2020. The project's leaders issued a warning along with the positive data.
Fundraisers should be cautious about getting too excited about the uptick in giving in the second quarter, said Lori Hunter Overmyer, chair of the AFP Research Council. Giving almost always decreases in the first quarter, and the continued need for nonprofits services, along with the sluggish economy, could potentially depress giving over the long term, she said.
Hilary Higgins
Ronald McDonald House Charities of Chicagoland and Northwest Indiana has notched some fundraising wins since the start of the pandemic, my colleague Emily Haynes reports.
In May, the charity hastily moved its annual gala online. That event typically raises more than $1 million, but it brought in just $800,000 this year. On the other hand, event expenses went down, too. The charity spent just $35,000 to put on the gala which it redesigned as a monthlong online campaign, including live performances by local bands and a magic show by Ronald McDonald, culminating in a two-hour event streamed on Facebook Live. By comparison, the annual one-night gala usually cost about $300,000 to produce.
Whats more, 132 donors made their first gift to the charity as part of the refigured gala. If we had met in person, our room wouldve been 700 people, says Holly Buckendahl, the organization's CEO. Moving the event online widened the charitys reach, she says. Our audience became endless.
Before Covid-19 hit, the charity had planned to test a $20,000 summer fundraising campaign. It has far exceeded its goal, raising slightly more than $353,000. And while its too soon to tell how many of those gifts came from donors who made their first contributions in May, those new donors did receive email appeals during the summer campaign.
Still, Buckendahl expects this years fundraising revenue will be 25 percent below budget. The charity anticipates dipping into its reserves to make up for the shortfall.
As the critical year-end giving season approaches, Buckendahl says fundraisers arent taking their foot off the gas pedal.
Although some of her colleagues at other nonprofits worry that donors will be tired of fundraising appeals by December if charities start asking for donations now, Buckendahl isnt concerned about that. Her charity is communicating frequently with supporters about how the pandemic is affecting its mission and what its financial needs are.
Your big donors, your year-end donors, donors that give to you all year long they need to know now, and theyll make their choices when they make their choices, she says. We are just making sure our audience and our donor family understand where were at and how were doing.
Learn more about giving during the first half of 2020, and read the full story about fundraising during the pandemic at the Chicago-area Ronald McDonald House.
How did fundraising fare at your organization the first half of the year? Are you confident or nervous as we head into the year-end giving season? Drop me a line, and we might include your comments in a future newsletter.
See the original post:
Giving Was Strong the First Half of the Year. Will That Continue? - The Chronicle of Philanthropy
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