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Top Ten 'Hot' Fundraising Predictions

28 April 2010 at 5:36 pm
Staff Reporter
Chasing younger donors and proving value will be hot issues for Not for Profits according to software provider, Blackbaud's Top 10 Predicted NFP Trends

Staff Reporter | 28 April 2010 at 5:36 pm


Top Ten 'Hot' Fundraising Predictions
28 April 2010 at 5:36 pm

Not for Profits that change with their younger donor pools and those that prove their value to constituents will be the big winners in the years to come, according to a list of the Top 10 future Not for Profit trends by global software provider, Blackbaud.

The list from Blackbaud also indicates that Not for Profits will be placing renewed emphasis on constituent stewardship and will continue to see growth in peer-to-peer fundraising, powered by technology and social media.

The list was released at the Association of Fundraising Professionals (AFP) 50th anniversary conference in the US.

Blackbaud says the list was created to explore emerging trends that will affect the next 50 years. The trends list combined input from Blackbaud management, its NFP customers, partners and industry leaders who work directly with NFPs.

Blackbaud’s chief executive officer, Marc Chardon, says the big priority for most Not for Profits will be to capture the interest of the younger donor—Millennials and Generation Thumb.

Chardon says as their traditional donor pools age, organisations need to adapt to engage a new, younger generation of supporters.

He says they must become more tech-savvy, more sophisticated and more flexible in finding ways to make giving more relevant and personal to a new generation.

President and CEO, Association of Fundraising Professionals, Paulette Maehara says it is clear that Not for Profits will become more donor centric and will put expanded emphasis on collaborating with constituents as partners in the years to come.

Maehara says this shift will be critical to the success of Not for Profits in an ever-changing world.

Blackbaud’s Top 10 Predicted Not for Profit Trends are:

  1. Donor pools will continue to change. Constituents once comprised mostly of Baby Boomers are now becoming Millennials and Generation Thumb, and their interests are vastly different than their predecessors. They are more tech-savvy and interested in change for the world, not just in giving a quick donation to a cause. NFPs need to change their ways as traditional giving techniques won’t be as effective. They have to look at donors as partners and speak their language (leveraging social media and the latest cutting-edge technologies).
  2. Proving value will become more important. As world dialog shifts to social change from traditional philanthropy, Not for Profits will have to prove their value to show they are making a difference. Radical transparency to very clearly show where funds are going will be critical.
  3. Fundraisers will acquire new skills and an entrepreneurial spirit to be successful. NFPs will need to master all existing fundraising best practices and adopt new ones as they evolve. The best, most successful ones will become experts on the latest fundraising techniques, such as location-based initiatives and crowdsourcing.
  4. Social media will play an even more important role in engagement. Mobile devices, the Internet and social networks provide platforms for fundraisers to quickly organize a community of interest around a cause. Over the past few years, social networks have taken off; they’re now becoming location-based, and in the future there will be other added capabilities that will make them even more useful.
  5. Peer-to-peer fundraising will continue to grow. Because of the ubiquity of mobile devices and our
  6. growing social networks, supporters will reach out to their friends and family more than ever to raise funds on behalf of Not for Profits.
  7. This may ultimately become the most popular fundraising initiative in the years to come.
  8. Donor stewardship will become even more important than it is now. As the world economy continues to struggle, it will become more difficult to secure donations, so keeping active donors informed and happy becomes a greater priority. In order to be effective stewards, NFPs will have to change along with the technology and generations to stay part of the conversation and remain relevant.
  9. Increased government regulations will have a greater impact on the industry. The trend seems to be heading towards more taxes for NFPs as various levels of government look for new revenue streams. NFPs need to be fully aware of possible changes in legislation and work to make their voice heard.
  10. Not for Profits will move from a broad donor management system to a single supporter database. This shift will facilitate a life-long supporter journey relationship and requires accurate data that is easily accessible. This will lead to improved integrated online/offline marketing that produces more, larger gifts and more effective events.
  11. Relationships will still rule. Despite all the excitement over new technologies and networking applications, Not for Profits should not forget the importance of personal relationships with their donors. This will be the one thing that will remain a critical fundraising element in years to come. In fact, because of the increasing ways people will be able to "virtually" interact, having a good personal relationship may become a unique differentiator.
  12. Finding the right balance of online and offline presence will be critical in the coming years. Although offline donations still comprise the majority of overall giving, online donations are growing rapidly and NFPs will need to effectively plan for that growth while maintaining their offline presence. They will have to become more tech savvy to stay current with the latest social media avenues and tune those efforts frequently to keep up with the pace and expectations of a new generation of donors.


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