As reported in an article about charity donations at The Age, charitable revenues increased last year and reached $142.8 billion, even though overall donations dropped by over $1 billion. Studies also found that even though almost half of nonprofit revenues come from membership fees and similar services, charitable giving remains the primary source of revenue for more than 1 in 4 nonprofits.

The Impact of Decreasing Donations

If this trend of decreased giving continues, NFPs that depend upon individual donations and bequests to finance their operations and projects could find it difficult to continue to provide the same services they currently offer their communities. This is especially true given the recent push by the government to reduce the number and types of Federal grants they provide to organisations in the not-for-profits sector.

The following strategies can help your nonprofit to improve its fundraising results, despite the current challenging environment.

Increase Transparency

One key fact discussed in the article is that most individuals dislike being solicited by third parties to give to specific charities. In fact, many donors are unaware that they aren’t giving directly to an NFP when “chugging” occurs.

This practice is one of the most successful ways that nonprofits can bring in new donations, but, they are typically commission based. By increasing transparency about the process, and offering donors alternative ways to give, some nonprofits might be able to save themselves the cost of the commission and increase the amount of funding that goes directly to them.

One way to accomplish this would be for nonprofits to recruit more volunteers to participate in their face-to-face fundraising campaigns. NFPs could then use technology like tap and go payments to make it easier for donors to contribute directly to them by using their credit card and smartphone.

Emphasise Impact and Personal Connections

With so many social issues that need to be addressed, a growing number of people are becoming more interested in giving their time, and cash, only to those organisations that are making a real difference. Always include information about the impact your charity makes, and how the donations received by your NFP are helping to create positive change.

Recruit individuals closely connected with your nonprofit, for example, your board members, volunteers and staff, to speak out about the excellent work that your organisation does in the community. Ask them to make a direct appeal to their family members and friends to join in and help by supporting your work with a gift.

Finally, while it’s true that annual donations have recently declined, it’s important to keep in mind that Australia remains, by and large, a very charitable nation, ranking sixth in the world in terms of giving. Volunteering also remains an important activity for many Australians and their families. Why not take advantage of the spirit of Christmas to make a final fundraising push by reminding potential donors that charitable giving is a great way to celebrate this season of love, hope and peace?