The Value of Online Giving Days
How Online Giving Days can be the catalyst to fuel long-term nonprofit support from a new generation of donors
When I speak with nonprofit leaders, donors, and community leaders they all express the same concern; that soon the community’s largest philanthropists will move on or pass away.
For decades, nonprofits have relied on contributions from these sources. As businesses move away and big individual donors move on, local nonprofits are facing the very real threat of losing significant donor contributions.
While the situation can look dire, I believe that if nonprofits shift their mindset to consider the impact that can be made by small donors, they can work together to fuel a resurgence of donor support throughout throughout their area.
To do so, we must grow the next generation of philanthropists.
History reveals why this is so critical. Your areas leading philanthropists were not always able to make large gifts. It was because they got involved with organizations early on that those relationships and contributions grew over time.
Millennial, Gen Y and Z donors may only be able to give $25 to an organization today. But just like in the past, small donors become four, five, and six-figure donors as their wealth and businesses grow over time. It’s these donors who will support our nonprofit community long-term and sustain their futures.
We must start investing in fundraising efforts that expand and engage the entire donor community – young and old. We must recognize the long-term impact that small donors can make on each organization and our community. And I believe one solution is already right in front of us in the form of online giving days, like Giving Tuesday.
Online giving days can serve as a platform for the level of community change needed to make the biggest impact possible and give nonprofits the funds they need to survive long-term.
The value of online giving days is less about the money nonprofits raise in one day, and more about how the event functions to support and encourage donors at all levels of the giving spectrum to step up.
Here are just a few of the ways online giving days can encourage donors to donate and grow our next generation of York philanthropists.
1. Participation is Highly Accessible. Low minimum donation amounts mean more emerging donors throughout the county can afford to give.
2. A Higher Volume of Donors. Volume matters. Organizations are rewarded for the number of donors they bring in, not just the size of their biggest gifts. This makes the event more egalitarian and helps smaller donors make a bigger impact.
3. Greater Engagement with Donors. When nonprofits include strategies for contests, prizes, events, donor teams in their online giving day fundraising, the excitement of the day creates a high level of engagement. This helps small donors recognize the many facets of philanthropy and shows them that there are a variety of ways to be generous, including monetary donations and the giving of their time.
4. Stretch Pools Allow Small Donors to Make a Big Impact. Some online giving days offer stretch pools. With stretch pools that allow single donors to support many organizations at once, emerging philanthropists can make a small contribution and see the ripple effects throughout the community. The stretch pool encourages and empowers those small donors which will act as a catalyst for future generosity.
5. Stretch Pools Also Encourage Businesses to Get Involved. Stretch pools also provide business owners a way to support the nonprofit sector while getting some nice PR in the process. Businesses that give money to the stretch pool leverage donor dollars.
For all of these reasons and more, online giving days offer many nonprofits the chance to build lasting relationships with today’s small donors. By building these relationships now, nonprofit organizations can lay the foundation for long-term community support.