Fundraising in 2023 - How Different is it?
In the world of philanthropy, the question on every nonprofit professional's mind is "How has fundraising changed in 2023?" It's a important question, with the nonprofit sector constantly evolving to meet the challenges of a fast-paced, digital world. Yet, amidst all the changes, the core principles of fundraising – building solid relationships and soliciting major gifts – remain as vital as ever. That being said, it remains important to keep an eye on trends to stay ahead of the game, as some of these trends are not slowing down.
Emerging Fundraising Trends in 2023
1. Virtual Fundraising
In 2023, virtual fundraising continues in the sector. The ongoing influence of the digital age and the lingering effects of the COVID-19 pandemic have driven nonprofits to further invest in online platforms. Live-streamed events, virtual races, and webinars are now commonplace. It's essential for fundraisers to leverage these platforms and become literate in them to reach a broader audience.
2. Social Media Fundraising
Social media fundraising, particularly through platforms like Facebook and Instagram, has proven to be an effective tool recently. These platforms have introduced features to facilitate donations directly within the app, making it easier than ever for supporters to contribute. It is important to note that social media fundraising is NOT a replacement for conventional fundraising. It is just an another tool in a fundraisers toolkit. If you are curious of the best way to utilize social media, make sure to check out our full breakdown.
3. Donor-Advised Funds (DAFs)
DAFs have been around for a while but have grown in popularity in 2023 with an increasing number of donors choosing this vehicle for their charitable giving. They offer tax advantages for donors and provide a steady stream of income for nonprofits. Understanding DAFs and how to engage with DAF donors is becoming a more crucial part of fundraising.
4. Cryptocurrency Donations
As cryptocurrencies like Bitcoin and Ethereum become mainstream, more nonprofits are accepting and even soliciting cryptocurrency donations. This trend is worth watching as it opens up a new potential revenue stream. The average cryptocurrency donation is far greater than the average cash donation, so if you are curious of the best way to go about being set up to accept cryptocurrency as a donation then click here to see our full guide.
The Importance of Traditional Fundraising Methods
While these trends offer exciting new avenues for fundraising and communication, it's crucial not to overlook the tried-and-true methods that have served nonprofits so well over the years.
1. Building Relationships
Developing and nurturing relationships remains at the heart of successful fundraising. Personal connections drive philanthropy. Whether it's maintaining regular communication with donors, showing genuine appreciation for their support, or understanding their motivations, relationship-building is key.
2. Major Gifts Solicitation
Major gifts continue to play a significant role in the financial health of nonprofits. The process of identifying, cultivating, and asking for major gifts should remain a priority. It requires careful planning, strategic execution, and – once again – solid relationship building.
Fundraising in 2023 is a blend of adapting to new trends and sticking to the timeless principles of philanthropy. As we navigate this ever-changing landscape, let's not forget the core of what we do: building relationships and asking for gifts. By embracing both the new and the traditional, we can ensure the future success of our fundraising efforts.
Want to keep up to date on the most recent trends and best practices in the philanthropy world? Register to attend our fundraising conference in 2023! We will cover the most recent things you need to know as well as keynote speakers, workshops, and the latest information so that you can level up your fundraising game.
