As the year ends, it’s time to level-set, review successes and analyze our challenges. It’s also the end of the year, which means it’s giving season for nonprofits. Charities are pushing for end-of-year donations as many supporters feel particularly generous during the holidays – and look for yearly tax breaks.

The pandemic gained traction in many places and that means nonprofits will continue to find creative ways to engage with donors and host events. One thing we know for sure is that virtual events are here to stay. What else is in store for

The nonprofit sector has adapted quite well to the pandemic situation in the past two years implementing changes like virtual events, non-contact payment options, etc.

Here’s an overview of the Top Fundraising Trends for 2022:

1. Virtual Events are Here to Stay

In 2020, many nonprofits started utilizing virtual and digital fundraising. From online auctions to peer-to-peer fundraising, online strategies dominate. Nonprofits have found these fundraising strategies effective, as have donors. Online and virtual fundraising is no longer a novel concept – it’s the norm – and supporters expect it.

2. Online Donations

COVID protocol insists on minimizing contact. Therefore, offering non-contact payment options to donors is mandatory. Non-contact payment is safe and easy way for nonprofit supporters to engage with their cause of choice.

Some of the popular methods for non-contact payment are:

Scan to Give:

In scan-to-give, a nonprofit provides a QR code for donors. This is a fats, simple and secure way to donate since software donation tools employ multiple levels of security.

Text to Give:

Text to give is another effective donation option. In this method, the donor messages a keyword to a short code number. The donation amount is then tacked on to the donor’s monthly mobile phone bill, with the service provider donating to the nonprofit. This popular donation method works well for donors since they do not need to create any new online accounts with their nonprofit of choice.

Text to Donate:

Like text to give, the donor sends a keyword to a short code. Then, the supporter is directed to an online donation to complete the donation.

Cashless Donations:

Cashless donation options like using credit cards and debit cards are far from new, and they’re not going anywhere. Credit cards offer a safe and secure mode of transfer and are suited for recurring donations.

Blockchain:

A convenient contactless method of donating to charities, blockchain facilitates global and secure payments easily. A benefit of a blockchain payment is that the donors do not incur any currency exchange fees when donating internationally. Blockchain technology processes data safely and mitigates fraud.

Cryptocurrency:

Charities can boost donations by accepting payments in cryptocurrencies like Bitcoin, Ethereum, and Stellar. People like using cryptocurrencies because they are easily transferable; however, they do incur securities and can be overly complex compared to other modes of cashless donations.

3. Social Media Promotions are Necessary

As per Statista 2020, there are currently 3.78 billion daily social media. This amounts to 48% of the total world population and the number of users increases daily. It is critical for nonprofits to leverage the power of social media marketing in order to reach the largest potential audience.

When employing social media marketing, it’s important to pinpoint the social channels used by your  target audience. Social media channels offer users access to statistics like reach, link click, likes, and shares.

Social media campaigns tailored to the target audience and their social media use allow advertisers to reach the right audience at the right time, making it an effective way to reach a wide audience for fundraisers.

Social media pages on Facebook and LinkedIn allow nonprofits to communicate their key messages to supporters (and potential supporters). Creative and strategic brand storytelling on social media helps organizations hit their supporter’s “sweet spot” by addressing their issues and they outcomes donors seek from charitable organizations.

4. Don’t Miss out on Email Marketing

Today’s customers demand personalized attention. Email Marketing is the best digital marketing strategy to provide a personalized experience to your donors. Build a rapport with your audience with regular emails. Make sure that you acknowledge the donations made and send regular emails in the form of newsletters, etc. to keep your subscribers. Inform your subscribers of any fundraising event you plan to host. You can encourage them to be a part of your fundraiser through peer-to-peer fundraising, etc.

5. Artificial Intelligence (AI) will Make its Presence in the Realms of Nonprofits

Automation is making headway in various sectors to take over routine tasks and offer more time to employees for creative activities. Automation will provide several benefits in the nonprofit sector as well. Nonprofit organizations will have more time for activities other than mundane everyday tasks. This will offer them time for innovative thinking to create more engaging events, etc.

COVID 19 pandemic has created a shortage of staff in various sectors. The nonprofit sector is also experiencing issues with the workforce in terms of shortage of volunteers and others. AI is an inexpensive way of minimizing labor-intensive tasks. Automation works seamlessly to help nonprofits to achieve their goals.

2022 will see more nonprofits using AI to boost their efforts.

6. Fundraising Platforms

Any digital fundraisers or contactless giving may be hosted using a fundraising platform. These platforms help in organizing virtual events, facilitating different payment modes, organizing social media marketing campaigns, email marketing campaigns, and more.

Each platform has its unique set of features to facilitate organizing various types of events, etc. These platforms are available at different prices.

Make sure to check the features of the platform and select the one that is best suited for nonprofit functions.

iConnectx is a platform that includes all the features required to host any type of fundraising event. It also facilitates secure and quick payment options. iConnectx also includes features for effective marketing campaigns for nonprofits.

iConnectx will take your nonprofit’s fundraising seamlessly to 2022!

As the Christmas of 2021 beckons, are you ready with your fundraising ideas for donations for your cause on Christmas?

Year-end is the time when Giving features in most people’s minds. And, this is the best time for nonprofits to think of fundraising ideas to encourage donors.

Have you geared up for Christmas and thought about how you will collect donations for your cause?

Get Festive with these 15 powerful Christmas Fundraising Ideas for your Nonprofit:

1. Choose a Good Cause

Nonprofits always raise funds for important causes. However, when the spirit of Christmas is in the air, make sure to choose a cause that donors feel connected to and are motivated to give. For instance, it is a good idea to raise funds for donating to the underprivileged section of society. Donors are more likely to contribute where they can uplift someone during Christmas!

2. Make your Christmas Themed Fundraiser

Create a fundraiser where you tell the donors that they are gifting someone during Christmas.

Share Christmas-themed creatives to promote your fundraiser on social media and your website.

You can include a fundraising thermometer with a deadline of Christmas day to create urgency among donors.

3. Promote your Fundraiser on Online and Offline Platforms

Christmas is a time when people are on the move, preparing for the festivities, buying gifts, or meeting people.

Make sure to promote your fundraiser extensively on online platforms and on prominent places, billboards, etc. where passers-by cannot miss it.

4. Make it Easy to Donate

You do not want to miss out on donations because your donors find it cumbersome to donate.

Make sure that your website is easy to navigate and donors can easily reach the Donate Now button.

Responsive websites are a must to make it easy for donors on the move.

Ensure that your forms are not too complicated and offer hassle-free registrations.

Include donation buttons on social media pages.

Send personalized emails to your subscribers informing them about your fundraiser and encouraging them to donate.

Offer mobile giving options like Text to give, text to donate, and scan to give.

These methods encourage donors to give when they see a hoarding or flyer about your fundraiser at any time from anywhere. These methods encourage impulse giving and you don’t want to miss out on these.

5. Matching Gifts

Gifting is the highlight of the Christmas season. Matching gifts is a way to raise funds where corporates donate an amount equal to the amount a nonprofit has generated.

You can contact the HR representatives of corporates and tell them about your cause and ask for donations. Many nonprofits miss out on the matching gifts option for fundraising.

Christmas is the best time to approach corporates for matching gifts.

6. Organize a Gift Wrapping Party

Wondering what a gift wrapping party is?

Everyone is short on time during Christmas with too much on their hands. Gift Wrapping is among the many things to be accomplished during the festive season. So, why not take this task off their list?

Here’s what you can do:

• Organize a team of volunteers to do the gift wrapping for people in the community.
• Designate a specific day close to Christmas day for gift wrapping.
• Host a gift wrapping party where you decorate the venue according to the Christmas theme. Invite all volunteers for wrapping the gifts together.
• You can have Christmas-themed dressing for the party.
• Make it a fun event by playing Christmas carols in the background.
• Offer Christmas treats to everyone at the party. You can get these treats as a donation from bakers/chefs, etc.
• You can reduce the expense of gift wrapping by procuring all wrapping material as a donation.
• You raise funds for your cause by charging an amount for the gift wrapping service you provide.

The party can be an offline or a virtual one depending on the COVID protocols at that time. In case of a virtual event, you can get everyone to dress according to the Christmas theme and join the event over a Zoom call. Volunteers can wrap the gifts from their homes and interact with others virtually.

7. Christmas Treats

Fundraising can be done by offering Christmas treats. You can partner with some local chefs and ask each one of them to make a different Christmas treat. You can also indicate the exact quantity of the treat. Display all these treats on your website by creating a special page for them. When someone orders a specific item from your website, you can inform the concerned baker and ask them to arrange the delivery. The partner bakers will increase the visibility of their products and services. The nonprofit raises funds from the amount collected when people purchase these treats from the website.

Make sure to clearly display the items and their prices. Offer a secure and simple payment method. Promote this offer on online platforms and through emails to your subscribers.

8. Donating Christmas

Donating Christmas is another great way of generating funds during Christmas. The concept of donating Christmas is similar to donating Birthdays where you ask people to donate to your charity instead of purchasing Christmas gifts.

You can reach donors by:

Promoting the fundraiser on your website and social media pages.

Sending emails to all subscribers requesting them to spread the word in their network.

You can also leverage peer-to-peer fundraising to reach a wider donor base. Ask your donors and supporters to ask people in their network to donate to your charity. Donors and supporters can share the details of the fundraiser on their social media pages to reach their network.

9. Share on Partner’s Social Media

This is a fundraising strategy where you connect with corporates, etc., and use their social media pages to promote your fundraiser. This helps you promote the fundraiser directly to their network and increases the funds raised.

10. Christmas Decorating Services

Everyone wants to decorate their homes during Christmas and have a beautifully decorated Christmas Tree at home. You can offer Christmas decoration services at a fee that will add to the funds raised.

11. Provide Christmas Trees

Buy Christmas trees wholesale and sell them at a profit. You can create your own Christmas tree outlet if you have the space. Decorate the outlet with Christmas decorations and lights. Play carols in the background to give a festive fervor.

12. Christmas Gift Boxes

Create Christmas gift baskets or gift boxes with assorted items. Collect items of different price ranges to create differently priced baskets to suit all budgets.

Display gift baskets/boxes on your website. Nonprofits generate funds when these gift items are purchased. Make sure that you clearly indicate the contents of the gift box/basket so that buyers can choose their gifts easily.

Promote these Christmas gifts on the various online message that buyers will be giving a “double gift” if they purchase from you. The first gift is when they gift the purchased item to someone and the second gift is the cause they will support with funds raised through the sale. Provide a simple and secure method of payment to donors.

13. Christmas Cards

Living in an online world, we are inclined to send ecards to our friends and family. But, did you know that there is a huge market for handmade cards?

You can have a team of volunteers make handmade cards and sell them to raise funds.

14. Christmas Carols

Get a group of supporters to sing carols at an event or they can go door to door and sing. You can set up a crowdfunding campaign with your supporters so that they can share their personal funding pages with their social groups and family.

Engage the audience by offering customization of the playlist according to their choice of songs.

Here’s how you can facilitate it:

Members of the audience can be asked to text a keyword to a number.

When they do so, they will be guided to a mobile-friendly form in which they can furnish their details and add the song of their choice.

15. Christmas Gala Dinner

The festive season is a time for dinners and galas. Your nonprofit can organize a Christmas Gala Dinner. The gala may be an offline one or a virtual one. Fundraising can be done by charging an entry fee for the event. Use all your creativity to host an event that your audience will remember!

These are some ideas for raising funds during Christmas. Put on your thinking caps and make fundraising an incredible experience for your audience!

Make sure to keep track of your fundraising goals so that you raise enough to make the Christmas of the disadvantaged section of society worthwhile!

iConnectx offers a platform to streamline all your fundraising efforts!

Merry Christmas!

We are at the end of 2021! And year-end is the time when nonprofits need to perk up to attract donors! Innovative fundraising ideas are needed by nonprofits to make them stand out in the highly competitive market!

This period is not just for hosting fundraisers but also for the time to acknowledge donors and express gratitude to them.

One of the main highlights of the holiday season in the United States is giving back to the community. Thanksgiving falls on the fourth Thursday of November and ushers in the holiday season in the United States.

And, what better time to thank donors than on Thanksgiving?

Here are some interesting trivia about Thanksgiving!

Did you know that Thanksgiving started in the year 1620? Here’s a brief history of Thanksgiving! In 1620 a small ship by the name Mayflower carrying 120 pilgrims set out from England looking for a place where these pilgrims could practice their faith in peace.

Mayflower found its destination in America, then called the New World. The first-ever Thanksgiving was celebrated when the Wampanoag native Americans and these colonists shared an autumn harvest feast. The harvest was the outcome of their joint efforts and so they celebrated together in Plymouth, which is known as Massachusetts today.

And, the tradition of expressing gratitude and celebrating has carried on for years. Food is the chief focus area of Thanksgiving with roast/fried Turkey being the special dish. There is a lot of fun and fervor during Thanksgiving and fun activities like parades, etc. are organized during Thanksgiving.

So, before we get into ideas to raise funds or attract donors, let us start the festive season traditionally by thanking them!

Thanking your donors makes them feel special. They feel connected and know that they are cared for. This helps build loyalty to your brand.

Although you must be sending them automated emails to thank them for their donations, you need to add a personal touch!

Here are some ways of thanking your donors on Thanksgiving:

• The senior executives such as the directors, etc. in your nonprofit can make personal phone calls to donors to speak to them and thank them.
• You can send them letters highlighting their contribution to the charity. For instance, you can explain the total funds raised for cause the donor might have contributed towards and how significant their donation was. And, send a personal thank you note for that.
• Ever since digital media made a huge impact on our lives, sending physical letters and cards seems to have become a thing of the past. But a personalized, handwritten Thank you card or a letter has a more lasting impact on an individual. So, you can send personalized Thank you cards to your donors on Thanksgiving to acknowledge their contributions.
• Thanksgiving is a good time to acknowledge the efforts of your volunteers as well. Some ideas for this are sending them discount coupons, gift vouchers, etc.
• Another idea is to celebrate Thanksgiving with your donors, volunteers and all is by throwing a party! You could think of a virtual party over a Zoom meeting. Usually, nonprofits organize parties for fundraising purposes but hosting a party to thank the donors will make them feel really special.
• You can also thank your donors on social media. Different social media channels have a large user base. So, acknowledging donors on social media platforms means giving them a shout-out in a public forum and this can be really exciting for them.

Close on the heels of Thanksgiving is Giving Tuesday which falls on the Tuesday after Thanksgiving.

Giving Tuesday came into existence in 2012 when 92nd Street Y and the United Nations Foundation came together and decided to specify a day to celebrate the generosity of Giving, a great American Tradition.

Giving Tuesday is celebrated each year to encourage individuals, families, corporates, institutions, schools, etc. to donate to the less privileged members of society. Giving Tuesday is celebrated with great gusto when donations are made not only in the form of funds but also in other ways. For instance, blood donation drives, donating food from homes to local pantries, and more.

It comes as no surprise then that it is this part of the year when maximum donations are received by nonprofits. Data reveals that 25% or more of the annual giving in the US takes place during the last 3 months of the year! (Source: https://donorbox.org/nonprofit-blog/thanksgiving-fundraising-ideas/)

So, now that it is that time of the year when people are motivated to give, nonprofits can create fundraisers where donors can easily donate.

Here are 10 Simple but Powerful Thanksgiving Fundraising Ideas:

1. Organize a Thanksgiving Themed Giveaway on Social Media

Create a buzz on social media and encourage donors to give with a giveaway. You can partner with a local business and offer a gift card or discount coupon for every donation made. This is a win-win situation for all parties. The nonprofit encourages donors and is likely to receive more donations. The donors receive something in exchange for the donations they make. And, the business sponsoring the gift voucher, etc. gets an opportunity to reach a wider audience and foster partnerships.

2. Giving Tuesday

This is a day to celebrate the generosity of Americans. You will not want to miss out on this opportunity to raise funds for your nonprofit.

Make sure that your website loads quickly and offers a seamless user experience on both desktop and mobile devices.

Ensure that the website is easy to navigate and the donation buttons are easy to locate.

Offer an exclusive Giving Tuesday donation button on your website.

Facilitate online donations through simple and secure methods like text-to-give/donate, scan to give, etc.

Send regular emails just before Giving Tuesday to your subscribers to let them know what you are planning for the day and how they can participate.

Create urgency for donating. Specify a deadline within which donors need to contribute to a specific charity.

3. Host a Thanksgiving Raffle

Thanksgiving is a time for fun and celebrations and off-course giving. You can hold online raffles and give exciting rewards to the winners such as an exotic holiday to a tropical island, etc.

4. Organize Thanksgiving Marathon

Host a 5k or 10k marathon to raise funds during Thanksgiving. Integrate crowdfunding and peer-to-peer fundraising into this. Ask the participants to collect donations for the event through their peer-to-peer fundraising pages. This will not only increase participation but also the funds generated.

5. Host a Thanksgiving Themed Bake Sale

Depending on the circumstances and the number of donors, you can decide on a physical or a virtual thanksgiving themed bake sale.

Here’s how it works:

• Make a list of Thanksgiving favorites like apple pie or pumpkin treats, etc.
• Onboard bakers who can bake Thanksgiving treats. Get the bakers to commit to baking specific treats and the number of items they will prepare.
• Create a dedicated page on your website that includes a list of items with relevant images, prices, and donation links.
• Promote the page on social media and direct your audience to the above page. Once the donor chooses specific items from the list, send the order details to the baker.
• The baker delivers the ordered items to the donor.

6. Thanksgiving Gift Baskets

Thanksgiving is all about gifting and gift baskets are a popular choice for gifts. Create gift baskets with assorted items. Make different baskets in different price ranges to suit varying budgets. You can sell these baskets to donors.

7. Thanksgiving Pumpkin Sale

Pumpkins are akin to Thanksgiving. So, host a thanksgiving pumpkin sale by buying pumpkins wholesale from the local market or other sources. Sell pumpkins at a higher price at a farmer’s market or set up your own Thanksgiving-themed marketing outlet.

8. Offer Services

You can volunteer to give services in exchange for donations. For instance, yards get messy in the fall and it takes a lot of time and effort to get them cleaned. You can offer yard cleanup to your donors in exchange for donations.

9. Thanksgiving Party

Everyone loves parties! Host a physical/virtual party for donors and volunteers. Charge an entry fee for the party and use the money for charity. Donors will be excited to attend the party and they will willingly pay the entry fee if they know it is for supporting a cause.

10. Thanksgiving Gifting

Partner with different local businesses that offer products relevant to Thanksgiving. Create a catalog of these products. You can also offer services such as yard cleanup, etc. in the catalog. Make an attractive catalog and share it on social media and other online channels. You can raise funds when donors purchase these products/services.

These are some ideas for raising funds during Thanksgiving. You can don your thinking hats and think of some out-of-the-box ideas to make Thanksgiving special for your donors!

2020 and 2021 have been turbulent years for people across the globe. The pandemic has taken its toll on businesses and economies worldwide. The non-profit sector also felt the heat of the disturbing times. Fundraising strategies for nonprofits needed to be changed. Virtual events replaced in-person events. And, nonprofits were forced to take a digital route as far as fundraising was concerned.

Responsive website designs, online donations, mobile giving, were some methods that became popular for donating to charities. Different fundraising strategies adopted by nonprofits bore mixed results.

Here’s a look at some of them:

The FEP released its findings for the trend in Giving in 2020 and 2021. (Source: https://www.thenonprofittimes.com/donors/study-first-quarter-2021-fundraising-beat-2020/)

According to their report:

• Giving in the first quarter of 2021 grew over that in 2020 by 6%.
• The number of donors in the first quarter of 2021 grew by 10% over 2020 and the donor retention rate grew by 13.6% in the same period.
• However, it is important to note that not all nonprofits experienced this increase in the number of donors, or the funds raised. The funds raised by charities associated with religious organizations and Human Services experienced an increase while most other charities were not so fortunate.

We do not know exactly how long the pandemic will last or how much it is going to impact the nonprofit sector. But nonprofits can leverage these insights to plan their fundraising for the future.

Now, when 2022 is just around the corner, it is time that nonprofits pulled up their socks and planned their fundraising for the coming year!

Looking at the current scenario, virtual fundraising seems to be an effective means in the near future!

Here are 8 Powerful Virtual Fundraising Ideas for Nonprofits:

1. Online Donations

Facilitating online donations for donors is no longer a choice but a must for nonprofits. Data reveals that online donations increased by 23% last year over 15% off the previous year. (Source: https://doublethedonation.com/tips/matching-grant-resources/nonprofit-fundraising-statistics/) Hence nonprofits must ensure that they provide easy and simple online methods for donations. Especially in the current scenario when it is difficult for donors to visit specific locations to donate, online donations are necessary to enable donors to contribute.

If donors can relate to a nonprofit and wish to support its cause then online donations make it easy for them to contribute to the charity from any part of the world.

Online donations can be made through the website of the nonprofit. The website should be easy to navigate and the donation page and donation button must be clear and easy to access. Online donations can also be facilitated through the social media pages of the nonprofit.

Non-profits can also offer other means of online donations to make it easy for donors to contribute.

2. Online Auctions

Charity auctions have been an extremely popular means of fundraising among donors for years. However, in-person auctions had to be stopped in 2020 because of the COVID 19 restrictions. However, many nonprofits have switched to a virtual mode of holding charity auctions. In an online auction, the bidders can view the products on which bids are to be placed online. They can place their bids anonymously. They will get an alert when a higher bid is placed. They can raise their bids as and when they desire. The time limit for the auction is indicated by the nonprofit and all bids need to be sent within the deadline specified. The winning bids are announced in a virtual event where all bidders are present.

The benefits of online auctions to nonprofits are that they cut down on several expenses such as venue costs, hosting costs, transportation costs, etc. Besides, they save on the time, effort, and manpower required for hosting the online event. Nonprofits can also reach a wide audience easily online. People across the globe can participate in an online auction.

The participants of the auction enjoy the benefit of placing the bids from the comfort of their homes at a time of their convenience.

However, hosting a successful auction requires an event management platform to facilitate it. The software available for hosting such events can be expensive. Therefore the cost of the platform must be budgeted for while organizing an online auction.

3. Virtual Events

Virtual events have become the alternative to in-person events when the pandemic has forced us all indoors. Nonprofits have created innovative virtual events to attract donors for their fundraisers.

Virtual events are facilitated through Zoom calls, webinars, Facebook Live, or Instagram Live events. In the past year, we have seen how these types of events have been successful in attracting a wide audience.

However, virtual events do not provide an opportunity for physical interaction for the audience. Therefore, it becomes challenging for nonprofits to host virtual events that engage their audience for the entire duration of the event.

Nonprofits have offered different ways of engaging their audience through break room chats, Q&As, etc.

Some of the virtual events hosted by nonprofits include online concerts, digital movie nights, virtual races, and more.

4. Text-to-Give/ Text-to-Donate

Text-to-give and text-to-donate have become extremely popular methods of donation in recent times because of the convenience they offer.

Text-to-give is a method of donating where the donor is required to message a keyword to a shortcode. The amount donated is charged in the cellphone bill of the donor and the mobile service provider remits the amount to the nonprofit.

Text-to-donate is a little different from text to give. In text-to-donate, the donor messages the keyword to a shortcode. He is directed to the registration form of the nonprofit where he furnishes his details and donates the amount directly to the nonprofit.

Text-to-give and text-to-donate are convenient for both donors and nonprofits.

5. Scan to Give

Scan to give is another method of donating using the smartphone. In this method, the nonprofit shares a QR code that the donor can scan and donate the amount to a charity. This method is popular because the donor can contribute any amount at any time of his convenience. Scanning a QR code is possible for donors even when they are on the go. It is a safe and secure method of fundraising which is also easy for nonprofits to provide to their donors.

6. Peer to Peer Fundraising

Peer-to-peer fundraising is an effective fundraising strategy for nonprofits. In peer-to-peer fundraising supporters of the nonprofit and other individuals create fundraising pages on behalf of the nonprofit. They share the page in their community, among their friends and network to ask for donations.

7. Social Media Takeover

This is an interesting and effective virtual fundraising strategy. In social media takeover, you can request your corporate partner permission to use their social media accounts for a day.

You can spread the word about your fundraiser on the social media accounts of your partner. Nonprofits can share links to their website, social media pages, their online donation forms, etc. Social media takeover helps increase the visibility of your brand and raises awareness about your cause. It helps you tap into an existing online audience and boosts your reach.

8. Online Raffle

An online raffle is when participants need to purchase raffle tickets. One lucky winner wins the raffle prize. Raffles have been an effective fundraising strategy in the past and online raffles are also effective in raising funds for a cause.

However, the nonprofit needs to clearly communicate the purpose of the fundraiser and the cause that is being supported to attract donors.

This becomes easier by choosing an event hosting platform like iConnectx which facilitates customizing the event with your brand colors and logo besides making it easy for you to tell your brand’s story to your audience.

Most of the online fundraising strategies require software to organize and host fundraisers. There is a myriad of platforms with specific features available for event management. The non-profit must select a platform that meets all its needs. It is recommended to opt for a platform that helps host different types of fundraisers.

iConnectx is a platform that has all the features that facilitate hosting different types of events and fundraisers for nonprofits. This platform is easy to use and has a team to support the installation and maintenance of the platform. This platform also offers tools for marketing and promotion besides facilitating customization with brand colors and logos.

Have you noticed a black and white patchwork of squares at stores, supermarkets, for online transactions, and more?

These are QR codes. They have been around for some time now, but the pandemic has propelled their widespread usage since 2020!

The reason for this is the pandemic forcing the use of contactless methods for transactions. QR codes have served as an excellent means for making contactless payments.

What are QR codes?

A QR code is a two-dimensional bar code image. When it is scanned using a smartphone or a tablet it can open the link to a website, send SMS messages, emails, or dial a phone number. QR codes or Quick Response codes were envisaged as a replacement for bar codes that were traditionally used on products for payment. QR codes carry a lot more data compared to bar codes. They can be easily read, and they simplify the manufacturing and distribution process.

Smartphone owners can scan QR codes by first downloading a QR Code Reader from App Store/ Gallery. Scanning the QR code entails taking a photograph of the code with the smartphone.

Because of the data that can be embedded in a QR code, it offers infinite possibilities to users.

When a QR code is scanned:

• It can open a web page.
• Log into a website
• Display multimedia content
• Provide data to user’s device
• Compose email or text message
• Download apps, and more.

These possibilities have made QR codes extremely popular among retailers and other agencies. And nonprofits are also using QR codes for facilitating donations.

In the last few years, there has been a surge in the number of mobile users worldwide. And nonprofits need to provide responsive websites that can be accessed through smartphones. There has also been a marked increase in mobile giving because of the convenience they offer. Data reveals that half of the website traffic for nonprofits in 2020 was from mobile and tablet users. Offering a QR code to donors is the next step that nonprofits can take to make it easier for donors to contribute to charities.

If you are wondering “How can my charity start using QR codes?” here’s how:

• First of all, you must ensure that your website can be accessed on mobile and tablets. This is because QR codes are designed to be used on smartphones and not on desktops.
• Generate a QR code with the help of a QR code generator. There are several free options available online for generating QR codes. You can also consider paid or subscription versions for greater flexibility. Paid versions offer customization with the brand colors, logo, etc., you can also integrate data analytics to the code, and more.
• Link the QR code to web pages designed for mobile browsing. Make sure the QR code is linked to the Donate Now or Text-to-Give-Now pages.
• It is recommended that you link the QR code to the mobile version of your social networking sites.
• Donors can scan the QR Code from their smartphones. They will be directed to a mobile web browser to view the link in the QR code. Alternatively, they can be sent a text message or a prompt to dial a number.
• QR codes work perfectly for location-based fundraising campaigns.

QR codes can be used in a myriad of ways by nonprofits.

Before you start integrating QR codes into your nonprofit, here are some points to consider:

• Do not use QR code just because it is popular or for the sake of using it. Make sure that the QR code is used for a specific purpose.
• Ensure that scanning the QR code is beneficial for the donor as well.
• Define where the QR code will direct users and ensure that you create the QR code accordingly.
• Test the QR code that is easy to scan and directs users as intended before sharing it.

Check out these areas of application of QR codes:

Tell Your Brand’s Story: A nonprofit can share its mission with its audience by linking the QR code to pictures, videos, and testimonials, etc.

Easy Donations: Linking the QR code to the donation page of the website leads the users to the form where they can donate directly.

Provide Transparency to Donors: Donors like to know how and where their funds are being used. QR codes at the point of donation offer donors a clear view of where their donations are sent.

Resolve Queries: QR codes can direct users to the frequently asked questions page where their queries can get resolved.

Fundraising Appeals: You can use the QR code in fundraising appeals to make it easy to donate.

Fundraising Events: At fundraising events, you can get your donors to participate by scanning the QR code for registration. You can also display the QR code on banners, etc.

Billboards and Flyers: If you are promoting your nonprofit by advertising on billboards or distributing flyers, it is a good idea to include QR codes on billboards and flyers.

Donation Boxes and Buckets: By adding a QR code to donation boxes or buckets, you encourage donors to contribute even if they are not carrying cash. QR codes offer an easy option to scan and give. QR codes can also be placed in different areas within the nonprofit to encourage donors.

Embed QR codes on Partners’ Websites: Many nonprofits partner with the fundraising organizations. You can embed a QR code on the partner website and offer an easy way for their clients, employees, etc., to make donations.

Share on Email Newsletters: You can share QR codes in email newsletters helping donors scan and make donations via emails in their inboxes.

Analyze Donations: QR codes can also be used to study donation trends from different locations. You can assign a different QR code to different locations and check out the number of funds raised from specific locations. These insights will help you optimize your fundraising campaigns.

Boost Future Donations: QR codes capture GSPR compliant data from each donor. You can leverage this data to re-market to these donors for future campaigns.

Besides these, there are umpteen other possibilities of using QR codes by nonprofits. This is why there is an increase in the “scan to give” campaigns of nonprofits.

How do QR codes facilitate scan to give?

QR codes link to different payment options facilitating scan to give.

Donate through Paypal: After scanning the QR code, the donor can confirm donation by entering their Paypal username and password.

Donate using Credit Card: The donor will need to provide his credit card details after scanning the QR code.

Text-to-give using QR code: The donor charges the amount donated to his cellphone account after scanning the QR code.

Supports both Cash and In-kind Donations: This option is more popular among corporates who want to donate. After scanning the QR code, the business can donate either cash or products to the nonprofit.

QR codes offer infinite options to nonprofits for increasing the visibility of the brand, fundraising, and more. Besides, they are easy to integrate and offer a safe and contactless method of fundraising. They also help increase the reach of the nonprofit. Donors across the globe can easily scan the code and contribute to different charities.

If you have not yet explored the infinite possibilities offered by QR codes, it is time to give it a serious thought! Because if you offer your donors the option to scan and give, you are likely to attract more donors and raise more funds!

Nonprofits raise funds by receiving donations from individuals and corporate donors. If a donor is considering a contribution to a charity, he would like to ascertain that the nonprofit is authentic, and donations are being used as intended. Therefore, the nonprofit needs to evoke that trust among the donors.

Donors usually trust nonprofits that follow all the legalities and adhere to the rules set by the state and federal governments. Besides, if donating to nonprofits also offers tax benefits to donors, they are more inclined to contribute to the nonprofit.

Nonprofits that are legal and adhere to all the rules are considered 501(c)(3) nonprofits.

Nonprofits can accept donations according to the rules set forth by the IRS(Internal Revenue System) and the state where the nonprofit is established. Nonprofits can adhere to these rules and provide a system where donors get tax benefits while the nonprofits get the funds. It is recommended that nonprofits comply with all the laws that govern them to accept donations.

Donations to 501(c)(3) nonprofits are exempt from federal income tax under section 501(c)(3) of the US tax code. To qualify as a 501(c)(3) nonprofit, the source for the major chunk of the revenue must be public donations.

What are the Rules for Nonprofits to Accept Donations?

• Gifts Must be for Nonprofit Purposes

A gift is something given without any compensation in return. However, if a donation is to a legitimate charity, the donor can get a tax rebate.

• Gift Must be for a Valid Charitable Purpose

The IRS defines charities for religious, scientific, or community benefit as legitimate charities. A nonprofit can qualify to accept 501(c)(3) donations only if the contributions it receives are for religious, scientific, literary, or community benefits. Nonprofits that work towards the prevention of cruelty to women, children, or animals also qualify as 501(c)(3) nonprofits.

• Gifts are Different from Unrelated Business Income

Unrelated business income is considered a business income rather than a gift or donation.

According to the tax code, an Unrelated Business Income is defined by the following rules:

• If the transaction is a trade or business.
• The income is ongoing and regular.
• If the income generated is not aligned with the charitable purpose of the nonprofit.

The intent of your business and the methods used for generating revenue for the charity are key factors that determine whether it is an unrelated business income or not.

• Nonprofits Must Provide Written Acknowledgement for the Donations

All donations of $250 and above must be given a written acknowledgment to qualify as a gift and be deductible under the Internal Revenue Code.

The written acknowledgment must include:

• Name of the nonprofit.
• Amount donated/worth of goods donated.
• A statement of goods/services received in return for the donation.

Providing an acknowledgment for the donations received helps build trust among the donors. Besides it also helps donors claim tax benefits for their contribution to the charity.

All these rules are applicable for a nonprofit to qualify as a 501(c)(3) nonprofit. One may wonder if 501(c)(3) is a must or can a nonprofit accept donations without 501(c)(3)?

A nonprofit need not adhere to the 501(c)(3) rules for establishing itself. However, 501(c)(3) is important for donors. This is because when donors contribute to a 501(c)(3) nonprofit, they get a tax deduction for the donation. Besides, donors trust nonprofits with 501(c)(3) and deem them to be legitimate. Therefore, a 501(c)(3) nonprofit attracts more donors and retains donors as well.

There are several ways in which nonprofits receive donations. In recent years, online donations have become a preferred mode of donation for nonprofits.

Online Donations-An Overview

Online donations are when a non-profit raises funds through the internet. This is usually done through an online donation page of the nonprofit. Online giving has become a preferred mode of donations among donors because it offers convenience, speed, and a secure mode of payment. Besides, it facilitates fundraising through any location across the globe. Data reveals that online revenue increased by 23% in the last year. (Source: https://doublethedonation.com/tips/matching-grant-resources/nonprofit-fundraising-statistics/).

Recurring donations or online monthly giving is also easier with online methods. Online donations also support different fundraising options like mobile giving, peer-to-peer fundraising, etc.

Benefits of Online Donations to Nonprofits:

• Nonprofits can Reach Donors across the Globe

With online donation options, a nonprofit can reach donors at different locations across the globe. As long the donors have internet access and a link to the website of the nonprofit, they can donate at a time of their convenience from anywhere.

• Online Giving Offers Access to Donor Information

Online giving helps nonprofits get details like donor email addresses, billing addresses, and more.

• Less Expensive than Other Methods

The cost of setting up the payment page and associated costs of maintaining it is minimal compared to all other types of donations.

• Increases Visibility of the Website

Online donations increase the exposure of your website on the internet and drive more traffic to your website.

How Online Donations are Beneficial for Donors?

• Convenient

The internet is easily available to nearly everyone. As long as the donors can access the internet, all they need is a link to your website to make donations. They can make donations at any time convenient to them.

• Secure Method of Donation

While contributing to a nonprofit, donors need to provide details about their identity and credit card details, etc. It can prove to be quite risky if this information falls into the wrong hands and is misused. However, online methods use security measures like PCI compliance, encryption, and more to ensure that the data is safe and secure.

• Recurring Donations are Easy

Before the online donations, recurring donations were made through physical cheques sent monthly to nonprofits. However, online donations can be automated and monthly payments scheduled. Due to this reason, recurring online giving has become extremely popular, and online revenue has increased by 40% in the past year. (Source: https://doublethedonation.com/tips/matching-grant-resources/nonprofit-fundraising-statistics/)

The growing popularity of online giving has made online giving a must for 501(c)(3) nonprofits. Online donations are technology-driven and require a suitable platform to facilitate them.

There are several online tools available to set up a donation page online. Each tool has its specific set of features. A nonprofit organization needs to use the right technology to get more donations. The choice of technology will depend on the purpose of the nonprofit and the fundraising methods it uses.

Factors to Consider while Selecting a Tool for Online Donations:

• Price of the Tool: The cost of each tool varies. It is recommended that you stick to your budget, as far as possible, while selecting an online tool. However, make sure that the tool meets all the needs of the nonprofit.
• Ask your Donors: It is a good idea to take your donors into confidence and ask them which online tool they prefer. You can shortlist different online tools and survey to find out the preference of your donors and use this input to narrow down your search.
• Existing Technologies of the Nonprofit: In the tech age, your nonprofit must be using some technologies to support certain functions. It is recommended that you select an online donation tool that is aligned with the technologies currently in use. This will facilitate seamless integration of the tool.
• What do your Leaders say? In most cases, the leaders of the nonprofit are the final decision-makers. Hence, it is relevant that you consider the thoughts of your leaders regarding the selection of the tool before concluding.
• Setting up and Maintenance: An online tool may have all the features but may be difficult to set up or expensive/complicated to maintain. It is recommended that you select a tool that you can set up and maintain easily.
• Support: Check with the company providing the tool, whether they offer any kind of support for setting up and maintaining it. Some providers even train the internal teams of the nonprofit regarding the setup, running, and maintenance of the tool. Make sure that the online tool provider offers the kind of support you require for your nonprofit.

One of the best tools for online donations is iConnectx. This platform is customized for nonprofits and offers a host of features to support different fundraising methods. This software is reliable and easy to use. It offers all the features for end-to-end management for online donations.

If you are looking for the best online tool for your nonprofit, connect with the team at iConnectx!

It’s no wonder that fundraisers are looking for methods to make their labor more efficient. Every day, as a fundraiser, you wake up and strive to enlist more people to your cause. With just so many hours in the day and a seemingly endless need for funding for your cause, it’s easy to feel overwhelmed in the face of the world’s most pressing social issues.

Donor management software allows companies to centralize and manage all of their donor information. It’s geared at nonprofits, but it can be used for any type of fundraising, including schools, churches, and political groups.

What is a Donor Management Software?

Donor management software is a form of nonprofit software that facilitates understanding the donors which in turn maximizes donor relationships. The program organizes donor data, recognizes donor patterns, and provides recommendations to enhance the chance of obtaining future gifts as a tool for donor relationship management.

Donor management software, as the name implies, helps you to keep track of your contributors and their contributions. Not only can you trace your donations, but you can also discover more about the people who make them. You can save all of this important information in one place using donation software.

Benefits of a Donation Management

Donor Management Software is a single source of information that can be accessed by all members of your organization to gain valuable insights about your donors. It essentially replaces spreadsheets, which may quickly get cluttered and lead to inaccurate or missing data.

Most of your nonprofit’s admin activities can be done through the DMS or connected applications. A good DMS eliminates a lot of the manual data entry that is necessary with spreadsheets. Donor management software may also facilitate wealth screening to anticipate which contributors are most likely to contribute larger quantities of money. To also see how contributors are related to one another and to highlight giving behaviors. Donor management software, for example, may track when and how frequently contributors contribute, as well as an estimate when and how much they are likely to give in the future.

Donor management software enhances productivity by categorizing donations by giving levels and handling all donations in one place. All donations coming from different sources such as social media platforms, email campaigns, and charity events are available in DMS.

A donor management system can also assist you in analyzing data about your contributors and developing educated strategies for increasing donor satisfaction and retention. It may be used to build highly personalized communications, allowing you to convey the appropriate message to the appropriate individuals at the appropriate time.

The more information you have on potential, existing, and lapsed donors, the better your DMS will be able to assist your organization. Whether you aim to get new supporters, keep existing ones, or reactivate lapsed contributors, a DMS can help you better understand and interact with each of these groups, thereby increasing the amount of funds raised.

Must-have features of Donation Management Software

It’s important to remember that donation management software and customer relationship management (CRM) software are the same things. There are various donation software and CRM choices to select from, and at first look, they may appear to be quite similar. Small changes and missing features, on the other hand, might have a significant influence on the value you derive from your platform.

Here are 5 Features for Managing Donors that your Platform should Provide:

1. Donor Tracking

All of the vital information about your contributors, volunteers, sponsors, partners, and other supporters will be stored in donor profiles. Because donor data is the bedrock of the platform, it should be simple to access, add, and edit. The following is an example of a typical donor profile:

Name, age, address, phone number, and email address are all examples of contact information.

Donations, volunteer hours, email opens and clicks, and customer service interactions, for example, are all part of the engagement timeline.

Giving history: the date of your first donation, the date of your most recent donation, the average period between gifts, and so on.

Units of a family: Relationships with current, former, and potential donors

Donor segments: Use groups, lists, or tags to categorize contacts.

2. Donor Management

It’s not simple to raise money. It necessitates an awareness of your donors as well as maintaining track of the relevant data that provides you with useful insights. A donor management system may help you keep track of everything from donor giving histories and trends to mailing lists and fundraising campaign statistics by simplifying data management.

Donor management solutions, on the other hand, allow your team to import, edit, and communicate important information with appropriate employees in one central spot! Many solutions enable tracking and updating fundraising schedules, documenting and tracking donor interactions, and even assigning duties to particular team members simple for your fundraising team!

3. Setting Communication Pathways

Most donor management systems enable you to segment your contributors based on a variety of criteria, including interests, demographics, and giving history. You may tailor your messages and make particular fundraising appeals that are more appealing to each donor if you do this.

Donor management software may also help you enhance your overall donor care by being more consistent with your communication, being more precise with your thank-yous. Personalized correspondence demonstrates to your contributors that you care about them, which can only help you raise more money!

4. Online Giving

Fundraising features are included in the finest donation management software. We’re not talking about the types of forms you’d expect to see, such as contribution forms or fundraiser pages. We’re talking about things like “giving potential” scores, gift forecasts, and wealth intelligence, which are all quite important.

They should be able to assist you in determining who is most likely to donate and when. From people who are most likely to become big donors to the projected dollar amount of each donor’s next donation, you may obtain a full picture of your prospective giving and volunteer community.

This aids in the development of your entire fundraising plan, and it’s a game-changer for charities that rely on individual donations rather than sponsors, grants, and government funds.

5. Application Integration

Every donor management platform should allow you to link your existing software tools and optimize your entire operation. These connections allow you to seamlessly integrate all of your favorite platforms and websites, such as accounting software or email marketing software, with your donor software.

6. Identify Trends Amongst Donors

It’s simpler to recognize and follow donation patterns if you have a good understanding of all your donor data. Donor management software might also alert you to fresh giving possibilities that you would not have been aware of otherwise.

Most donation management software includes monitoring and reporting features to make it easier to keep track of everything year after year. The more information you collect, the more powerful the tool becomes for your team!

Choosing the Right Software for Your Nonprofit

Apart from the above essential features, when it comes to choosing software for your nonprofit, you need to consider a few things before finalizing.

• Capacity: Consider the size of your donor list as a starting point for your search. Some are designed to work with multinational corporations. When you’re beginning from scratch, it’s tempting to go for the biggest and finest option. Those added features and complex capabilities, on the other hand, might be intimidating rather than helpful.
• Free Trials: If your present system is very simple, or if segmenting and tagging are completely new to you, a demonstration is especially beneficial. Demonstrations of donor management software are typically the easiest method to see how a product may help your business.
• Cost: If your company can’t afford it, even the best software in the world won’t help. However, remember, that it is an investment for long-term benefits. A good donor management software will save you time, make your communications more efficient and successful, and help you connect with your donors better.

iConnectx is a powerful donation software, that gives you smart insights and can be customized for your nonprofit needs.

Non-profit organizations are working hard to achieve a good world, but it’s tougher to manage. In addition to the basic problems facing any organization, such as adjusting to new technologies and being up to date on accounting and regulatory needs, non-profits confront certain other industry-related obstacles.

This means that the problems of fundraising are more complex than we give them credit for. It cannot be attributed to a single fundraising challenge, but rather to a combination of variables that conspire to hinder your progress.

The nonprofit sector is changing. Prospects and donors change their behavior, their method of communicating, and their way of giving, of course, after some time. The patterns and effects of the contribution received by your organization might affect donations. Thus, issues impacted by trends are the largest and most unpredictable difficulty faced by nonprofits.

Let’s delve into the challenges that Nonprofits may face in future fundraising events:

High Expectation

Each donor wants to participate more in its non-profit cause.

For example, 59.8% of participants wish to know how much total money has been obtained following a fundraising attempt, 44.5% want to know how the collected cash will be utilized (source: https://ciof.org.uk/events-and-training/resources/challenge-events)

This is the problem for your non-profit – to keep contributors informed and hence delighted with tailored communications.

What’s important is to send messages they want to read — ones they expect. To accomplish so, the first step is to determine what type of communications your audience will get. Segmentation, Personalization, Original Content, and SMS are some of the effective solutions.

Increasing Competition

Nonprofit organizations must compete to attract funders’ attention and valuable hours of volunteer work.

Worse, grants and government money are being split among the qualified groups, resulting in less funding for each.

Non-profits must make extreme efforts to raise funds to match the competition. They expand the number, variety, and size of fundraising activities, as well as the amount of money they seek for.

The effects are not good news at all. An increased attempt to raise funds also leads to a rise in overhead expenditures. And, when contributors shift their support to other charities, you must actively engage in retention measures to keep them loyal.

Working actively on the retention of donors and the image of brands is without question fantastic ideas that maintain the attention of supporters.

However, revisiting your mission and vision statements is a simple approach to differentiate your organization. Make it as concrete as possible. It will assist you in reaching donors who are purely motivated by the cause. It will also help you distinguish yourself from other organizations that appear to be in the same field.

Election Cycle

Donors contributed 0,9% more to charity organizations in 2012 than they had previously given to the federal political campaigns. Donors that failed to provide political actions, on the other hand, lowered their donations to charity by 2.1% that year (source: https://institute.blackbaud.com/wp-content/uploads/2016/10/GIEY.pdf)

Although this trend is encouraging and works directly for you, you have to consider one aspect. Party members have a tremendous impact on donor behavior.

Partisan donors donate less to non-profits when the majority is not. So, even if a prospective contributor is ready to donate to your cause, he will give far less than he would if his party were in power.

Communication Barriers

Communication Hurdles are the primary struggle for many social purpose organizations. For example, many small and medium-sized organizations, together with a compelling issue description and solution, address the challenge in building strategic pitch decks.

While the majority of organizations, together with their communities, enable transformational projects, effective storytelling is tough to work out. Complex bids for grants are frequently often not available to organizations.

Moreover, we discovered that organizations, perhaps because leadership and/or contributors do not grasp the benefits that brand buildings have, are in general not able to or reluctant to expend on marketing and communications.

Lack of Government Funding

Many non-profit groups rely on the government’s help. It might be in the form of grants or a complementary arrangement or it can simply be a safety net in place to cover the gap in cases of shortages of funding.

Reducing national and municipal budgets implies that fewer are necessary. Most non-profits get less than they desire or need, while some do not have any financing.

Not Running it Like a Business

With so much attention on performance, your charity may find it difficult to remember that it is still a company with a bottom line that must be in the black. Non-profits typically place their social impact targets at the forefront and their corporate targets at the forefront, until there is enough to conceal what is going on.

Cost and social effect must be matched so that all efforts achieve genuine outcomes. You should utilize the proper tools to make sure your mission never loses track of its capacity/reach. This will make your employees and processes more flexible, adaptive, and ready to handle changing situations within the constraints of your resources.

Political and Social Unrest

2021 has been a tough year in terms of the political environment. Community involvement is critical for developing strong ties with people of the community and increasing support for your nonprofit’s purpose. It has become more difficult to engage with community members without community activities or athletic contests.

Non-profit organizations must find new methods to stay engaged. This gets more difficult when the country is experiencing severe political upheaval. Committing across various groups is often a failure due to strong personal opinions that lead to political and social disorder.

Fundraising in Post-Covid World

Event fundraising is important to many non-profits, and the forced pause that we’ve seen across the board has had a direct impact on donations. Social distance is expected to take place in a post-COVID environment, such that conventional financing for events may not have been typical for a long time.

Non-profit concerned that this funding gap will not be created and will leave a significant hole in financial projections. But that doesn’t always imply you need to cancel all your fundraising drivers, even if you cannot hold in-person events.

Online funding is a precedent that began before the COVID crisis. It is useful to continue using technologies that require individuals not to be in close physical touch. You will adjust your funding efforts to the new reality if you can take some of your fundraising drives virtually, such as generating money by way of online auctions or offering seminars.

These are times that have never happened before and we all learn as we walk. Successful demands for nonprofits must be integrated into a broader statement of mutual support, empathy, and solidarity in the following weeks and months.

And this must not be a transitory approach: Since nonprofits are dealing with ever-increasing personal loss and hardship, they can no longer continue business as usual.

The connection between supporters and supporters will become more and more dangerous. We will all need assistance, and we will all have to do everything we can to aid others.

How Can iConnectx Help You?

Our non-profit solutions allow you to get the finest possible fundraiser tools to help your teams do more: make a good contribution worldwide.

iConnectx is for people who desire not too expensive event software, however, it has all the capabilities needed to best advertise events and sell tickets. The platform is nicely built and is excellent for companies that desire considerable expansion and scalability.

Connect with the IConnectX team to get started with your online fundraising auction.

Raising money to support goals is a process that never stops in nonprofits. There is always an ongoing drive to attract new contributors while preserving connections. Both involve considerable work, attention, and a little planning. One of the toughest tasks at hand for non-profit professionals is to discover sources of income and choose the proper fundraising strategy for their organization. It is not simple to decide on the correct approach to nonprofit funding.

In a competitive world, it is necessary to know where your donations come from. Individual donors to major donor corporations, all are donation types that a nonprofit business can receive.

Here we look at types of donations, how nonprofits get donations and what to say when asking for donations.

Types of donations?

Broadly we can categorize donation types based on individual or corporations or foundations.

Individual Donors

Individual donors can be people with a steady income or super-rich people. They donate majorly because they feel for the cause and want to support it. The type of donations they make can be either an online donation, mobile donation, monthly donations, pledges, or goods. Depending upon the donations made, you can categorize your individual donors into:

Major Donors

Sometimes, you have donations that give you a large influx of cash and it gets your project started. These types of donors may not be regular or consistent but provide a great monetary donation to your organization. You should have a plan at hand to attract these types of donors as they are good to have on your donor lists.

Regular Donors

As the name suggests, regular donors give frequent donations in small amounts. They are a steady source of income for nonprofits. They also make a large majority of the donor base, therefore having good donor acquisition and retention strategies is a must. Regular donors can be monthly or quarterly or yearly. Regardless, they are necessary for sustaining nonprofits.

Pledges

Pledges are nonprofit contributions, to be made over several months or years by individuals. They are used by individuals who wish to contribute a significant amount of money, but who cannot pay the whole amount in one payment. Rather, over time, these supporters provide an organization the money. Pledges are like monthly or repeated donations, but the distinction lies in the non-profit communication.

Offer services

There are individuals who cannot give monetary donations but like to offer their skills to give something to the organization. They can offer services like website development, marketing, and advertising, graphic designing, teaching, etc. These are also valuable to a nonprofit, especially if it’s a new nonprofit.

Volunteers

Many individuals certainly do not regard volunteer time as a kind of donation. It is difficult to perceive them not as donors of any kind, when you think of the time and effort numerous volunteers are giving to organizations. Volunteers can donate financially too, or they can give their time and efforts. However, if you compute the kind of donations that your organization receives, your organization should not count out volunteers.

Corporate Donors

A corporate endorsement may be an outstanding source of charity financing. In general, companies are willing to partner in programs aimed at improving the charitable image or at becoming a socially responsible business. CSR is more essential than ever because customers are more inclined to buy from socially responsible firms. Different companies will have different schemes for contributing – some of which may work for your company.

Many corporations provide grants to qualifying nonprofits, both locally and internationally. The application procedure frequently takes time, but these company subsidies might be worthwhile. Firms that do not want to provide money to a nonprofit organization might give some type of in-kind gifts. In-kind gifts are time, service, or commodities contributions that a corporation may deliver. Articles for charity auctions are another example of typical in-kind contributions. Local companies or people give goods that are offered by auction participants.

Foundations

Donations given by any foundation will fall under this category. Different foundations offer different types of donations. Largely, they give a mixture of monetary and in-kind donations.

A community foundation gives grants to nonprofits located in their geographic area. The most common causes to give funds to are research, scholarships, buildings and renovations, endowments, and annual funds. These types of foundations pool resources to give the grants. On the other hand, in private foundations, the money comes from one single source. The most famous example is the Bill and Melinda Gates Foundation. They either give to one particular nonprofit or distribute their donations to a broad range of nonprofits.

The 7 Types of Donors

So far we have looked at the kind of donations made to nonprofits, here we look into the types of donors. Behind every donation, be it corporate or foundations, there is an individual involved. In 1974, Russ Alan Prince and Karen Maru File wrote a book titled The Seven Faces of Philanthropy. The book is a must-read for nonprofits to understand donor psychology and improve communications strategies. Depending upon the donor type, you can engage with them accordingly and not use one shoe fits all.

1. The Altruist:

They are the type you want to always have as a recurring or major donor. The altruists donate because they genuinely care for your cause and doing good. Recognition or credits are things they do not care about. “Do the Right Thing” is more than just a slogan, they truly believe in it.

2. Dynast:

It’s about legacy for them. Donation is in their blood and is more about carrying out the tradition. It’s a family thing. You should care more about the history than the person donating.

3. Devout:

A devout donor donates because of their strong belief in a group or cause and the desire to fit in with fellow devotees. Acknowledging their devotion and having an engaging communication strategy is a good way to go.

4. Repayer:

It’s about giving back and returning the favor. This type of donor feels a sense of responsibility or obligation towards those who have helped them get where they are. Gratitude is their language, so focus on messaging how you will give the outcomes they desire.

5. Investor:

A donation is a mere number and a business move. What are the tax benefits? Or Will it be good for business? are commonly asked questions. And it’s fine! A direct approach and a list of how a donation will benefit them should be handy.

6. Communitarian:

It is about the community. Whether based on location, race, gender, ethnicity, or culture, it is all about empowering the community. A good approach is to explain how their donation will uplift the community.

7. Socialite:

Lights, camera, and action! They want credit and recognition for the donations they give. They show up to galas and fundraisers to make their presence known. They also bring their friends, which means more donations for the cause. The best way to appreciate them is to be thankful publicly and mention their donations.

As mentioned there is not one single reason why people donate to nonprofits. There are plenty! Regardless, it is important to remember that nonprofits can reach their donor base only when there is a proper communication setup. If there isn’t constant engagement from the organization’s side then donors will deviate their donations to other nonprofits who appreciate their monetary gift. You shouldn’t take your donors for granted. Instead of always wondering what to say when asking for a donation, you should prepare a 2 min elevator pitch. If it interests them they will ask more or even get convinced in those 2 mins.

You should always ensure that you have a strategy when it comes to acquiring funding for your company. Invest in donor contacts, whether they be private people, foundations, businesses, or government funding agencies. It takes time to build and cultivate these relationships. All types of support should be respected.

Build and manage your own fundraisers. Don’t stop at collecting donations, add in auctions, events with tickets, even donated time sold to support your fundraiser!

Last year has soared to be a year of adjustments, and for nonprofits as well. One of the most obvious ways? Fundraising! Nonprofits are now shifting their fundraising strategy towards virtual and online fundraising instead of traditional fundraising.

If your nonprofit is shifting towards online fundraising platforms, you need the right fundraising platform for nonprofits to succeed.

That means finding the right tool that is best for your nonprofit. To make your online fundraising easier, we have listed the online fundraising way that we think might be a good fit for your nonprofit to raise funds.

We have simplified the online donation process for individuals to raise funds for charities of any level. Individuals are required to visit the homepage and browse the nonprofit they select to donate. Click on the Donate button and enter donating amount and other details to complete the process with or without registering on the platform.

An online auction is one of the most engaging fundraising ways where a bidder competes with other bidders by setting increasingly higher bidding amount on a web or mobile-based platform. Online auctions have made the world a smaller place by allowing bidders from any part of the world to participate in an auction. It has opened the door for both nonprofits and participants. Online auctions are also popular among nonprofits for fundraising because they enable charities to reach a wider audience across the globe without any time limit.

Text Giving is a monetary donation process using mobile device texting function. Text giving simplifies the donating process to happen anytime and anywhere within a few clicks. The text-to-give process enables nonprofits of all sizes to make it easier for their supporters to donate by providing modern & trending methods to help them increase fundraising.

Ticketed events are in many ways a combination of events and fundraisers. They allow nonprofits to sell tickets to an event you may be having, such as a gala, a concert, or a screening.

Like events, ticketed events have dates and times, optional locations and maps, a discussion board where purchasers and the host can keep in contact with each other, automatic 24-hour reminders, and the like.

What do the donors want?

• Information about the nonprofit before they donate.
• They want simple and secure donation methods.
• They want to feel a part of a charity initiative.
• There are some who also want their act of philanthropy to be in the public eye.

Fundraising platforms are the best solution for nonprofits to cope with the ever-changing demands of the audience.

An online fundraising platform offers a central source to manage different aspects of online fundraising. It helps manage multiple donors, organize campaigns, offer forms, facilitate credit card donations and many more.

This is a brief overview of how you can choose the best online fundraising platform for your nonprofit.

One of the best fundraising platforms for a nonprofit is iConnectX. This platform has all the features to support end-to-end event management, secure donations, forms, etc. iConnectX is a platform that has a long history in the field of philanthropy. It has been a part of several nonprofit initiatives over the years supporting both offline and online nonprofit events. The proven track record of iConnectX makes it an ideal fundraising platform for nonprofits. This platform supports a myriad of online fundraising strategies such as online auctions, crowdfunding, and many more.

iConnectX is a platform that has evolved over the years adapting to changing circumstances adopting innovative technologies. It has kept pace with technology to ensure that it offers its users the best experience while participating in philanthropic activities. It is a technologically advanced platform with regular updates to offer users the best features.

Solicit Donations and More!

Set up and manage your fundraiser on iConnectX. Tell your story, add pictures, set your goal, and start collecting. To make more of an impact, add in auction items, event tickets, and iBridges (donated time).

Promote your fundraiser in the iConnectX Marketplace as well as on your social pages and in emails to your colleagues.

Features

• Easy set up
• Set up a fundraiser for your nonprofit or select from one of the 1.7 Million IRS approved 501c organizations
• Have your members or sponsors set up fundraisers on your behalf
• Tell your story
• Add a picture
• Set a goal
• Add auction items, events with tickets and iBridges
• Promote your fundraiser in the iConnectX Marketplace, available to the community on browsers and in the mobile app
• Funds collected are sent to your nonprofit weekly