Blackbaud in the News: Recovering the Urge to Give

From the February issue of ASSOCIATIONS NOW:

This year could be one of the roughest for giving in recent memory. In January the Center on Philanthropy at Indiana University reported that its Philanthropic Giving Index, which measures confidence in the fundraising climate, dropped 22 percent in the prior six months, hitting its lowest level in more than a decade. That news comes in the wake of a weak close to 2008. A survey conducted by the Association of Fundraising Professionals notes that during last year’s holiday season, 53.3 percent of the survey’s 347 respondents (culled from AFP’s membership) raised less money in late 2008 than they had in 2007. That’s a big change: The association’s 2007 survey reported that only 26.3 percent of respondents were having a down year.

The recent dip in confidence echoes a broader downturn for nonprofits, whose revenues have declined 8.1 percent in the past three years, according to Cambridge, Massachusetts, research firm Target Analytics. How to ride out all that turbulence? Steve MacLaughlin, director of internet solutions at nonprofit consultancy Blackbaud, Target Analytics’ parent company, argues that online strategies, while only part of the fundraising mix, can help organizations save money and gain some flexibility in a downturn. "Mixing email and direct-mail segments can lower costs," he says. "Online donations, event registrations, and memberships also have a lower cost of fundraising associated with them. Doing things online also allows you to test content or promotions, get feedback a lot sooner, and allows you to adjust things prior to using more expensive channels."

Read more here.