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Why New Fundraising Strategies Are Neccessary

  • Post category:Funding / Fundraising
  • Reading time:3 mins read

The decline of charitable giving in Canada is startling.

Less and less Canadians are donating to charities.

Our post-COVID charitable giving reality necessitates an organization’s ability to diversify their funding strategy in order to offer the array of services their clients and participants depend on to improve their quality of life.

We face challenging times. According to the 2023 Canada Helps Giving Report:
·      Canadians gave charities 5% less in 2020 compared to 2010.
·      40.3% of charities have experienced a lasting increase in demand since the pandemic.
·      57.3% of charities can’t meet their current level of demand.

According to the Fraser Institute’s, Generosity in Canada: The 2023 Generosity Index:

·      Only 17.7% of Canadians donated to charity in 2021. 

As every donor and funder is repeatedly inundated with requests for a gift, charities need a new way forward.

Should charities battle it out for donations from the existing donor pool of donors in Canada or is there a better way?

According to Stats Canada:
·      Just over one-third (34%) of seniors claimed a charitable donation on their tax form in 2021.
·      Only 3% of those aged 24 and under donated but had the highest participation rate as volunteers.

Having pastored a church for nearly 30 years, where the average age was under 30 years of age, and where nearly every member and adherent gave significantly more than the national average, I know young people will give to a cause they believe in. 

I’ve realized that charities must:
·      Clearly and concisely articulate the need for the gift in a way that resonates with the donor.
·      Consistently broaden their donor base.
·      Communicate in ways that existing donors recognize, and new donors understand – which means print, email, social media and most importantly, in person.
·      Appreciate each donation and the sacrifice every donor is making.

Given that the highest participation rate of volunteers comes from those 24 and under, there is an opportunity to invite younger people to partner with your charity while they volunteer. Given they believed in your cause enough to donate their time, they will likely donate their finances. Your faithful communication with them may increase the amount they donate, as their capacity to give grows.

If you’re needing to grow your donor base for either your annual giving strategy or a capital campaign, set up a discovery call to see how I can help.

1 The Giving Report, 2023. Canada Helps.  https://www.canadahelps.org/en/the-giving-report/

2 Fuss, Jake; Li, Nathaniel; Munro, Grady. Generosity in Canada: The 2023 Generosity Index. The Fraser Institute (December 12, 2023). https://www.fraserinstitute.org/tags/generosity-index

3 Record High Charitable Giving in 2021 by the Fewest Donors Ever. Statistics Canada (December 4, 2023). https://www.statcan.gc.ca/o1/en/plus/5124-record-high-charitable-giving-2021-fewest-donors-ever

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