CCS Fundraising

Type: Article

In CCS’s January 2021 Philanthropic Climate Survey, more than half of respondents reported that they have held a virtual major gift solicitation through either phone, video, or both methods since the COVID-19 pandemic began. Of those who held virtual solicitations, a combined 72% of respondents reported that their virtual requests were either as successful or more successful than a typical in-person solicitation, as illustrated below.

CCS’s research encouragingly suggests that nonprofits can get the same or even better results from virtual major gift solicitations as they can from in-person solicitations. But virtual solicitations could also be more than a stopgap measure as we enter what are hopefully the final phases of the pandemic.

Virtual solicitations are convenient, cost-effective, and allow for nonprofits to secure meetings with prospects who might not normally agree to meet if travel is required. Even after it’s safe to meet in-person, donors may still prefer to keep virtual meetings as an option.

Regardless of whether you’ve conducted many virtual major gift solicitations or you’re just getting started, perfecting your approach will pay off not just for the duration of the pandemic—it will likely yield dividends in a post-pandemic world as well.

Key Steps for Success

Regardless if you are face-to-face with a donor in-person or via video, tried and true major gift fundraising best practices still apply. The preparation and strategy required for these virtual donor meetings are crucial to ensure you use your time wisely. It is important to realize that Zoom fatigue is real not only for frontline fundraisers, but also for our donors as well.

Make sure to take a step back, reflect, and assess what you hope to get out of your time with each donor. For example, meetings that don’t require you to walk through a proposal or presentation might be better accomplished through a one-on-one phone call.

As you look to engage your major donors in a virtual solicitation meeting, consider these key steps:

1. Ensure you understand your donor’s motivations, interests, and timing

As you would in any donor relationship, you must cultivate and build a foundation based on what the donor cares about, the impact they hope to make, and how their interests align with the organization’s funding needs and priorities. It is important that you are on the same page with the donor, confirming that now is the right time to make a request and they are ready to make an investment. The key question to answer is, “have you requested permission to ask?” If not, be sure to take this step before initiating or drafting a proposal for consideration. There shouldn’t be any surprises going into your virtual solicitation meeting.

2. Prepare the proposal and get creative

Just like you would in preparing for an in-person solicitation meeting, make sure you have a thorough yet concise proposal to share with your prospective donor. Ensure the proposal conveys the need, meets the donor’s interests, provides a clear investment opportunity, and identifies the impact the donor can have through their support. Since the proposal will be shared in a virtual setting, consider if a video or a participant testimonial would convey the need in a more impactful manner than a traditional written narrative. Consider what other aspects of the proposal can be brought to life through other media during your virtual conversation.

3. Be clear in your meeting request: virtual “face-to-face” meeting

When reaching out to the donor, be clear that you would like to meet face-to-face over a video platform of their choosing, giving you the opportunity to share more detailed information and walk-through the proposal. This meeting should be at least 45 minutes long, giving enough time to review the proposal and answer questions. If the donor prefers a phone call, still take them up on this offer to keep the door open to a conversation.

4. Make an internal plan

If there are many members of your team engaged in this virtual solicitation, it is important to discuss the following:

  • Determine the flow of the meeting and focused goals: What do you hope to accomplish? What three ideas do you hope to convey? How can you ensure you are engaging the donor in a discussion rather than simply presenting?
  • Establish roles and objectives: Who is sharing what information? Who will be sharing their screen during the proposal walk-through? Who will be making the ask? Who is in command of the meeting to ensure the conversation keeps moving?
  • Draft an internal agenda: Since everyone will be attending the meeting from different locations, it is important to write out as much of the meeting flow of ideas and topics to discuss in advance to ensure everyone is on the same page. It is difficult to read body language or know who is preparing to speak in a virtual setting.
  • Develop the presentation deck/proposal: Determine who is responsible for pulling together the presentation deck or other interactive media to include. The slide deck does not need to be the proposal. It can call attention to the need, key funding areas, the partnership opportunity, the overall impact, and the stewardship/recognition the donor would receive. Include videos and photos where possible, while limiting the amount of copy per slide.
  • Practice: Schedule a time to prep with your internal team to practice sharing your screen, any key talking points, and other logistics before meeting with the donor. Use this time to practice out loud the formal gift request.

5. Share materials in advance with the donor

You never know what to expect with technology and will want to maximize your time with the donor. Plan to share the proposal and any other supporting documents that will be discussed during your virtual meeting in advance of your scheduled time together. That way, the donor can pull up the documents if needed or review them in advance and come to the table with any immediate questions. To note: when sharing these materials in advance, be sure to let the donor know that your time together will be walking through the concept shared.

6. Verbalize the request and close the gift

When connecting with your donor via video, consider when is the right time is to share your screen and at what points during the discussion it is most helpful to just have a conversation face-to-face.

Potential Format:

  • Welcome and check-in
  • Thank the donor for meeting
  • Transition to the proposal (share your screen)
    • Convey the need
    • Outline the investment opportunity
    • Share the impact this investment will have on the organization and the community it serves
    • Be sure to verbalize the request and pause for a response
    • Discuss recognition opportunities, if appropriate
  • Answer any outstanding questions
  • Set next steps

Post-Meeting: Send the donor a follow-up thank you email the same day to close the gift. Be sure to outline any agreed-upon next steps, the amount they agreed to give, their areas of support, and over what period of time.

Virtual Engagement Best Practices

Whether you are looking to engage your donors in a virtual cultivation or solicitation meeting, consider the following best practices:

  • Define your purpose: what do you hope the donor will get out of this meeting?
  • Use this time to update and collaborate: engage the prospect in conversation by posing questions or include an interactive feature
  • Make it multi-sensory: lead with visuals and include minimal text
  • Determine what content needs to be live and what can be prerecorded
  • Provide insider access and make it feel exclusive and customized
  • Engage board members and key volunteers in the discussion, as appropriate
  • Be prepared for technical challenges: designate one person to screen share, practice in advance, and use Zoom as it is the most universal platform for donors

Final Thoughts

As nonprofit leaders continue to adapt and navigate the social distancing restrictions and the various shifts in fundraising activity, we identify new, creative ways to meet yearly fundraising goals. With the continued focus on building and maintaining relationships with current and potential donors amid a pandemic, nonprofits have found new ways to stay connected, tell their story, convey the need, and still receive transformational investments either over the phone or via video call.

There is no better time than now to embrace the virtual tools available to continue to engage and build relationships with current and future donors. Remember, many donors are already comfortable with various video platforms as they have used this as their main source of contact with family and friends over the last year.

At the end of the day, your virtual donor meetings and in-person donor meetings serve the same purposes: an opportunity to learn donors’ interests, build rapport, and bring them closer to your organization. Using a combination of tried-and-true best practices and a recognition of the opportunities and challenges inherent in a virtual setting, virtual major gift solicitations can help your organization secure transformational gifts in an era of social distancing—and maybe even beyond.

Since social distancing requirements began worldwide, organisations have faced the need to leverage technology to keep their doors open. Many teams had to quickly adapt to video calls, virtual events, and working from home. Though vaccine distribution has begun and the end of social distancing measures seems to be in sight, the digital transformation is here to stay.

Around the world, nonprofit organisations are learning from their experiences in 2020 and making permanent changes. Now is the time to ensure you adapt and prepare for the increasingly digital future. Here are a few ways nonprofits have risen to the challenge and set themselves up for success.

1.  Upgrade Your Website

Especially now, your organisation’s website is likely the first line of communication with prospective and current donors. If your website has not been recently updated, consider working with a web developer or marketing firm to make relevant upgrades. As you are making these improvements, keep in mind these foundational concepts: user experience, responsive design, and search engine optimisation.

  • The user experience should be highly prioritised when designing your website. Similar to a donor-centric model, prioritising user experience in your website involves examining how visitors interact with each part of your website, taking into account their needs, values, abilities, and limitations.
  • Creating a responsive design should also be at the top of your to-do list. It is estimated that half of all visits to nonprofit websites are on a mobile device. A responsive design will allow your content to adjust to any screen size or type (smartphones, desktop, or tablet), which will enhance the overall user experience.
  • Your team should also consider working with a search engine optimisation (SEO) expert. SEO is all about making sure that your organisation can be found easily on the internet. An SEO expert can analyse how visitors are currently getting to your website and identify modifications you should make to your content to improve your search visibility.

2.  Master Virtual Gatherings

At this point, many organisations have embraced video calls as a method to hold team meetings and prospect solicitations – and most are successfully connecting and securing philanthropic gifts through this method. They have also successfully pivoted in-person events to virtual gatherings, such as virtual galas, conferences, fundraisers, and other stewardship events. Here are our top suggestions to master video call etiquette and make the best use of your virtual meetings and gatherings:

  • Prepare for and run a virtual meeting like you would an in-person meeting. Have an agenda prepared and share it with attendees ahead of time. At the beginning of the meeting, facilitate introductions with everyone on the call to replicate, as best as possible, an in-person meeting environment.
  • Do a practice run. Technology is our friend – until it isn’t! Make sure that you understand how to use the virtual platform, know how to help troubleshoot if your guests have any technical issues, and always have a back-up plan in place in case the technology does not cooperate. We recommend including instructions for logging onto the platform in any materials you send beforehand. Also, build in some “buffer” time to account for any potential technical difficulties that may delay the start of your meeting.
  • Keep your attendees engaged. Whether you are hosting a one-on-one virtual solicitation or a 1,000-person webinar, make sure to pause, ask questions, and ask for feedback from your guests. You may also want to consider poll questions, music, and breakout rooms. Video call fatigue is real, so we challenge you to find ways to keep your attendees engaged.

3.  Optimise Email Communications

While virtual calls and events are critical to master, do not forget to evaluate your email communications as well.

Although many nonprofit organisations have been utilising mass email communications for years, the COVID-19 pandemic has revealed new areas for improving digital communications systems. For example, in a time when you felt the need to email your constituents, were you able to deploy your emails quickly and efficiently to your target audience? Are there communications you previously mailed that might be better off as an email this year and in future years? Now is an opportune time to evaluate if your current email platforms, strategy, and schedule are still working for your organisation or if you need to adjust for an increased volume of virtual communications.

4.  Leverage Social Media

Your organisation should do its best to build a presence on social media.

To decide which platforms to devote your time and attention to, reflect on where your target audiences spend the most time online. This may include LinkedIn, Instagram, Facebook, and Twitter depending on who you want to reach. Social media may seem like a fun extra, but it should be managed with purpose and methodology. You need to be consistent with your brand across all platforms and create a dedicated schedule to develop and share content. Social media platforms offer your team the opportunity to interact with industry-adjacent content and remain relevant by staying on top of trends. Staying active on social media allows your organisation to stay top of mind for those already close to your network, while also creating opportunities to be discovered by new prospective donors.

5.  Get Creative

Finally, dare to dream! If you have a creative idea to interact with donors digitally, explore it. At this moment, organisations have the license to veer away from traditional engagement and solicitation methods. We have seen several organisations embrace this creative freedom with virtual events, in-house thank you and promotional videos, and interactive digital proposals.

The pandemic has changed the way we all operate both personally and professionally. As we continue in this new fundraising landscape, commit to building your digital presence. Take this opportunity to set your organisation up for success and growth by testing out new strategies. Your donors and colleagues will thank you!

 

Historically, the traditional fundraising campaign has been the vehicle of choice for nonprofits to energise the community and secure significant philanthropic commitments. Campaigning raises more money, creates excitement, provides a rationale to support giving, and demonstrates what donations will accomplish.

Sounds like a good idea, right? Not so fast. Traditional campaigns undoubtedly provide tremendous benefits to those organisations that run them well. Yet many nonprofits focus too much on the five-year horizon of a campaign and forget to consider what happens when the campaign is over. You have surpassed your goal and celebrated your success. Now what? If you have not planned ahead, it is likely that your post-campaign fundraising revenue will drop to pre-campaign levels. While you funded the greatest needs of your institution, you neglected the overall health of the nonprofit by failing to create sustainable growth.

Consider an Alternative Campaign Approach

To mitigate the traditional post-campaign lull, alternative fundraising campaign designs are becoming more common. Some organisations never stop campaigning, taking a perpetual approach with decade-long funding initiatives and back-to-back traditional campaigns. Others employ smaller and shorter mini-campaigns to continually target specific funding priorities, or to simply bridge between traditional efforts. Some organisations are scrapping the traditional campaign altogether, instituting a “never” campaigning approach where targeted gift requests are built into “business-as-usual” fundraising.

While these campaign designs have separate benefits and risks, they all share one common element – the flexibility to pivot strategy to accommodate shifting donor desires, community needs, and institutional priorities. As the COVID-19 pandemic endures, this adaptability is particularly important given the changing philanthropic landscape. Economic volatility, new legislation, evolving trends, societal interests, and institutional leadership changes are just a few of the challenges that you may face in the coming months and years. Don’t get stuck in a campaign that restricts funding to a singular and rigid initiative. Consider a single project as one of your campaign funding priorities, not the only one.

Don’t Forget the Annual Fund

Regardless of campaign design, make sure you pay attention to your annual fund at the start. Consider growing your annual fund as one of your campaign goals or as a parallel strategic initiative. Focus on bringing in new donors and new dollars. Cultivate and upgrade your smaller gifts. Prioritise stewardship. These gifts may take years to cultivate, but by the end of your campaign you should see an increased fundraising baseline, a softened post-campaign revenue dip, and a secure fundraising future for your organisation.

Embrace Flexibility

Campaigning is not a one-size-fits-all proposition, and traditional campaigning may remain the best fit for your organisation. However, campaign timing and design should be grounded in the financial needs, strategic initiatives, and specific culture of each organisation. The key is to remain flexible to changing priorities and community needs while addressing the traditional post-campaign revenue decline. Appropriate campaign design alongside a deliberate approach to building and sustaining relationships will ensure that your organisation is in the best position to raise more money while growing sustainably.

Since social distancing requirements began in the U.S., organizations have needed to leverage technology to keep their doors open. Many teams have had to quickly adapt to video calls, virtual events, and working from home. Though vaccine distribution has begun and the end of social distancing measures seems to be in sight, the digital transformation is here to stay.

Around the world, organizations are learning from their experiences in 2020 and making permanent changes. Now is the time to ensure your organization is adapting and preparing for the increasingly digital future. Here are a few ways we have seen organizations rise to the challenge and set themselves up for success.

1. Upgrade Your Website

Especially now, your organization’s website is most likely the first line of communication with prospective and current donors. If your website has not been recently updated, consider working with a web developer or marketing firm to make some upgrades. As you are making these improvements, keep in mind these foundational concepts: user experience, responsive design, and search engine optimization.

  • The user experience should be highly prioritized when designing your website. Similar to a donor-centric model, prioritizing user experience in your website entails examining how visitors interact with each part of your website, taking into account their needs, values, abilities, and limitations.
  • Creating a responsive design should also be at the top of your to-do list. It is estimated that half of all visits to nonprofit websites are on a mobile device. A responsive design will allow your content to adjust to any screen size or orientation (smartphones, desktop, or tablet), which will enhance the overall user experience.
  • Your team should also consider working with a search engine optimization (SEO) expert. SEO is all about making sure that your organization can be found easily on the internet. An SEO expert can analyze how visitors are currently getting to your website and identify modifications you should make to your content to improve your search visibility.

2. Master Virtual Gatherings

At this point, it seems that many organizations have embraced video calls as a method to hold team meetings and prospect solicitations – and most are successfully connecting and securing philanthropic gifts through this method. Many organizations have also successfully pivoted in-person events to virtual gatherings, such as virtual galas, conferences, fundraisers, and other stewardship events. Here are our top suggestions to master video call etiquette and make the best use of your virtual meetings and gatherings:

  • Prepare for and run a virtual meeting like you would an in-person meeting. Have an agenda prepared and share it with attendees ahead of time. At the beginning of the meeting, facilitate introductions with everyone on the call to replicate, as best as possible, an in-person meeting environment.
  • Do a practice run. Technology is our friend – until it isn’t! Make sure that you understand how to use the virtual platform, know how to help troubleshoot if your guests have any technical issues, and always have a back-up plan in place in case the technology does not cooperate. We recommend including instructions for logging onto the platform in any materials you send beforehand. Also, build in some “buffer” time to account for any potential technical difficulties that may delay the start of your meeting.
  • Keep your attendees engaged. Whether you are hosting a one-on-one virtual solicitation or a 1,000-person webinar, make sure to pause, ask questions, and ask for feedback from your guests. You may also want to consider poll questions, music, and breakout rooms. Video call fatigue is real, so we challenge you to find ways to keep your attendees engaged.

3. Optimize Email Communications

While virtual calls and events are critical to master, do not forget to pay attention to your email communications as well.

Although many nonprofit organizations have been utilizing mass email communications for years, the COVID-19 pandemic has revealed new areas for improving digital communications systems. For example, in a time when you felt the need to email your constituents, were you able to deploy your emails quickly and efficiently to your target audience? Are there communications you previously mailed that might be better off as an email this year and in future years? Now is an opportune time to evaluate if your current email platforms, strategy, and schedule are still working for your organization or if you need to adjust for an increased volume of virtual communications.

4. Leverage Social Media

Your organization should do its best to build a presence on social media.

To decide which platforms to devote your time and attention to, reflect on where your target audiences spend the most time online. This may include LinkedIn, Instagram, Facebook, Twitter, and even TikTok and Pinterest, depending on who you want to reach. Social media may seem like a fun extra, but it should be managed with purpose and methodology. You need to be consistent with your brand across all platforms and create a dedicated schedule to develop and share content. Social media platforms offer your team the opportunity to interact with industry-adjacent content and remain relevant by staying on top of trends. Staying active on social media allows your organization to stay top of mind for those already close to your organization while also creating opportunities to be discovered by new prospective donors.

5. Get Creative

Finally, dare to dream! If you have a creative idea to interact with donors digitally, explore it. At this moment, organizations have the license to veer away from traditional engagement and solicitation methods. We have seen several organizations embrace this creative freedom with virtual events, in-house thank you and promotional videos, and interactive digital proposals.

The pandemic has changed the way we all operate both personally and professionally. As we launch into a new year, commit to building your digital presence. Take this opportunity to set your organization up for success and growth by testing out new digital strategies. Your donors and colleagues will thank you!

This article was originally published on the AFP Greater Philadelphia Chapter Blog on January 21, 2021.

When you hear the term “Donor-Advised Fund” what is the first word that comes to mind? For me, it’s opportunity.

A donor-advised fund (DAF) is a philanthropic giving vehicle established at a public charity. Donors can establish and fund a DAF account by making irrevocable, tax-deductible contributions to the charitable sponsor. Then, they can recommend grants from the DAF to other nonprofit organizations.[1]

Earlier this month, National Philanthropic Trust (NPT), the largest national, independent public charity that manages donor-advised funds, and one of the leading grantmaking institutions in the U.S., published its 2020 Donor-Advised Fund Report and the findings are making headlines.[2]

The Tremendous Historical Growth of DAFs

Based on an analysis of 2015 through 2019 fiscal year data from nearly 1,000 charities that are DAF sponsors—meaning they administer donor-advised funds—NPT reports historical growth in DAFs:

  • Grantmaking from DAFs to qualified charities totaled a record-breaking $27.37 billion in 2019, a whopping 93% increase since 2015, when grantmaking totaled $14.15 billion.
  • At the same time, contributions to DAFs also skyrocketed, totaling $38.81 billion in 2019 and representing an 80% increase since 2015 when contributions totaled $21.48 billion.
  • Charitable assets under management in DAFs totaled $141.95 billion in 2019. This represents a compound annual growth rate of approximately 10% since 2015—a reflection of an increasing number of DAFs, donor contributions, and market gains.
  • The number of individual DAF accounts jumped to 873,228, up from just 272,781 in 2015 and representing an astounding 220% increase.

DAFs and the Philanthropic Response to COVID-19

In addition to its annual Donor-Advised Fund Report, NPT also published a special Donor-Advised Fund COVID Grantmaking Survey.[3] The survey reflects self-reported data from DAF sponsors on the philanthropic response to COVID-19 as it emerged in the first half of 2020.

Amidst a global pandemic, a widespread reckoning with racial injustice, and a polarized political environment, grantmaking from DAFs to qualified charities rose nearly 30%, from $6.41 billion in the first six months of 2019 to $8.32 billion for the same period in 2020. The total number of DAF grants increased by 37%, from 945,044 grants in the first half of 2019 to 1,298,787 in the same period in 2020.

All eyes were on DAFs at the start of 2020 following the launch of #HalfMyDAF by philanthropists Jennifer and David Risher.[4] Through a matching challenge incentive, #HalfMyDAF seeks to raise awareness of DAFs and inspire DAF donors to give now. The movement leveraged $8.6 million in charitable grants from DAFs to nonprofit organizations in just five months, aided by $1.4 million in matching funds.

On February 1, 2021, #HalfMyDAF reignited the movement with an ambitious goal of leveraging $20 million in DAF grants to nonprofits this year, including $3.1 million in matching funds.

This creative fundraising strategy educated and inspired individuals to give through DAFs while empowering nonprofits with the knowledge and tools to encourage DAF donors to act now.

As we look to the future of philanthropy, we know one thing for sure: DAFs will be an integral part of the conversation. NPT’s findings and the #HalfMyDAF challenge reinforce the impact of DAFs and DAF donors on charitable organizations, especially in times of uncertainty.

How to Attract Gifts from DAFs at Your Organization

How can we apply these findings to position nonprofit leaders with the language and resources to leverage DAFs in support of their annual fundraising efforts?

Below are three recommendations to elevate philanthropy through DAFs. These recommendations are aimed at preparing fundraisers with the tools to maximize philanthropic revenue as we continue to navigate an evolving environment.

1. Make giving through DAFs a part of your donor dialogue.

The more we talk about DAFs, the more they will become a part of our fundraising lexicon, and the more that donors will make them a part of their giving toolkit. Take the time to educate donors on the role and benefits of a DAF. When meeting with a donor, don’t be afraid to spark the conversation: “Many of our supporters give through a DAF. Would you be open to learning how you can leverage a DAF to have a greater impact on our community?”

2. Make it easy to give to your organization through a DAF.

When a donor goes to your website, it should be clear that your organization welcomes giving through DAFs. Market DAFs on your website by including a link to “give from my DAF” or “click here” if visitors have a DAF and want to learn more about giving through this vehicle to your organization.

Additional ways to attract gifts from DAFs include direct mail appeals and employer matching gift programs. Let donors know that your organization is eligible for support from DAFs when communicating with donors— “send a check or recommend a grant from your DAF” or “double the impact of a DAF grant through your employer’s matching gift program” are ways to convey this important message.

3. Show the impact that DAF grants will have today.

Share examples of how DAF grants have enabled your organization to have a greater impact on the communities you serve. Create a sense of urgency by emphasizing how grants made today have equipped your organization with the tools, talent, and technology to achieve your mission while navigating an uncertain environment. Use personal stories of DAF donors to educate and inspire a new cadre of individuals to leverage DAFs as part of their philanthropic toolkit.

As DAFs become more popular, and technology makes giving to and from DAFs more accessible, we can expect to see grantmaking from DAFs to charitable organizations continue to grow at a steady rate. The future is #DAF—let’s get ready.

References:

[1] National Philanthropic Trust, What Is A Donor-Advised Fund?

[2] National Philanthropic Trust, The 2020 DAF Report, February 2021.

[3] National Philanthropic Trust, Donor-Advised Fund COVID Grantmaking Survey, February 2021.

[4] #HalfMyDAF Website.

The global coronavirus pandemic has brought unprecedented challenges and change to the philanthropic sector. Overnight, nonprofit leaders had to pivot from visionary plans for their futures to a laser-like focus on daily operations, responding to the health crisis and re-calibrating their fundraising activity to navigate a rapidly evolving environment.

The latest research conducted by CCS suggests that the pandemic’s negative impact on fundraising has reduced over time. Since our earliest survey in May 2020, the proportion of respondents reporting either a modest or significant decline in fundraising in response to the pandemic decreased. At the same time, the proportion of respondents reporting an increase in fundraising rose.

What changed? CCS’s research suggests that nonprofit leaders embraced new fundraising tactics, leaning into technology and developing innovative pathways to fundraise. These tactics include virtual events and online briefings with stakeholders. Many charities converted pre-existing events into a new virtual format, while others created entirely new online events that illustrated how their mission met this unique moment. Furthermore, many nonprofit leaders have embraced virtual gift requests as a part of their fundraising toolkit. Fifty-six percent of survey respondents conducted a request via phone, video, or both methods during the pandemic as of January 2021.

Now, amid so much uncertainty about the future of philanthropy, how can nonprofit leaders set themselves and their teams up for fundraising success throughout 2021?

The good news is that we are now in a more comfortable place where we can take what we’ve learned in 2020 and apply these lessons to the future. This will allow leaders to be more strategic, more innovative, and more deliberate in how they develop and implement fundraising plans in this evolving landscape.

Below are five recommendations to elevate your organisation’s fundraising strategy in 2021. These recommendations will prepare leaders with the knowledge and tools to maximise their philanthropic revenue as we continue to navigate a dynamic environment.

1. Plan for the unplanned

As we have learned, the future is uncertain and organisations that are nimble and innovative in the face of adversity can meet the moment with strength and success. To that end, stay well-prepared with scenario planning and revenue forecasting. Prepared organisations will have steadier balance sheets in the face of unexpected events, so develop a short-term action plan and identify diversified funding streams that include both outright and planned gifts.

2. Re-envision event opportunities for a virtual setting

As we have seen, nonprofit leaders are reimagining donor engagement opportunities for a virtual platform. For the foreseeable future, these virtual engagement methods will be fundamental to fundraising activity and revenue generation. As comfort levels around virtual events continue to increase, leverage the special opportunities afforded by the virtual format to build momentum and scale your impact. Don’t be afraid to be creative and bold!

3. Embrace evolving donor communication and lead with empathy

Consistent and transparent donor communication has always been valuable. Today more than ever, it is important to show empathy, concern, and gratitude for your stakeholders. Additionally, donors may be more available to meet virtually, so embrace the new “face-to-face” donor meeting and gift request conversation.

4. Prioritise Diversity, Equity, and Inclusion (DEI)

DEI is a vital lens through which to evaluate the stories you tell about your nonprofit and the communities you serve. It is also important to consider DEI relative to your internal practices and operational activity. Bringing diverse perspectives and talent to the table leads to more creativity and innovative ideas. Beyond helping to advance social change, this will translate to better performance and higher fundraising results.

5. Stay true to your goals while maintaining a flexible approach

At the end of the day, focus on your mission and why it’s relevant. Regardless of the communication method you use, reaffirm your purpose and the impact that philanthropic investments will have on the community you serve. Foundational fundraising principles still apply, and continued flexibility and adaptation may be needed.

As we continue to reimagine the philanthropic landscape, let’s focus on what we know, embrace opportunities for the future, and take action where we can to have the greatest social impact.

Since the COVID-19 pandemic began nearly a year ago, one of the central questions in the minds of nonprofit leaders and fundraisers has continually been can we raise money effectively in a virtual world?

The latest results from CCS’s Philanthropic Climate Survey—which encompass responses from more than 1,000 individuals representing nonprofits across sectors—help show that as we begin 2021, the answer is still yes.

Click here to download the full report.

CCS undertook the first installment of our Philanthropic Climate Survey series in spring 2020 to assess the immediate impact of the COVID-19 crisis on nonprofit fundraising. Since then, subsequent installments have broadened beyond analyzing the effects of the pandemic to address the larger picture of nonprofit fundraising today.

Our new fourth-edition results provide a snapshot of the strategies many nonprofits have embraced to fundraise in 2020 and early 2021. The survey data also provide a window into how nonprofits are planning for the future of their fundraising programs, including looking ahead to a post-pandemic world. The newly released survey report covers topics including the utilization and success of online fundraising events, changes to cases for support, trends in remote work for fundraising staff, and more.

Success in Virtual Major Gift Solicitations

One particularly reassuring finding from our survey is that virtual major gift solicitations were mostly reported as successful.

As of January 2021, 56% of our survey participants reported holding a virtual major gift solicitation during the pandemic via phone, video conference, or both methods (up from 43% in our September 2020 survey). Of those respondents whose organizations had conducted a virtual major gift solicitation, 72% reported that their virtual requests were either as successful or more successful than their typical results from in-person solicitations.

Improving Fundraising Results

This news of successful virtual solicitations aligns with our survey’s broader findings on improving fundraising outcomes over the course of 2020.

In line with trends observed in previous Philanthropic Climate Survey editions, our fourth-edition results suggested that in aggregate, the COVID-19 pandemic had less of a negative effect on fundraising by the end of 2020 than at the beginning of the pandemic.


As of January 2021, 39% of respondents reported that their organization’s fundraising increased in calendar year 2020 due to the COVID-19 pandemic. This proportion grew more than 2.7 times from our May 2020 survey results, in which only 14% of respondents reported an increase in 2020 to date. Similarly, the proportion of respondents reporting decreases in fundraising due to COVID-19 went down from a height of 63% in May to a low of 44% in January.

More Reasons for Optimism

Other encouraging findings from our latest survey results include:

  • Respondents reported a variety of positive changes at their organization in response to society’s renewed focus on racial equity and social justice. Just over half of respondents indicated that their organization took steps to make its workplace more diverse, equitable, and/or inclusive. Other respondents reported changes such as examining their board and volunteer management practices, modifying their case for support, and revisiting their donor pipeline strategies.
  • Most of our participants indicated that their organization would maintain or even increase their fundraising staff sizes in 2021. More than one in four respondents reported that their organization intended to add fundraising staff in 2021. The majority (59%) said that they expected their numbers to stay the same. Few respondents (5%) reported intentions to reduce their fundraising staff numbers this year.
  • Respondents seemed largely confident in their ability to move forward with major capital and comprehensive campaigns. A combined 55% of participants said they were launching, restarting, or continuing a campaign. Another 17% reported that a campaign was under consideration in 2021.

To see more results from our Philanthropic Climate Survey series, download our fourth-edition report today. If you have any questions about the report or CCS Fundraising, please contact us at marketing@ccsfundraising.com.

To access our full suite of perspectives, publications, and reports, visit our insights page. To learn more about how CCS Fundraising partners with nonprofits for transformational change, click here.

On Ash Wednesday, Catholics worldwide will embark on a 40-day Lenten journey. This period of prayer, reflection, and fasting is also considered a time of almsgiving – a moment to reflect on one’s blessings and share one’s gifts and talents with the broader community.

Many parishes across the country have served as a lifeline to their local communities by spiritually nurturing parishioners and offering care and support services to those most in need. As the faithful answer God’s call to service and prepare for the mysteries of Holy Week, parishes will need to calibrate this year’s approach to fundraising to meet ongoing budgetary needs and thoughtfully prepare for the coming of Easter. This four-week plan will serve to help drive parish revenue, strengthen digital communities, and streamline your Holy Week communications strategy.

Week 1 – Evaluation Period

As many parishes navigate technological novelties with limited resources, it is essential to evaluate your modes of communication and develop a viable timeline in advance of Easter. Consider asking yourself the below questions to determine how you will disseminate information in the weeks ahead.

Parish Checklist:

  • Does our parish offer electronic giving?
  • What e-giving provider are we using?
  • Is our electronic giving link clearly visible on our parish website?
  • Does our parish livestream Mass?
  • Is our parish active on social media? Which platforms are we using?
  • Am I or is someone at my parish able to assist with social media posts?
  • Can e-blasts and/or automated calls be administered weekly informing parishioners of relevant Lenten updates?
  • Is our parish actively gathering contact information for outreach? Are we engaging with ministries to create a more robust email list?
  • Do we have the capacity to send emails regularly?
  • Does our parish’s Easter mailing feature our electronic giving information? Can we include a QR code in the letter?

To help drive parish revenue, make sure electronic giving links are prominent on your parish website. Can you find your e-giving link in 10 seconds or less? For parishioners that continue to use envelopes, provide clear mail and drop off instructions on your parish website that align with your current safety protocols.

Week 2 – Develop Your Case

The recent pandemic has presented many unforeseen costs for parishes as they continue to invest in technology to remain connected, pay the salaries of devoted personnel, and prioritize the sanitization of church property. Consider developing a case for support to clearly articulate your parish’s financial needs during Lent and beyond.

  • Reflect on your parish’s COVID-19 response efforts.
  • Highlight the support services you offered and those you continue to provide to your local community.
  • Describe some of the unforeseen costs this past year.
  • Include important facts and figures to reinforce the need for financial support. Consider listing the required monthly expenses to maintain the parish and actual offertory figures. Remember, many parishioners are unaware of the associated costs to maintain their spiritual home. Use this time to educate and inform them. This call to action will certainly garner one-time gifts, but can also incite sustained financial support.
  • Please remember to thank lay leaders, parish staff, and parishioners in your communication channels for their unwavering support and leadership.

Week 3 – Share Your Message

Now that you have ensured your giving link is clearly displayed on your website and that your needs have been vetted and thoughtfully outlined, begin articulating your needs to the parish community through all relevant communication streams.

  • Reinforce principles of stewardship by posting Lenten reflections on social media.
  • Share your Holy Week Mass schedule through email blasts, social media handles, automated calls, and bulletin inserts.
  • Remember the Rule of Seven, a marketing principle that purports people need to hear a message seven times before acting. Always include your electronic giving information in written and digital communication to encourage participation.
  • Encourage parishioners to invite friends and family to ‘like’ or join your parish’s Facebook, Instagram, or Twitter page as you begin to share relevant updates and information.

Make giving easy for parishioners! Tips to consider:

  • Written communication: Make sure all mailed or printed communication includes a QR code that links directly to your electronic giving platform or parish website.
  • Livestream: For parishes with livestream capabilities, make sure your e-giving link is clearly displayed in the message portion of your post. Consider including a quick note in each livestream and/or social media post.
  • Verbalize your offertory request during the livestream of Mass! After the Gospel and Prayers of the Faithful, invite parishioners and viewers to participate in the offertory collection or make their Easter gift by using your parish’s secure electronic giving link.
  • If using Facebook to stream Mass, consider identifying an administrator or lay leader that can act as a ‘digital usher’. By logging in on your parish Facebook account, the user can post comments to remind viewers to participate virtually in the offertory process.

Week 4 – Reiterate Message

Offertory support is critical to funding vitally important parish programs, the upkeep of facilities, costs associated with new technology, and other ongoing expenses. Remember to reinforce this call to action during Holy Week leading up to Easter Sunday. By implementing these best practices, you can achieve your fundraising goals and enrich your Easter celebration!

The COVID-19 pandemic has brought unprecedented challenges and change to the philanthropic sector. Overnight, nonprofit leaders had to pivot from visionary plans for their futures to a laser-like focus on daily operations, responding to the pandemic and recalibrating their fundraising activity to navigate a rapidly evolving environment.

It’s been nearly a year since the start of the pandemic, and the nonprofit landscape looks remarkably different than it did at the start of 2020. Many organizations have made it through “crisis management mode,” adapted to the current moment, and now can embrace new opportunities for the future.

But the question remains: amid so much uncertainty about the future of philanthropy, how can nonprofit leaders set themselves and their teams up for fundraising success in 2021?

How has COVID-19 transformed the philanthropic landscape?

CCS Fundraising, a leading strategic consulting firm that partners with nonprofits to strengthen and support their fundraising programs, launched a three-part Philanthropic Climate Survey to assess how the COVID-19 pandemic affected nonprofit fundraising. The latest Fundraising Impact of COVID-19 research report presents September 2020 data from nearly 1,400 respondents representing nonprofits of all sectors and includes a comparative analysis of responses received in the May 2020 and June 2020 editions.

CCS survey results suggest that the pandemic’s negative impact on fundraising has reduced over time. Since the first report in May 2020, the proportion of respondents reporting either a modest or significant decline in fundraising in response to the pandemic decreased by 10 percentage points from 63% in May to 53% in September. At the same time, the proportion of respondents reporting an increase in fundraising rose by 14 percentage points, from 14% in May to 28% in September.

What changed between May and September? CCS’s research suggests that nonprofit leaders embraced new fundraising tactics, leaning into technology and developing innovative pathways to fundraise.

The biggest change we’ve experienced during the pandemic has centered on virtual methods of donor engagement. These include virtual galas or events and virtual briefings to groups of stakeholders. Employing multi-channel engagement strategies allows nonprofits to scale their programming and reach a broader audience. When surveyed in June, 31% of respondents indicated their organization held an online fundraising event. That figure jumped to 44% by September. Many organizations converted pre-existing events into a new virtual format, while others created entirely new virtual events that illustrated how their mission met this unique moment.

Furthermore, many nonprofit leaders have embraced virtual major gift solicitations as a part of their fundraising toolkit. Forty-three percent of survey respondents conducted a major gift solicitation via phone, video, or both methods during the pandemic as of September.

As the COVID-19 pandemic endures, CCS will continue to track changes in the philanthropic landscape. We are currently collecting data for our fourth Philanthropic Climate Survey iteration and look forward to sharing our new findings in February 2021.

How can we apply our experiences and lessons learned during the pandemic to position nonprofit leaders for a successful 2021?

The good news is that we are now in a more comfortable place where we can take what we’ve learned in 2020 and apply these lessons to the future. This will allow leaders to be more strategic, more innovative, and more deliberate in how they develop and implement fundraising plans in this new and evolving landscape.

Below are five recommendations for nonprofit leaders to elevate philanthropy, whether they represent small grassroots organizations or large institutions. These recommendations will prepare leaders with the knowledge and tools to maximize their philanthropic revenue as we continue to navigate a dynamic environment.

1. Plan for the unplanned: evaluate resources, best practices, and long-term operational strategies

As we have learned, the future is uncertain and organizations that are nimble and innovative in the face of adversity can meet the moment with strength and success. To that end, stay well-prepared with scenario planning and revenue forecasting. Prepared organizations will have steadier balance sheets in the face of unexpected events, so develop a short-term action plan and identify diversified funding streams that include both outright and planned gifts.

2. Re-envision event opportunities for a virtual setting

As we have seen, nonprofit leaders are reimagining donor engagement opportunities for a virtual platform. For the foreseeable future, these virtual engagement methods will be fundamental to fundraising activity and revenue generation. As comfort levels around virtual events continue to increase, leverage the special opportunities afforded by the virtual format to build momentum and scale your impact. Don’t be afraid to be creative and bold!

3. Embrace evolving donor communication that leads with empathy

Consistent and transparent donor communication has always been valuable. Today more than ever, it is important to show empathy, concern, and gratitude for your stakeholders. Additionally, donors may be more available to meet virtually, so embrace the new “face-to-face” donor meeting and gift request conversation.

4. Prioritize Diversity, Equity, and Inclusion (DEI) across your development practices

DEI is a vital lens through which to evaluate the stories you tell about your nonprofit and the communities you serve. It is also important to consider DEI relative to your internal practices and operational activity. Bringing diverse perspectives and talent to the table leads to more creativity and innovative ideas. Beyond helping to advance social change, this will translate to better performance and higher fundraising results.

5. Stay true to your goals while maintaining a flexible approach to fundraising strategy

At the end of the day, focus on your mission and why it’s relevant. Regardless of the communication method you use, reaffirm your purpose and the impact that philanthropic investments will have on the community you serve. Foundational fundraising principles still apply, and continued flexibility and adaptation may be needed.

As we continue to reimagine the philanthropic landscape, let’s focus on what we know, embrace opportunities for the future, and take action where we can to have the greatest social impact.

On Monday, December 21, Congress approved a $900 billion coronavirus relief bill. If signed into law, many of the bill’s provisions would directly benefit nonprofits and fundraisers, helping to soften the blow of the continued impact of the COVID-19 pandemic. Read on for a summary of the key opportunities for the nonprofit sector.

Extended Tax Incentives for Charitable Giving

This bill allows individual and corporate donors to take advantage of expanded tax deductions in 2021. These incentives were previously only implemented for tax year 2020 through the March 2020 CARES Act. Importantly, both large and small individual donors gain extra incentives to give to charity through these measures.

  • For individuals who do not itemize: in 2021 as in 2020, individuals who do not itemize their taxes can still deduct up to $300 in charitable gifts as a single person and up to $600 in charitable gifts as a couple. Prior to the CARES Act, those who used the standard deduction could not deduct any charitable giving. For context, in tax year 2018 almost 90% of taxpayers claimed the standard deduction while about 10% itemized their deductions, down from around 30% itemizing in recent years.
  • For individuals who do itemize: the limit on charitable deductions for individuals who itemize will remain at 100% of their adjusted gross income in 2021, instead of the typical 60%.
  • For corporations: the cap on charitable deductions for corporations will stay at 25% of taxable income in 2021, instead of the typical 10%. Additionally, food donations can be deducted to a ceiling of 25% of taxable income instead of the typical 15%.

A Second Round of PPP Loans

This bill allocates an additional $284 billion for forgivable Paycheck Protection Program (PPP) loans. There are some key differences between “second draw” loans from this new funding and the first round of PPP loans enacted by the CARES Act in March, including:

  • Lower eligibility limit for organization size. Businesses and nonprofits with up to 300 employees are eligible for second loans, as opposed to the 500-employee cap in the spring.
  • Additional eligibility criteria. To qualify, organizations must show that they had a drop in revenue of at least 25% between same quarters in 2020 and 2019.
  • New eligibility for certain nonprofits. Qualified 501(c)(6) organizations are now eligible for PPP loans.
  • Lower cap for loan size. The maximum loan size for this round is $2 million per organization, compared to $10 million this spring.
  • Expanded list of forgivable loan expenses. Organizations may now use loans to cover certain worker protection expenditures such as personal protective equipment and facilities modifications.
  • Revised forgiveness application process for some recipients. For smaller loans up to $150,000, the forgiveness application process will be simplified.

Other Measures of Special Interest to Nonprofits

  • $20 billion has been allotted for Economic Injury Disaster Loan (EIDL) grants.
  • $15 billion has been set aside for live venues, independent movie theaters, and cultural institutions that intend to reopen and can show that their revenue has declined by at least 25% compared to 2019. These benefits are capped at $10 million per organization.
  • A reimbursement provision for nonprofits that self-fund unemployment benefits is extended until March 14, 2021.
  • The Employee Retention Tax Credit (ERTC) is extended through July 1, 2021 and includes new provisions to expand eligibility and improve coordination with the PPP loan program.
  • Refundable payroll tax credits for paid sick and family leave established in the Families First Coronavirus Response Act are extended through March 31, 2021.
  • The tax credit for paid family and medical leave enacted through the 2017 tax law is extended through 2025.
  • The deadline for states to spend Coronavirus Relief Fund (CRF) monies has been extended through December 31, 2021.
  • Individuals whom nonprofits serve may be directly helped by the bill’s other aid provisions including $600-per-person stimulus checks, an additional $300 per week in unemployment benefits, an extended moratorium on evictions, $25 billion in renter’s assistance, and $13 billion added to the Supplemental Nutrition Assistance Program (SNAP).

Sources

We are grateful to the following sources for reporting the legislative provisions summarized in this article. Check out these links for further details on the stimulus act:

This piece has been prepared for informational purposes only and is not to be construed as tax advice. Individuals should consult their accountant or tax advisor with regard to such matters.

Click here to read this article as a PDF.  For more nonprofit resources, visit ccsfundraising.com/insights.