We have talked about the best practices and given you tips on maximizing your fundraising efforts. But while it is nice to talk about fundraising and the basics that should be in place to attract donors, a critical question that readers have been asking is just how much money is raised through online giving?
In this article, we will look at some numbers and statistics which will allow us to answer some questions, one of them being why online fundraising continues to grow.
Let’s crack the numbers and discover the facts and figures about online fundraising without further ado.
Online Fundraising Has Grown Tremendously
Did you know, almost 13% of all fundraising endeavors are now done online? With plenty of online platforms to help schools and school districts fundraise, perhaps this should not be a surprise. However, this is a notable increase compared to the last ten years when almost all fundraising drives were done offline.
It is also worth noting that the size of the school doesn’t necessarily affect the percentage of total amounts raised through online fundraising.
While around 85% of donations are received from offline channels, approximately 30% of donors will jump at making their donations online because it only takes a few swipes of a finger/clicks of a mouse to donate. Overall, online giving has grown by over 20% in the post-pandemic period.
The numbers also indicate that most online giving occurs around the end of the year, with the final weeks of December proving particularly productive. At this time of the year, people are in a festive mood and are inclined to give back, especially if the school is undertaking an important project.
However, the social service and health sectors trump the education sector when raising the most amounts of fundraiser dollars. This can be attributed to the fact that these sectors mostly require people to fundraise in times of disaster, when they are three times more likely to part with their money.
The number of online gifts will constantly change throughout the year regardless of the sector. Therefore, schools should adjust the amount they ask from donors depending on the time of the year.
What Is The Average Online Donation?
This ultimately depends on the level of education, although the average online gift is still significantly bigger than an average offline gift. For example, fundraisers for K-12 schools post an average donation of $300 compared to an average of $250 for higher education fundraisers. In addition, multichannel donors post higher average gifts compared to single-channel donors.
Social media is still lagging compared to other online platforms when it comes to raising money. Statistics indicate that less than 5% of fundraising dollars come from social media. However, social media tools have highly contributed to peer-to-peer fundraising and are powerful tools for spreading the word and increasing awareness for the campaign.
With almost everyone on social media, it has proven an effective tool for people to mobilize their friends to contribute to school fundraisers. Young donors are especially more likely to use social media to contribute than their older [and more conservative] counterparts.
Online Fundraising Is Excellent for Generating Smaller Gifts
Naturally, not everyone can afford to make significant donations. This is especially true for young alumni. However, online fundraising allows this group to make a small contribution, which significantly impacts them once they are added up.
Schools have become inventive in encouraging their young alumni to donate. Some have created a landing page where alumni can check how many of their former classmates have contributed, enabling them to contribute as well.
In this era of Venmo, CashApp, and Apple Pay, it is no wonder that younger generations are more comfortable donating online rather than using other physical means of donation. It is convenient since they can read a requested appeal on their email and make their donations within seconds. It fits their lifestyle.
Typically, larger gifts are done via check/bank transfer, but the significance of online fundraising, especially for schools looking to boost alumni participation, cannot be overlooked.
First Time Donors Prefer Giving Online
The convenience of online fundraisers also makes it easier for schools to attract first-time donors. It makes donating pretty effortless since it only takes a few minutes and can be done at their convenience. In this time and era, people typically have a short attention span and are unlikely to donate if they are forced to fill out lengthy forms with their details to donate.
However, an online donation form that only requires a few details is likely to attract donors who have not even been to your school, allowing you to win them over as regular donors who can then go ahead to make bigger contributions in the future. With donor acquisition and retention being one of the biggest hurdles schools face, online fundraising tactics are essential for a school trying to recruit constituents into regular givers.
While proximity to a school certainly plays a role in attracting donors, online fundraisers eliminate the boundaries and allow well-wishers to contribute regardless of their location. This is especially useful for alumni who may have moved out of the country. It is an excellent way of building an online community of alumni and parents, resulting in greater engagement and participation.
Online donation portals can help your school secure donations from Oklahoma to Iran. With online transactions growing in popularity every day, schools must integrate online fundraising tactics to streamline the donation process and maximize their fundraising potential.
Final Word
Writing exact figures regarding money raised through online fundraising initiatives isn’t easy. However, with the convenience of online transactions, it is little wonder that schools are getting more money from online donors than ever before.
This will only increase, which is why at LeanStream, we have a lineup of fundraising solutions to help schools cover the funding gap and complement their budget.
Feel free to contact us today, and let’s work out how we will work together to create a better future for our school-going children.
