'The State of Modern Philanthropy 2023' from Classy Outlines Data, Donor-Relationship Strategies
Classy, an affiliate of GoFundMe and giving platform that empowers nonprofits to connect and build lasting relationships with donors, released its sixth-annual The State of Modern Philanthropy 2023 report today, titled “Creating Dynamic Journeys to Maximize Supporter Lifetime Value.” The interactive digital report is Classy’s most comprehensive yet, encapsulating data from Classy and GoFundMe’s combined community of 150 million.
This year’s report shines a spotlight on how nonprofits can leverage the latest technologies to create authentic and memorable digital experiences for the right donors at the right time, while increasing donor retention.
Key findings from "The State of Modern Philanthropy 2023" report include:
- Leverage Personal Networks to Acquire New Donors and Deepen Support. On Classy’s platform, 80% of individuals who give to a peer-to-peer campaign are new donors to the nonprofit. On GoFundMe, fundraising campaigns shared more than six times in the first few days are 3x as likely to raise more donations.
- Create Direct Giving Experiences for Every Donor. No donor journey is the same, so direct giving experiences shouldn’t be either. Nonprofits must offer the right experience that speaks to donors’ unique interests. Classy found customers who enable embedded donation forms routinely see 2x industry average conversion rates. But embedded forms shouldn’t be the only thing in your toolbox. For example, standalone donation pages have higher conversion rates than embedded forms for donations over $5,000.
- Retain Donors for the Long Haul with Recurring Giving. This year’s report found recurring donors to be 9x more valuable than one-time donors and nearly one third (29%) became recurring donors within 90 days of their first one-time gift.
- Utilize New Platforms to Build and Attract an Active Community. In today’s digital landscape, nonprofits must connect with donors on the channels where they’re spending most of their time, and mobilize them to participate in community-building on their behalf. While Facebook (84%) and Instagram (13%) remain the leading platforms for driving donor traffic, nonprofit professionals should also look to TikTok as a rising platform for engagement, especially among Gen Z, in order to build new, online communities.
- A Multifaceted Fundraising Strategy is Essential to Building Lasting, Meaningful Relationships With Donors. Supporters who participate in multiple campaign types are four times more valuable than supporters who participate in a single campaign type.
“At Classy, we take deep pride in providing nonprofits with a comprehensive understanding of the patterns and behaviors that shape our sector. Today we are providing a first-of-its-kind set of insights informed by the data from both the Classy and GoFundMe platforms,” said Soraya Alexander, President of Classy and Chief Operating Officer at GoFundMe. “These actionable insights are more important than ever as nonprofits confront increasing pressures to fund their causes and engage their communities. We hope these insights power new ways to create lifelong connections with supporters."
Since 2018, Classy has released The State of Modern Philanthropy to provide today’s nonprofit professionals with a pulse on the wildly changing landscape and empower nonprofits to reach new audiences, sustain engagement, and maximize supporter lifetime value.
To view the report, click here.
The preceding press release was provided by a company unaffiliated with NonProfit PRO. The views expressed within do not directly reflect the thoughts or opinions of the staff of NonProfit PRO.