One thing is for certain, nonprofits across the country will continue to face competition for a limited amount of funding. In order to make it through these tough times, nonprofits will have to ensure that they are spending their money wisely and making an impact in their communities. We've provided a few key tools to help you prepare your organization for the next twelve months. Be sure to join us every Monday at noon for weekly trends, grants, and updates from The Collective during Impact News Live on Linkedin or Youtube.
Greater use of Technology
Technology will continue to have a positive impact on how nonprofits operate in the U.S. not only by allowing them to diversify their stream of income but also because it will allow for increased accountability and transparency in reporting. The potential for the technology is great, and we encourage you to take advantage of it. The future demands that you stay on top of trends and improve your organization's abilities to benefit society.
A Customer Relationship Management(CRM)system allows you to centralize all donor communication in one place, making it easier to track and manage interactions. You can also use a CRM to schedule follow-up calls and send thank-you notes. Nonprofits increasingly use technology, such as CRM systems and online fundraising platforms, to streamline operations and reach a wider audience. Lamar Shambley discusses SalesForce, the CRM platform his organization Teens of Color Abroad uses during our Leaders of the Color interview focused on Fundraising tips. Check out the replay below.
Increased Focus on Data and Analytics
Nonprofits are using data and evaluation to better understand their impact and improve their programs and services. This includes collecting and analyzing data on outcomes and measuring the effectiveness of their work through surveys, interviewing clients, and dedicated research projects. A CRM can help you analyze your donor data to identify trends and patterns. This can help you make informed decisions about your fundraising strategy and allocate resources more effectively.
Rise of Digital Fundraising
In the wake of the COVID-19 pandemic, there has been a shift towards digital fundraising, with many organizations using online platforms to reach donors and host virtual events. Trending for 2023 is Donate Now and Pay Later platforms. Donors can donate and pay for their gift over time or later, while the nonprofit receives it upfront.
BGenerous gives “donors the convenience of paying over time, but nonprofits get the money upfront, making the donor process much less stressful on everybody.”
Givezy is also a similar platform. They “allow donors to split their payments over time so they can make a more significant gift today” and other flexible options. Set up an account with Givezey or BGenerous to give your donors the option to increase their contributions by paying over time.
The Emergence of Social Enterprise
Many nonprofits are exploring the use of social enterprise models, which involve generating income through the sale of goods or services in order to fund their programs. We gave some examples of diverse funding models in our blog post "Funding Goals" bet here are a few.
Membership models (YMCA and NAACP)
Contract for Services (State/Federal)
Collective Impact is dedicated to providing valuable content and information to our community of nonprofits. We're confident that these predictions will help you create a future for your organization by preparing for the changes that we are about to witness. These trends, if implemented creatively and strategically, will provide the resources needed to propel nonprofit communities of color from surviving to thriving. Schedule a consultation with us to learn more about how our team can create processes and set up automation that will help your organization run more effectively in 2023 and beyond.