Thriving in 2025: Elevate Your Fundraising!
Times are challenging. Everyone you talk to says so. And yet, my outlook for 2025 is optimistic.
There are some positive signs that things are improving. According to research by Indiana University Lilly Family School of Philanthropy, giving in 2025 will grow by 3.9%. This growth will largely be driven by a) individuals and households at 63%, b) foundations contributing 23% and c) estates and corporations making up the difference. This is good news for annual giving programs. In fact, ST’s clients saw an increase in revenue through digital fundraising efforts in 2024 over the prior year.
Giving overall is set to improve, however donor renewal rates are on the decline, so the “same old/same old” is no longer going to work.
Here are some thoughts on what fundraisers and their leadership teams should be doing in 2025 to maximize success:
Set the stage for great fundraising:
- Concisely and convincingly articulate your goals, mission, and impact. • Understand that without fundraising there is no mission. • Break down interdepartmental silos to ensure a great fundraising culture. • Diversify revenue streams. • Invest and plan. Fundraising dollars invested well today will yield tenfold down the road. • Be brave, innovate, and find a balance between what’s worked in the past and what’s new.
Great fundraisers will:
- Practice channel integration. Be where your donors and prospective donors are.
- Offer donors a seamless experience regardless of channel, and practice good donor stewardship. Donor renewal is getting more challenging so making it easy to give is vital
- Build and retain your sustainer/monthly giving file. Monthly donors are 7.5x more valuable in the long term than single gift donors. They will see you through pandemics, recessions, and whatever else might come our way.
Digital fundraising is a growth opportunity:
- Ramp up your digital fundraising to maximize fundraising revenue.
- Review your tech stack – a one-size-fits-all approach no longer works for all. Find the solutions that work best for your organization.
- Make sure your digital infrastructure is in place (i.e. tracking, GA4, etc.). If it isn’t, there is no point in investing in digital. You are just riding blind.
- Diversify your digital mix. The email inbox continues to be a very crowded space. Use email strategically and be prepared to broaden your digital tactics
- Maintain top-of-funnel activity. Our clients who stopped any or most awareness online activity saw a decline in website traffic and direct/organic conversions.
- Think peer-to-peer. It continues to be underused and undervalued. This is a significant area of opportunity for most organizations.
- Invest in digital. It can be a nutritious source of lead generation for mid/major and planned giving.
2025 will be a great year for your organization. It will, however, require proactive planning. ST and STella! – our digital fundraising division — are here to help you navigate these challenging times and make the most of your fundraising program to help you raise more money.
Reach out any time!
Paula Attfield
CEO
ST
Hot Tip: on my reading list for this week is Alan Clayton’s Great Fundraising Organizations, Why and How the World’s Best Charities Excel at Raising Money.
