Fundraising Operations

TRENDS & EVOLUTION

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^{WHAT ARE THE CHALLENGES FACED BY FUNDRAISERS?}

Year-Over-Year Progress in Addressing Key Fundraising Challenges Indicates Improvements in Acquisition, Retention, & Data

While donor acquisition and retention remained key challenges for nonprofits in 2024, cited by 47% and 23% of organizations respectively, both have seen significant year-over-year improvement. Donor retention, in particular, has improved by an impressive 24% over the past two years, likely attributed to the rise in generative AI technology that allows organizations to personalize and customize targeted communications.

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^{HOW ENGAGED ARE BOARD MEMEBERS IN FUNDRAISING PRACTICES?}

Nearly ¼ of All Organizations Cite Board Leadership Involvement as a Top Challenge

While 72% of fundraisers report being mostly or completely knowledgeable in board relations, board member involvement in fundraising remains a challenge. Nearly 1 in 4 organizations (23%) cite board and leadership involvement as the second top challenge they face in today's philanthropic landscape.

Board benchmarking is a powerful tool for nonprofits to enhance board engagement by comparing performance and trends with historical or peer data. Read our article, How and Why to Develop a Board Benchmarking Report, to learn how this approach can guide decisions about your board of directors.

Read the Article

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^{GLOBAL INSIGHT | WHAT TRENDS ARE FUNDRAISERS SEEING IN DONOR ACQUISITON AND RETENTION?}

While Half of Organizations Report Donor Acquisition Growth, Fewer Are Acquiring New Donors Year-Over-Year

Fifty-three percent (53%) of organizations reported an increase in new donors in the past year. However, donor acquisition has seen less growth compared to the previous two years, with 57% growth in 2023 and 62% growth in 2022.

Economic uncertainties and limited fundraising staff/resources continue to be significant obstacles to donor retention, with international organizations reporting economic factors as a challenge 13% more frequently than their US-based counterparts.

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^{CCS FUNDRAISING KEY INSIGHT}

78% of Large-Budget Organizations Grew Revenue in 2024, While Smaller-Budget Organizations Faced Declines

Nearly 8 out of 10 organizations with operating budgets between $100 million and $500 million reported revenue growth last year. In contrast, smaller organizations experienced a higher share of revenue declines compared to those with budgets of $25 million or more.

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^{HOW ARE ORGANIZATIONS MEASURING FUNDRAISING SUCCESS & RETAINING DONORS?}

Over Half (53%) of Organizations Identify Donor Retention as a Top Success Metric, Second to Revenue at 88%

Additional metrics tracked by organizations include donor acquisition rates (23%) and engagement metrics like event attendance (20%).

Measuring key metrics is essential for strengthening your fundraising program and driving success. By tracking the right data, nonprofits can make informed decisions and improve their strategies.

Discover How Metrics Can Enhance Your Fundraising Efforts

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^{HOW HAVE FUNDRAISING PRACTICES SHIFTED OVER THE PAST THREE YEARS?}

Targeted Engagements Drive Success as Post-Pandemic Era Fundraising Strategies Evolve

In 2024, nonprofits focused on deepening connections with specific donor groups (43%) and personalizing engagement strategies (39%). Although social media and digital innovation remain priorities for most nonprofits, digital giving saw a 28% decline compared to 2023, likely due to user experience challenges, donor fatigue, and growing concerns over trust in online charities. Meanwhile, virtual events and gift requests have declined—34% and 21%, respectively, since 2022—reflecting a post-pandemic shift back towards in-person engagement and more personalized donor strategies.

Do you plan to engage in virtual events in 2025?

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^{GLOBAL INSIGHT | HOW IS PRIORITIZING DIVERSITY, EQUITY, INCLUSION, & BELONGING (DEIB) IMPACTING FUNDRAISING?}

61% of Organizations See DEIB as Aligned with Their Values, But 49% Struggle to Reach Diverse Donors

Most organizations identified the benefits of diversity, equity, inclusion, and belonging (DEIB) in fundraising as building trust and strengthening community relationships. Over half (61%) said DEIB aligns with their values, mission, and social justice goals, while nearly one-third (30%) highlighted its role in creating a more inclusive donor base. Additionally, over one-fifth (22%) noted its ability to amplify diverse voices in decision-making. International organizations stood out, citing building trust 10% more often and recognizing DEIB’s role in driving innovation and creativity 9% more frequently than their US counterparts.

TOP BARRIERS TO INCORPORATING DEIB INTO FUNDRAISING

About half (49%) struggle with reaching diverse donor groups.
Nearly half (45%) are concerned about measuring DEIB’s impact or aligning it with fundraising goals.
Nearly one-third (30%) cite a lack of internal buy-in or resistance to change as barriers.