Survival of the fittest
Howard Lake | 28 October 2008 | News
Niroo Rad, fundraising technology expert from ASI Europe, explores how charities can overcome some of the challenges they are facing as a result of the credit crunch, by implementing innovations in technology that will protect their income revenue both now and in the future.
The economic downturn is hitting the not-for-profit sector hard. According to a recent report by the Charities Aid Foundation, almost a third of charities surveyed reported a fall in charitable giving.
With the advancement in web technology designed to support charitable giving, the not-for-profit sector is better placed to overcome the challenges of the credit crunch than in the last recession, which saw many charities collapse under the strain.
While last time around IT procurement was one of the first areas to undergo cut backs, these days those that hold the purse strings are much more aware of technology’s ability to reach out to a wide audience in the most cost-effective way possible and its role in helping to attract, retain and develop loyalty from donors.
So how can web software help your charity protect revenues and increase your income?
Fundraisers are the cornerstone of any charitable programme and establishing and maintaining donor loyalty is key to sustained income generation. By utilising a web-based donation and communications tool you can create a personalised platform for fundraisers, provide a simple mechanism for donations and create a platform to enhance loyalty to your cause.
Automating the process
A database that records details of the interaction between the charity and the fundraiser enables you to personalise future visits. For example, by proactively directing event participants to other events you can help encourage a continued relationship. A sophisticated database can also help identify demographics and highlight motives amongst existing fundraisers which can enable a better understanding of your supporters so you can attract more of them.
Ensuring the user experience is quick and easy when navigating around the site is vital. Providing a unique web page for fundraisers to promote their cause and automating the donation process is much more efficient than pledging and collecting donations via pen and paper. Personalised communications automatically generated by a database from fundraisers to individual donors is an easy and effective method of extending thanks for their support and greatly simplifies administration processes.
Building online communities
Web technology and the introduction of web 2.0 also enables charities to build online communities where supporters can share their experiences, look for local fundraising activities or strike up conversation with fellow fundraisers.
One way of building an online community is to use your website to create micro sites, to appeal to specific audiences. This involves developing a site, which addresses issues to them and allows them to communicate via an online forum. Ultimately, creating an environment where people feel recognised for what they do and encouraging them to continue to do it.
Making donation history easily accessible is also important – particularly for the donor, for example when completing tax return forms. Adding Gift Aid options to online donations is another simple way to help your charity maximise the value of its donations, ensuring your charity receives the cash rather than the taxman.
As well as increasing fundraising performance there is also a role for IT in reducing overhead costs. With inflation rising and more pressure on charities to improve cost efficiency, a 24 hour automated system capable of handling complex enquiries reduces the need for call centre staff.
Ultimately, when times are tough charities cannot afford to ignore the benefits of web technology. Not only will maximising the use of technology help the not-for-profit sector weather the storm it will also prepare them for a brighter future when financial confidence returns.
About Advanced Solutions International, Europe
ASI is an international provider of membership, fundraising, and Web site management software solutions. iMIS, the company’s flagship software built on Microsoft .NET, is an industry leader with more than 33,000 users worldwide. ASI distributes its solutions through a direct sales force and a global network of local Solution Providers backed by award-winning technical support.
www.asieurope.eu
About Howard Lake
Howard Lake is consultant editor of UK Fundraising. He founded the site in 1994 and successfully sold it in 2022. As director of Giving X Ltd he is exploring growing giving on a massive scale.
He is the founder of Fundraising Camp and co-founder of GoodJobs.