Join Behavioural Experts Emotional Logic to find out how consumers feel about charitable giving now, how charities can adjust to the new normal, and learn from some charities who developed innovative new ways to raise support. Watch it now: How to help your charity to master the new normal.
As the months have been passing, the COVID-19 pandemic has managed to shake up day-to-day life and have an impact on communities across the world. No industry has been left untouched by the effects of COVID-19, but one topic that has not often been at the centre of the discussion is the impact the pandemic has had on the nonprofit sector.
The nonprofit sector has had to drastically re-think their whole organisations. Spring is the most popular season for galas and other events to raise funds; however, government guidelines such as social distancing and not meeting people outside your household have forced organisations to cancel or postpone their events. A lot of these organisations rely on the income that is generated: from those events, and not hosting these events can have serious complications.
A lot of donors have stepped up and realised the stress these organisations are under and have continued to support them – Fidelity Charitable has surveyed philanthropic individuals to understand how the pandemic could impact their giving and volunteering behaviours on the nonprofit community. Here are some of the key takeaways:
Most donors are planning to maintain – or even increase – the amount they donate to charity this year
During the current circumstances, support is needed now more than ever from donors. The survey found that 25% of donors plan to increase their donations in response to the COVID-19 pandemic and, 54% are going to maintain their donor levels. Younger generations are ready to give more: 46% of millennials will donate more in comparison to 14% of Baby Boomers and 25% of Gen X. The main trigger for donors reducing the amount they give or not wanting to donate at all is down to concern over a recession and the economy.
Volunteer activity is likely to dramatically decrease
Due to the Government guidelines, residents are to stay indoors and not go out unless it is essential to help prevent the spread of the virus – which is a particular struggle for nonprofits who rely on volunteers to deliver critical services. Almost half (47%) of donors who already volunteer for charities believe that the amount of time they volunteer for is going to: significantly decrease or stop completely: because of the pandemic. Given the current circumstances of low to high-risk categories, older donors are more likely to say that their volunteering will decrease, whereas 19% of Gen X and 31% of Millennials think that their involvement time will increase.
Health-and human services-related charities are top priority
Many donors' first concern was for the way that the pandemic impacted health-and human services-related nonprofits and the safety net organizations that have been on the frontline throughout. Donors are aware that they have been risking their lives and are trying to create a safer environment for every community. Donors want to ensure they are being protected and have money to keep progressing: roughly 80% of donors are concerned about these nonprofit's ability to operate. Sadly, no organisation is exempt from the effects of COVID and, at least half of donors are worried about how industries such as the arts and environment are going to overcome it. The environment has become a massive issue for a lot of the public – they have been made aware of the negative impacts, such as pollution, waste, recycling, and the number of trees we are cutting down. Is COVID making people more aware of their actions and the impact they're having on the world?
Most donors do not plan on changing the charities they give to because of the pandemic; they will continue to support their favourite non-profits
Although donors are aware of the issues all charities are facing at the minute, they will continue to support their favourite nonprofits. 43% of donors have said they will continue to support and give to the same charities as before; because they know they will have been impacted by COVID-19 in some way. Whereas only 25% of donors say they will give to different organisations as a result of the pandemic either shifting all or part of their donations.
Charities, to help donors make informed decisions about how they can effectively address the impact of COVID-19 with their contributions and how you can adjust to the new normal, listen to Behavioural Experts Emotional Logic during this free webinar.
What you will learn
- Are consumers still supportive of charities – even in recession?
- How will the recession impact charities?
- Key tips to help your charity survive
- Ideas and case studies of innovative ways to raise funds now
Whether you need insight to adjust your strategies to the new normal or are thinking about launching new services, we can help you get it right. Emotional Logic is a specialist behavioural insight agency, and we offer a range of cost-effective research solutions to ensure your strategy connects with the constantly shifting needs of the consumer. Please get in touch for a free consultation.