2023 Fundraising Trends & Predictions

Dani Lockard is Sales Manager at Funraise, one of the leading technology platforms designed (by people working inside a nonprofit) to help nonprofits raise more money online. 

Just before the end of 2022, Dani and I got together to talk about some of the big trends and predictions for 2023. Because Dani gets to talk with nonprofit leaders and fundraisers every day, she’s got her finger on the pulse of the industry and has an interesting perspective on what we all should expect in 2023.

Here are the top trends and predictions Dani is thinking about for 2023:

1. In spite of all the challenges we saw in 2022 and the economic woes we’re still experiencing, Dani reminds us that “generosity always wins”. 
2. Organizations that want to grow and thrive in the coming year(s) should adopt technology solutions that help create seamless experiences for your donors, volunteers, advocates, and other supporters.
3. Focus on recurring giving and donor retention instead of constantly chasing new donors. 
4. Look at your entire fundraising operation and find ways that you can simplify the process to make the giving experience more enjoyable and easier for your constituents to navigate.
5. To borrow from the commercial world, consider how for-profit companies have leaned fully into subscription models, and identify how your nonprofit might do something similar.
6. Dani talks about the “E-commerce-ification” (is that a word???) of the giving experience, and the importance of creating an elegant and enjoyable online donor experience. This includes things like making sure your online donation platform accepts Apple Pay, PayPal, and Venmo, because those are three of the most widely adopted and used online payment programs. She also talks about adopting cart abandonment techniques that can help your organization re-engage with donors who abandon your donation page before completing a gift. This is widely used in e-commerce circles, and can add significant value for nonprofits. Lastly, consider how you can bring your donors through a thoughtful process to upgrade and upsell them from a single gift to a monthly commitment (as a side note, I have tested this myself and seen it increase conversion to monthly giving by as much as 95%).
7. The increase in use of machine learning and artificial intelligence is massive right now. Nonprofits should be thinking about AI and machine learning to help “lessen the human load” wherever possible, and free up your people to do the heavy lifting that automation can’t do, like building authentic one-on-one relationships with supporters.
8. Dani makes a great point that while AI and machine learning are hugely valuable, organizations need to remember that they have to align strategy and talent with technology, otherwise you’ll just cause friction and frustration with your people and your supporters if those three aren’t aligned. 

As you wrap up your 2022 thank you and acknowledgment efforts for all those amazing gifts received at year-end, your board, donors, and team are probably already asking for the yearly annual report. Make it easy and impactful with Funraise’s free Annual Report Manual: the simple creation process and inspiring examples will deliver an annual report that you can use all year long.