A shift is occurring with Canadian donations: they're moving online.
Ten years ago I was fortunate to be "donated" by my employer, A.T. Kearney, and join Anne Golden's team at United Way of Greater Toronto as their first-ever VP of eBusiness...and I haven't looked back since. In those heady days I thought we would replace all of the paper in the workplace campaigns in the matter of a few years!
As with most things Internet, it takes much longer than originally forecast. Today we estimate that less than 5% of all individual giving in Canada travels through digital systems. But this number is growing quickly due to the inherent advantages of online giving.
It may seem obvious, but one of the primary reasons why charities and donors prefer Internet giving is because it's one of the least expensive ways to get money into a charity's bank account. These days many fundraising organizations are looking closely at their return on investment in their more traditional fundraising methods, such as direct mail and telemarketing, and they are shifting their budgets to digital.
Online donations to a charity's website are immediate, and they're available 24 hours per day, 7 days a week. Most online donation systems send the donor a tax receipt via email within a few seconds: imagine the trees being spared! And more and more Canadians are warming up to the idea that using their credit card online is far more secure than using their credit card at a restaurant.
For those readers who have already experienced the ease of online donations, you'll be nodding your head. For those of you who haven't, why not give it a try? Google your favourite charity and test how easy they make it for you to give. A few questions to keep in mind: was it easy to find the "Donate Now" button on their website? How many clicks did it take you from start (Google search) to finish (e-receipt)?
User-Generated Fundraising
A lot of the discussion about the Internet is that it is moving from a "1.0" version to "2.0". One key aspect of this shift is that websites are allowing average Canadians to post their own content, versus the old model in which most websites were "read-only".
This shift is occurring with donors as well. Many of you have received an email from a friend asking you to support a cause they're passionate about. Whether it be for Rick Hansen Wheels in Motion, the CIBC Run for the Cure, or the Bell Walk for Kids' Help Phone, the important point is that your friend asked you to give.
Often times the link in the email will take you to your friend's "Personal Fundraising Page" on which they have uploaded a photo of themselves, set a fundraising thermometer goal, and have added a message about why the cause is important to them. As you watch the names and amounts of donations previously donated on this page scroll past, you consider donating more than you had in mind when you clicked on the email!
This is an example of online social network fundraising, and it's becoming a popular way for charities to find new donors and new dollars. Almost as important, if not more, than the cause is the person who emailed the request.
Some charities are taking this online fundraising model to the next level. Rather than the traditional model in which the charity creates the event and names the place and time, some groups are throwing open the doors and letting average Canadians decide when, where and how.
If you visit the websites of Athletes for Africa or Free the Children (both cutting edge Canadian charities), you'll easily find a "Fundraise Now" button in addition to "Donate Now". The important element is that members of the Canadian public decide how to fundraise on their own terms, whether it be a child's birthday party, a second wedding, or an ascent up Everest.
So this year try giving an online donation to your favourite cause. If you've graduated from that level, try fundraising online. It's a quick and easy way to make a big difference.
By Philip King