Giving USA Reports On 2016 Giving
Giving USA has released its annual study on giving, reporting that for 2016 all giving rose to $390.1 billion, or 1.4% over 2015 (inflation adjusted). That represents 2.1% of gross domestic product, slightly above the 1.9% average of the past 40 years.
Here’s the giving by source:
And here’s the giving by sector:
I have to believe the strong growth for environment and animal welfare is ‘thanks’ to Donald Trump’s emergence as a genuine contender and eventual election last year (seems so long ago!).
I note that giving from ‘living individuals’ rose 2.6% over 2015, while giving from bequests declined 10%. What happened to that giant wealth transfer fundraisers were expecting?
Longer living Seniors and Boomers? I can see that possibly delaying bequests. But a 10% decline? I suspect fundraisers simply aren’t giving sufficient focus to planned giving. Recall last week I reported the Bloomerang finding that only 28% of the 600 nonprofits they surveyed made donors aware in the previous quarter of planned giving opportunities.
Time to rethink your commitment to soliciting bequests?
Tom
P.S. Giving USA is a project of The Giving Institute and the Indiana University Lilly Family School of Philanthropy. Blackbaud’s Steve MacLaughlin describes the annual report in this video. And you can order here, including a free executive summary.
3 responses to “Giving USA Reports On 2016 Giving”
Behavioral Science Q & A
Integrating an individual giving appeal with other communications from a charity can have both positive and negative effects, and the outcome largely depends on how it’s executed. Advantages of Integration Brand Consistency: Maintaining a consistent appearance and messaging across all communications can reinforce the org’s brand identity and strengthen brand recognition and trust among your […]
Read Full Answer
I’m not aware of any in-market tests specifically comparing recurring vs. gift frequency language. I suspect the answer might not be the same with all gift frequencies, nor with all people. It sounds like a great opportunity for you to test and find out what works for your audience. Based on the literature, here’s a couple […]
Read Full Answer
Based on what we know from existing data, those renewal notices can actually be pretty effective in getting people to donate. They tap into our psychology – creating a sense of urgency, reminding us of past support, and using personalization to make the message hit home. They’re playing on our natural tendencies to feel obligated […]
Read Full Answer
Interesting question. I had a quick look at the testing done on this topic. On the positive side, in all cases, over half of donors decide to cover the fee. In some cases, it goes as high as 65%. Not a negligible percentage at all. Here’s another test from iRaiser showing consistent results (see point […]
Read Full Answer
There’s just one thing to consider when designing a supporter journey: the supporter. More specifically, you need to take into account: Who the supporter is i.e. their identity, which is the reason they support this cause, and their personality, which describes the way they “see” and process the world. These will determine the kind of […]
Read Full Answer
I’m not an expert in this but a quick search surfaced this article on the effect of tax reforms on 2019’s charitable giving. The researchers didn’t find a reduction. Actually, they observed an “increase in charitable contributions in 2019, even with the lower tax rates and the dramatically smaller number of taxpayers who itemize their […]
Read Full Answer
Ah yes…. bequests. And the U.S. is sooooooooooo far behind the U.K. with bequest giving. The great little book ICEBERG PHILANTHROPY helps explain. And Brit Richard Radcliffe’s new book can be helpful. He’s talked with more bequest donors (thousands) than anyone in the world.
P.S. When will I receive your note that I have to pay my annual resubscribe?
This year’s report is a mix of good news and bad news. Yes, giving is up. That’s good. All nine of the sub-sectors had an increase in giving. That’s good too.
But a 1.4% growth rate is troubling — and I would venture to guess that long-time Agitator readers aren’t surprised to see this. The drop in estate giving is a challenge, but it’s likely just another canary in the coal mine.
Some more thoughts on the latest Giving USA report here: http://www.huffingtonpost.com/entry/the-good-and-bad-news-about-giving-in-the-usa_us_593f2a63e4b014ae8c69e361
Yes, Yes and Yes!! It’s definitely time for most organizations to rethink their commitment to planned giving. We’re proud to be working with some of the top nonprofits in the country on their planned giving programs–but most nonprofits are vastly UNDER-investing in their planned giving potential. Why? One reason is that development professionals are doing a poor job at internal marketing and showing the projected revenue pipeline. What’s more, much of the investment that has been made has gone straight down the toilet thanks to marketing efforts that ignore best practices like personalization, modeling, segmentation, and more.
For example, one of the most popular planned giving marketing tools? Postcards! Yup, you got it. Postcards that give the donor no way to respond!! Other programs are mailing hundreds of thousands of pieces that might as well have no response card, because they are getting response rates of less than a tenth of a percent. Come on people! We can do better. Let’s get our direct marketing teams and planned giving teams working together to lay the groundwork for these truly transformational gifts.