Nonprofits - fear is our greatest enemy.

I’ve heard some concerns about a recession and how it could affect fundraising for NPOs. TL;DR I remain optimistic. BUT, I’m a naturally optimistic person (even though I came into the workforce during the Great Recession).

I am no economist (even though most economists get it wrong), but reports I’m hearing in the world of philanthropy give me reason to be optimistic. 

2 KEY EXAMPLES:

Yesterday I was speaking with a colleague who was running data on their major fundraising campaigns over the last 15 years, and what she saw was a lag in giving from the Great Recession. There wasn’t a dip in their clients’ fundraising campaigns in 2008, 2009, or 2010, but it did hit them in 2012 before returning and getting back to normal (and climbing) 1-2 years later. Most campaigns still hit their goals across the board, most of them in advance of their campaign completion date. Meanwhile, in 2012, new campaigns were gearing up (as they should have been). This created additional stasis. 

This gives me reason for optimism. Additionally, the Giving Tuesday numbers just came in, and they’re looking really strong too…

According to the Chronicle of Philanthropy, $3.1B was raised for Giving Tuesday in 2022. “Giving was up 15 percent over last year, and more than 25 percent over 2020.” — this more than makes up for inflation (7.7%). For comparison, Giving Tuesday brought in $2.47B in 2020. 

As my father always said, “Just keep your head down.”

Greater than a down economy, fear is our greatest enemy.