Measuring donation strategies in the digital age

Donors are increasingly utilising technology and a new global report indicates that NFPs are upping their technology spend. So, what are some of the implications for fundraising in Australia?

The Global NGO Technology Report is a biennial research project that seeks to gain a better understanding of how non-governmental organisations (NGOs) worldwide use technology. The 2019 Global NGO Technology Report was based upon the survey results of 5,721 NGOs worldwide.

Trends in public donations and fundraising

Across the world, technology is changing the face of fundraising. In 2019 64% of the surveyed NGOs reported they accept online donations on their website. Of those, 79% accept credit card payments, 50% direct debit, 46% PayPal, 10% digital wallet payments, and 2% Bitcoin.

Worldwide, 68% utilise recurring/monthly giving, 34% tribute giving, 31% crowdfunding, 30% peer-to-peer fundraising, 14% a mobile card reader, 12% text-to-give, 9% mobile money, 3% smart speaker giving, and 2% giving through gaming.

Respondents from Australia and New Zealand indicated these local trends: 

  • a particularly high rate of recurring monthly giving at 84%
  • well above average rate of tribute giving at 49%
  • above average rate of peer-to-peer fundraising at 37%.

NFP technology spend on the increase

A clear majority of NFPs – 56 % of NFP organisations in Australia and New Zealand – have increased their spend on technology in 2019.

Social media engagement

In Australia and New Zealand, 93% of NFPs regularly use social media to engage the support of new and existing donors. Social media platforms have a high following and engagement rate with 92% using Facebook, 40% Instagram, 41% Twitter, 36% LinkedIn and 20% YouTube.

Trusted technology

Cloud Computing is the technology that NFPs in Australia and New Zealand are most likely to understand well, according to the Global NGO Technology Report. The report found that 44% of those NFPs surveyed indicated that they understood Cloud Computing “very well” as a productivity and emerging technology, (compared, for example,  to 8% for blockchain technology or 15% for predictive analytics).

According to technology platform Xero, cloud computing can help NFPs track donations because:

  • Cloud Accounting software streamlines the accounts processes of time-poor NFPs
  • Critical donation and expense information is easily shared between donors, board members and volunteers
  • Cloud Accounting systems sync seamlessly with third party apps for fundraising and donor management
  • Cloud accounting apps enable NFP staff to stay connected from their phone or mobile device.

Using technology to plan your organisation’s future strategy

One of the key, often overlooked,  benefits of new technology in the NFP sector is not just how growth can be tracked easily, but how easily accurate data can be collected and then formulated into a strategy for the future.

Working with a qualified accountant you can obtain a picture of where people like to donate, what technology they prefer to use and what their giving patterns can tell you about the financial prospects of the organisation.

The infographic on NFPs and Technology we have developed highlights some of the key findings of the Global NGO Technology report.

View our donation strategies in the digital age infographic here.

Hopscotch Accounting has a strong track record working with NFPs to help them grow, focus on their goals and maintain positive public perceptions. Contact us today for an Accounting Efficiency & Risk Check and we will review your accounting operations, including technology uptake, and identify ways we can save you time and money.

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