How to Fundraise During Tough Economic Times
Fundraising during challenging economic periods can be tough. With rising inflation, cost of living pressures, and economic uncertainty, it can be hard for charities, social enterprises, and community projects to generate the funds they need to keep initiatives alive. However, tough times can also create opportunities for creative and resilient fundraising strategies.
Leverage Digital and Online Platforms
In recent years, digital platforms have revolutionised fundraising, offering cost-effective solutions to reach a wider audience. During tough economic times, when people might be more cautious with their disposable income, online fundraising can be especially impactful.
- Crowdfunding: Platforms like GoodHub provide easy ways for individuals and organisations to set up fundraising campaigns. Make sure to tell a compelling story about your cause to engage donors emotionally.
- Online Auctions: Partner with businesses and influencers to hold virtual auctions where people can bid on donated items or experiences.
- Social Media Fundraising: Platforms like Facebook, Instagram, and Twitter enable you to run fundraising campaigns, whether it’s through direct donations or promoting your events and initiatives. GoodHub’s team will share your social media posts, giving you access to wider audiences. Just call us.
- Subscription-based Giving: Consider setting up regular monthly donations, which can provide a steady income stream.
Focus on Micro-Donations
In difficult economic times, people may not have the means to donate large sums, but many are willing to contribute smaller amounts if it feels like they can make a difference. Micro-donations are a powerful tool, and they can really add up.
- Text-to-Give: A simple way to get people to donate £1-£5 is via text message. With smartphones becoming ubiquitous, this method provides an easy and accessible way for supporters to contribute.
- Penny Appeal: Promote small-scale, easy-to-achieve fundraising campaigns that encourage people to donate their spare change.
Engage with Corporate Sponsorships and Partnerships
Businesses, especially those focused on corporate social responsibility (CSR), are often looking for ways to give back to the community, even during a downturn.
- Mutually Beneficial Partnerships: Approach businesses that align with your cause. Companies might donate a percentage of sales for a limited time, or provide matching donations for employee fundraising efforts.
- Employee Giving and Payroll Giving: Encourage companies to offer payroll giving schemes, where employees can automatically donate part of their salary to charity.
- Sponsorship of Events: Events like charity walks, online fundraisers, and community projects still offer businesses an opportunity to boost their visibility and reputation through sponsorship.
Apply for Grants and Trust Funds
While competition for grants can be fierce, there are still numerous trust funds, foundations, and government-backed grants that provide funding to charities and social enterprises in the UK.
- Research Available Grants: Look for government initiatives, local council funding, and grants specifically aimed at supporting communities during economic hardship.
- Focus on Niche Areas: Many grants are targeted at specific issues, such as food insecurity, mental health, or helping the elderly. Tailor your applications to align with the funding criteria.
Host Low-Cost or Virtual Events
While traditional events like gala dinners or auctions may no longer be feasible, there are ways to host events that don’t require significant costs. Virtual events can lower expenses while still maintaining an engaging and meaningful experience.
- Virtual Walkathons or Runs: Encourage participants to set their own fitness challenges and fundraise through sponsorships.
- Online Workshops or Webinars: Offer expert-led webinars or virtual workshops where participants pay a small fee to join. This works particularly well if you have access to skilled professionals willing to donate their time.
- Streaming Fundraising Events: Leverage live streaming platforms like YouTube for fundraising events where people can donate during live broadcasts. Gamified fundraising, where viewers can donate to trigger fun activities or challenges, can also be a great way to engage.
Maximise the Impact of Volunteers
Volunteers can be invaluable in fundraising efforts, especially in tough economic times when funds might be limited. Encouraging volunteerism not only brings in essential human resources but can also result in an additional form of support through “giving in kind.”
- Encourage Peer-to-Peer Fundraising: Train your volunteers and supporters to fundraise on behalf of your cause. By setting up their own campaigns, they can reach their personal networks and expand your fundraising efforts.
- Offer Volunteer-led Events: Empower volunteers to organise smaller fundraising events, from local bake sales to car boot sales or raffles.
- Volunteer Recognition and Engagement: Show appreciation for your volunteers through public recognition, which can also encourage more people to get involved.
Tell a Compelling Story
Donors want to know their contributions will make a real impact. Be transparent and clear about how the funds will be used.
- Create a Sense of Urgency: Make it clear why funds are urgently needed, especially if they are linked to a time-sensitive goal, such as responding to a local crisis or providing immediate relief.
- Share Success Stories: Don’t just focus on the problem—highlight the positive outcomes your organisation has achieved with previous donations, and how future contributions will help create more success.
- Engage in Personal Outreach: A more personal touch can resonate deeply. Sending heartfelt letters or emails to past donors explaining the current need and its relevance can make a real difference in securing continued support.
Collaborate with Like-minded Organisations
Collaboration can be a powerful tool. Partnering with other charities, social enterprises, or local businesses can help pool resources and increase your fundraising potential.
- Co-host Events: By joining forces with organisations that share similar goals, you can cut costs and reach new audiences.
- Joint Fundraising Appeals: Collaborative fundraising campaigns often attract more attention and allow donors to feel that their contributions are part of a larger movement.
- Shared Resources: Pooling resources for marketing, events, or volunteer efforts can help reduce costs for all involved parties.
Conclusion
Fundraising during tough economic times requires a strategic approach that balances creativity, digital tools, and community engagement. By diversifying your fundraising methods, focusing on small-scale donations, building strong partnerships, and telling powerful stories, you can successfully weather economic challenges and continue to support your cause. Remember, in difficult times, people often come together in surprising ways, and with the right approach, your fundraising efforts can thrive. The team at GoodHub are with you all the way.