Online Giving: Changing The Way We Give
In our previous post Online Giving: A Look @ 21st Century Giving, we highlighted the fast growing popularity of the internet as a new medium for charity. With this new trend emerging, the charity sector has experienced a significant change in donor online giving patterns and behaviors. For the first time in history, we’re experiencing a global change as giving online is quickly reshaping the way we give to charity. In this post we will address how the internet has impacted our approach to giving:
Online giving has increased charitable donations
One of the most evident impacts of charitable giving via the internet, is the clear increase of donor gifts both in volume and size of donations given:
“Overall, online giving climbed 37 percent in 2006 over 2005″ (Chronicle of Philanthropy, June 2007).
More interestingly is the increase in the size amount of a single donation given online:
“Online donors are generous. Whether due to income levels, the impulsive nature of online giving or the credit card effect, online donors give significantly more than offline donors” (Network for Good, 2007)
Giving online has made it easier for Donors to connect and donate
With instant accessibility to hundreds of charities worldwide, donors are quickly warming up to the convenience and ease of online giving. In fact:
“The number one reason donors say they give online is convenience. Other top reasons include giving quickly at times of crisis, making multiple gifts in one transaction through a giving portal, and seeing their overall giving history” (Network for Good, 2007)
Online giving has encouraged wise giving
One of the many advantages of the internet is the accessibility to a wealth of information. Giving online has brought donors in arms reach to an unlimited source of information which has encouraged donors to be more selective and wise about the causes they choose to donate. Donors can use tools and resources like Guidestar and charity rating reports to learn more about where their charitable investment go and the specific needs met by their charitable gifts:
“More than 65 percent of donors used information from the Internet before giving, whether online or offline – and 40 percent always go online before giving” (Kintera Luth Nonprofit Trend Report, 2005)
Online giving has drawn community
The single most incredible response to donors giving online are the communities and networks like Microgiving that have surfaced and grown. In our previous post Micro Philanthropy & the Magnitude of the Micro Philanthropist we discussed the impact of “collective energy” when an aggregate sum of people join together and give. It seems that online giving has a propensity to inspire more giving in the presence of a community or network of people.
“In May, a social-action start-up called Project Agape launched a new program on Facebook called “Causes,” in which users can create online communities to advocate for various issues, charities and political candidates. Since then, the program has attracted more than 2.5 million Facebook users, raising some $300,000 for nonprofits and politicians, says Joe Green, 24, the project’s co-founder” (Wall Street Journal, August 2007)
Giving online has bridged the communication gap between donor and recipient
Many people are moving towards giving online as it allows Donors to develop a deeper, more meaningful connection with the people and causes they care most about. Traditional charitable giving can be impersonal in that it hinders donors from developing a more deep rooted relationship, whereas online giving breaks down the impersonal aspect and, in a sense, cuts out the middleman allowing donors to directly access and connect with the lives they impact.
“Some of the newer Web-based nonprofits, such as DonorsChoose and Kiva, are attractive because contributors say they allow them to connect directly with their recipients. Donors or lenders can hand over money directly to, respectively, teachers and students in urban public schools or individual entrepreneurs in developing countries, rather than sending a check that ends up with an abstract recipient” (Wall Street Journal, September 2007)
As online giving continues to grow in popularity, it will only be a matter of time before we begin to see the true radiations of global change.
- How do you feel about giving online?
- Has online giving changed the way you give?
- What are some of the reasons you give using the internet?
Tags: giving online
10. June 2009 at 3:02 pm :
Online giving has totally changed the way I give. It give me the opportunity to actually know who or what I am giving to. It also has taught me that google is my friend and I use it, I can know where the money I give goes. I like knowing that when I give its going to actually help someone not to pay the light bill for some big company that takes in donations and uses the money to pay their bills first. I love that I can send money to someone in need so easily. On-line giving has been a blessing, I think I have given more on line than in any other capacity.
10. June 2009 at 3:57 pm :
I feel giving online is definately going to even soar to greater heights as time goes by and be the thing of the future with technology today rising at such rapid speed, I am over whelm and excited with giving online ( very satisfactory )
There no question in my mind, It changes the way we give online, Its very efficient and convenient, As time goes by you will grow the feeling of self confidence and trust in giving online.
It give you a clear and transparent ways to see where and what most charities are doing with your donations, One of the most important thing is, all donors want to see, And to be sure their donations are being used for the appropraite causes in every way possible.
10. June 2009 at 5:34 pm :
By using the internet, you can look up most causes, before you give. Most all charities have a portfolio where the money goes. I feel people are more comfortable giving online. How many times have you gave to someone on the street, who needed food. Then, you go to the grocery store watching your money buy beer. I, actually, got into an augment at the grocery store over it.
In addition, you can keep track of your donations. When tax time comes, it would be more accessible. I believe anything over ten thousand dollars can be tax deduction.
Most people spend a lot of time on the internet as their daily routine. I, for one, donate on the internet. I don’t really care to go to that many places because of crime. It’s also a comfort thing.
Due to the recession, I don’t think your see climbing figures on donating. Everybody around is reall having money issues. It’s kinda sad.
11. June 2009 at 11:00 pm :
I feel giving online its a very good thing for donors, recepients, charity organization and all the various goverment agencies involved. Because the government can see and keep better record of who and when tax are exempt, Donors can physically see that their donations are going to the various charity foundation that meet all proper requirement of every state tax laws.
Definately their is a decline in giving due to the fact of our bad economy and also lost of jobs and too many company lay off, Folks are uncertain of their future financial situation.
13. June 2009 at 3:52 pm :
I wanted to add that I go to another site that I am a memeber and have been for over a year now. Its so easy to give there because I have known these people for a long time. I know about thier families and about their lives. They create chipins and I know who they are and I want to help. Sometilmes I can’t give but a few cents but I like that I know where my few cents is going to. The same here on microgiving I know what I went through to get approved I know the paperwork I sent in and I know everyone else went through the same process. It makes me feel safe to give here knowing these are real situations not trumped up stories. It takes a lot of stress off of giving when you know where and who you are giving too.
19. June 2009 at 4:28 pm :
I never knew there was an on line giving web site until I had a need. I have always given donations via a church, charitable organization, or directly to a person in need. Many times when I have helped someone who was in need, it seemed that some people actually resented my being able to help. Sometimes, people think you are stupid for helping, not because they do not have a need, but because they are not used to someone actually giving them help I could never understand the atitude of some people who need help, ask for help, receive help, then have a bad attitude about it. Pride is a defeating attitude. Everyone needs help at some time in their lives. I feel good in my spirit when I am able to give to help someone else, because I have been blessed to overcome many challenges and obstacles in my life. We are on this earth to “share” with those who fall on hard times at sometime in their lives. When we give, we also receive. It is always my hope that when I have helped someone in need, that that person will help someone else in need when they are able. When someone has helped me, I always remember the help I received, and I “pay it forward” to someone else. We cannot live on this earth without helping our neighbor when we can, and if we can. Helping and giving makes life better for each of us, as each life affects another. I kook forward to being able to give again. Although I do not have any money to give at this time, I am thankful that I am able to give my time, advice, knowledge, encouragement, wisdom, and experience to someone who may need direction in life. It is not always money that people need to help them overcome their challenges. Giving is a circle of our love for mankind, and comes back around to you when you need at a future time. I believe that you should give when you can, as much as you can, and as often as you can.
22. June 2009 at 11:57 am :
Hi Kids! Long time no see,…but found this wonderful site, to make your food money go further!
Please check it out http://www.angelfoodministries.com/about/
1. July 2009 at 12:53 pm :
Many people think the only way they can give is monetarily. This certainly is not so! There are many ways we can make a difference in the lives of others. We most certainly should give of our treasures, but those struggling financially also have much to give. Don’t forget you also have time and talents to share.
One way you can help The S.O.S. Mission right now is by sharing a favorite recipe. I am in the process of compiling a cookbook to help raise funds and if you would like to be part of this effort, just send me a recipe (or as many recipes as you would like to share).
Blessings,
Ramona
6. July 2009 at 10:22 am :
The internet has certainly made it easier for everyone to reach out to each other. Without the internet, I would never have gotten my online donations. But really it has just made giving easier, the real heroes are the ones who give, I am grateful to them. God bless, Penelope