Why Do Donors Give Online?
Network for Good recently published a fantastic report that explored online giving to over 23,000 charities and causes. Network for Good’s study highlighted the reasons why donors choose to give online versus conventional charitable giving. In a recent publication, Network for Good found that more and more donors are turning to the web for a variety of reasons:
Online giving is convenient
When surveyed, the number one reason donors said they turn to the web for their portal of giving was mere convenience. Online giving is simply easier and more convenient than writing a check. Conclusively more donors are using this new and promising new medium for charitable giving online.
Online giving is fast and easy
Second to convenience, online giving is a quick way for donors to respond promptly during times of crisis. In our previous post Where do donors give online, we noted that disaster relief receives the highest response rate over any other category – boasting of $24.5 million donated in response to disasters like Katrina, the Pakistan earthquake, and the tsunami that hit Thailand back in 2004.
Online giving facilitates global connections
Another reason donors choose the internet as their portal for giving online, is the novelty of instantly connecting with Recipients worldwide. For the first time, the internet has allowed donors to connect with recipients around the world and in a way that conventional charities have not been able to facilitate. In other words, the internet has allowed donors and recipient to develop organic, life changing relationships that are reshaping the way we give online.
Online giving allows donors to keep track of their giving history
The internet has also become increasingly more popular among donors as it is the best option to manage and track records of charitable giving online. Donors can easily create an account, deposit funds, make donations and manage all past and future donations from one place making the internet the number one preferred medium for charitable giving.
Albeit more people are turning to the web to give out of convenience, but how much weight can accuratly be placed on mere convenience? Recent studies indicate that the 21st century has given birth to a generation of “web-dependants”. It seems as though every aspect of our lives are becoming “virtualized” and although we may seek convenience, there might be more to it. Yahoo and OMD published data taken from an Internet Deprivation Study conducted in 2004:
“Regardless of age, household income or ethnic background, all participants in an ethnographic Internet deprivation research study experienced withdrawal and feelings of loss, frustration and disconnectedness when cut off from the online world. Users described their time offline as ‘feeling left out of the loop,’ having to ‘resist temptation’ and missing their ‘private escape time’ during the day. The study shows that the Internet affords people the ability to overcome time and distance and to manage communications with a larger social circle, thereby creating an effortless community. Participants in the study found they missed the ability to exercise control over the pace and content of communication with different layers of friends and families. As a result, during the deprivation period, participants’ outer circle of relationships suffered.”
Regardless of the many amenities and conveniences the internet may offer, the web binds us together in a way where we can connect, thrive, and grow in a virtual eco-system supported by a unique inter-connected world.
14. July 2009 at 1:58 am :
Online giving surpass the previous way people use to make their donation, It is very efficient, economical one of the most convenient way to make donations. This generation embarked on the modern day technology, Because you can make donations all over this Globe and physically see right in front of your eyes in most cases where you make that donation from home or work.
Online giving give you insight on the statistic to see how the major charity foundation operate their organization.
14. July 2009 at 7:31 pm :
For me personally, I find online giving convenient, and fast. It also allows us to help people around the world. With online giving you can reach millions of people around the world, not just those people in your particular living community. You have more options and more charities that you can choose to give to. The only draw back I can see to online giving, is making sure your gift is sent safely and securely. With identity theft etc, I do worry about giving online sometimes, but for the most part, it doesn’t stop me from giving online.
Lois
16. July 2009 at 5:15 am :
Donors give online more because it’s easier. They are more quickly connected to the charities information websites and individual recipients, than they would be normally in their day to day life. They can find charities more easily online and they find that the donation process is faster and easier.
16. July 2009 at 8:09 am :
I give online and locally. I give locally online too. I don’t have a checking or a savings account. I never carry cash but that doesn’t stop me from using Paypal and if I can paypal funds to someone I can help them immediately. I think it’s the immediate help that makes me want to donate online. If someone on the other side of the map needs food, I can drop $20 in their paypal account and know they will eat in a few minutes VS driving to the ATM to withdraw cash, buy a money order envelope and stamps send them the MO which will take 3-4 days and hope they can cash the MO and get the food they needed 3 or 4 days ago.
18. July 2009 at 2:23 pm :
People give online because they feel compelled to the cause. With things being so fast pace, it’s quicker to give online just by using paypal. A person has either been in your situration ,or had some sickness,or a family member had the sickness, or a person went to camp when they were little. It could be any of this reasons. Somehow you just touch their heart and they just gave because!
23. July 2009 at 11:55 pm :
I agree Becky, Paypal made it easier to get money to someone more quickly when it’s necessary and with lower fees then if you wired it. I just wish Paypal weren’t making so many different changes.
24. July 2009 at 11:03 pm :
Lois, Paypal actually started making changes back when Ebay bought it. Those changes were designed to nearly force people to use Ebay. It worked for a while, Ebay and Paypal both grew tremendously….so did all the fees, then Non Profit Associations were pretty much left out as legitimate businesses and had their funds locked down till they either forced Paypal to downgrade them to limited personal accounts or they just left and used another money transfer program.
Paypal is only easy and trusted because of Ebay. There are many other money transfer services out there. Because my Non-Profit was among those left out and my funds were locked down till I eventually did manage to make enough of a fuss to have my account dropped to personal I’m going with another processor for Handipets before the Crippled Critter Benefit in September. Paypal is only good for online shopping. Think of all the donations you have made off your credit card? The person on the other end had fees taken out of money they desperately needed, either the donor has to send enough to cover fees, or the recipient has to wait for another donation to cover what they lost in fees. That to me makes it useless for non-profits and people donating funds. Okay for profit businesses, they can just raise their prices..but non-profits?