Benefits of Online Fundraising

Benefits of online fundraising for non-profits

The Internet is still a relatively new phenomenon, and as a result, the ways in which non-profit organizations can benefit from it have yet to be fully explored. As younger people take the place of the older generation, comfort with the Internet will be even more widespread and it will play an even greater role in fundraising for non-profit organizations. Even now, the methods of online fundraising available to nonprofits are broad and varied, and growing every day.

Fundraising on the Internet

Launching a campaign with old media requires a significant budget. This is not a problem for major charities, as many have large budgets specifically for this purpose. Fortunately for the small non-profit, there are cost-effective ways of raising funds, like the Internet. A fundraiser promoted using social networks can gain attention for a small nonprofit while requiring little in the way of cash expenditure. This means with a small budget, a charity can draw attention to itself and to the services it provides.

The ease with which people can give to a non-profit is another important benefit of the internet. One of the most basic forms of requesting donations from the public is for a charity to install a "Donate" button on its website or social network profile. This means that givers can donate to a non-profit simply by clicking a button. These buttons will grow in popularity as people become more comfortable with executing online transactions. Note also that social networks are among the most popular websites on the Internet. These sites are where people spend their time online and are therefore a great way for a non-profit to gain market exposure with an audience that is more comfortable with technology. As a result, the audience within a social network may be considerably different from those approached via radio, television or direct mail requests.

The importance of adopting new methods of getting funds, such as online fundraising, is heightened for non-profit organizations in hard economic times. During the recent economic downturn, many non-profit organizations saw funding dry up even as the need for their services rose dramatically. That has continued into the present state of recovery. A charity now needs to maximize its resources, utilize its staff and funds for the best effect, and the Internet provides efficient, effective ways of doing this. Charity may not be a priority for many people these days, so venturing into the online marketplace and taking advantage of the Internet's benefits may give a struggling non-profit the publicity and fundraising boost it needs.

The Online Fundraising Auction

Internet options available to charities include the ability to hold online fundraising auctions. Physical charity auctions have always been popular methods of raising funds as people get to combine the feeling of winning something with the knowledge that they are simultaneously giving to a cause. Also, the competitive aspect of auctions should not be discounted as bidding frenzies can send prices higher. An online fundraising auction holds to the same principles as a for-profit auction and can be considered a fun way to donate. Not only do these auctions bring in funds, they can help draw attention to causes well before the event. For example, a website dedicated both to a charity and to its auction can be used to promote both. The main benefit of using an online auction service like Biddingowl.com is that it provides the user with such a website and can greatly improve the ease with which charity auctions are promoted and managed.

However a charity chooses to use the internet, the fact is that as a flexible and cost-effective source of donations and exposure, it cannot be ignored. Finding online means of getting funds is essential for any non-profit that intends to thrive in the 21st century.