Maximizing Giving through Technology

Maximizing Giving Through Technology

         The foundation of raising funds is building relationships, communicating a message, and effectively meeting a community need. Successful fundraisers know they must build rapport with potential and current donors, a task that is usually accomplished through one-on-one communication such as facility tours, lunches, phone calls, and direct mail pieces. Today, another crucial component of fundraising is a nonprofit’s digital presence and capabilities to accept donations through technology. In 96 pages, fundraising guru Richard C. McPherson tackles Digital Giving: How Technology is Changing Charity (ISBN: 978-0-595-44255-3). Written in 2007 and published by iUniverse, Digital Giving  explores the impact technology has on charitable giving.

            The purpose of Digital Giving is to education nonprofit organizations and their leaders on the power of using technology to engage donors and further the mission of the organization. The book is directed toward nonprofit organizations, however the information within it is relevant to anyone who wishes to make an impact in their community. Filled with interviews of nonprofit leaders who’ve successfully incorporated technology as a means to connect with donors and for donors to connect with them, Digital Giving provides a wide breadth of knowledge and perspective. It takes readers on a journey that discusses Web 2.O, blogging, Google, social networks, corporate philanthropy, navigating websites, giving through cell phones, and merging online communication with traditional paper or postal mail. In keeping with the purpose and topics discussed, the theme of Digital Giving is to discuss and “remove obstacles” for readers to understand “big technology trends affecting charity, and how organizations embrace them to increase public support” (vii).

            In one example, McPherson talks about the positive results of merging a digital email campaign with a traditional direct mail campaign. According to a study, “email produces more-informed donors who give generally larger contributions on average than those who do not receive e-mail” (76). And, the most effective emails are those that are received following a direct mail campaign. Today, just sending mail is not effective, but neither is just sending an email, especially given the vast amount of spam mail individuals receive. Combining the e-mail with a social network experience, that allows donors to create and respond to content (35).

            With the rapidly changing scope of technology, much of Digital Giving’s content is basic in today’s world, although it was most likely revolutionary when it was published seven years ago.  It’s accuracy and objectiveness and frequent reference of successful engagement of technology to raise funds makes it a very relevant book for nonprofits and for this course. However, due to the outdated content, a second volume of this book that references today’s technology trends and future trends, would be even more useful. For instance, McPherson spends much time referencing MySpace, and barely mentions Facebook, which is the leading social networking site for today. Although the tool he references is no longer relevant, the information he provides about social network engagement is. For instance, he says that “technology does best when it is integrated into the continuing relationship between an organization and its supporters, and when it fits donors’ lifestyles (63). The key to technology is that it’s not to create a challenge for donors, but to create an easy way for donors to find out more about an organization while they are engaged in routine, common tasks. For instance, having a delightful photo appear in an individuals’ Facebook newsfeed helps potential and current donors click on it and learn more about the nonprofit while doing a regular task – checking status updates of their friends. One of the most obvious ways this book relates to the course textbook Information: A Very Short Introduction  is that the cover features  a picture of Ben Franklin imposed with binary data. Binary data, as discussed in the Information book, is how computers code information. Furthermore, Information discusses the ecological impact of technology, which is also addressed by Digital Giving as it compares and contrasts traditional forms of communication and its cost and environmental impact verses digital communication.

            Despite the assertion that content in this book is basic, it is not widely implemented across the nonprofit sector. McPherson asserts this is because nonprofits often have departmental silos where the person implementing technology is not also the person involved in donor relations (77). This explains why several nonprofits, including the one for which I work have combined the responsibilities of the fund development and communications director. Furthermore, McPherson mentions that many nonprofits retroactively use web tools and do not make them a main practice. Often, nonprofits run “tests” of the effectiveness of technology but don’t put the effort into creating success, resulting in low results of tech use among donors. Nonprofits must begin dedicating time and having a dedicated person to technology as a donor engagement tool.  

In the book, McPherson asserts that “cell phones will very soon replace other things you carry for getting information and making transactions” (65). This relates to nonprofits because nonprofit websites need to have the capability to have websites that are phone-friendly. With the onset of smart, internet-capable phones, websites initially had mobile-friendly websites, generally proceeded by the lowercase letter “m” before the rest of their website name. Now, instead of having mobile-friendly websites, many websites have a distinct, mobile version designed for easy navigation on phones. Plus, text-to-give campaigns have become wildly popular, especially when raising support for national disasters.

            Technology is helping nonprofits become more efficient, especially as it relates to communicating to donors and garnering support. Technology allows nonprofits to not only reach people in their direct community, but also to promote their cause and raise support worldwide. Technology is changing the landscape for the better, as it allows donors to give instantly and learn even more about their nonprofit of choice. The key to successfully incorporating technology into fundraising campaigns can be summarized by the words McPherson uses to close the book, “make the most of [technology] for your cause” (96). Technology helps nonprofits communicate their message, share success stories, and garner support in an engaging, cost-effective manner. Technology provides a powerful opportunity for nonprofits to further their reach, enhance engagement, and diversify funding support.