Everything Has Changed-Yet Nothing Has Changed
The number of nonprofits has grown at a steady rate of 1.4% annually over the last 20 years.
- The United States now has more than 1.8 million nonprofit organizations that account for more than 10% of companies in the US - representing about 6% of the US economy.
- The total revenue of nonprofits has grown from a little more than $1 trillion in 2000 to about $3 trillion in 2023.
- 71% of nonprofits have seen an increase in demand for their programs and services.
Individual Donor Participation
- Individuals donated $319 billion in 2023, which accounted for 64% of total donations.
- The average donor’s one-time gift was $121 and monthly gifts were $25.
- 60% of American households are now engaged in charitable giving.
- 85% of US donors also volunteer, and 81% attend nonprofit fundraising events.
- 81% of donors contribute food or other goods to nonprofits through in-kind donations.
Corporate Donor Participation
- Corporate giving increased over 15%, with corporations collectively donating more than $21 billion to nonprofits.
- $2–$3 billion was donated through corporate matching gift programs annually.
- 84% of individual donors expressed a higher inclination to donate if a matching gift opportunity was provided by their company.
The Role of Technology
- Frequent, consistent communication with online donors resulted in a 41.5% increase in revenue.
- 72% of individuals say that the presence of a charity rating badge increased their likelihood of giving.
- The number of transactions completed through mobile devices increased by 50%.
- The rise of the Internet has created new platforms for fundraising, advocacy, and outreach, enabling organizations to connect with supporters more effectively and reach a global audience.
- Crowdfunding platforms like GoFundMe and Kickstarter have democratized the process of fundraising, allowing individuals and small organizations to raise significant amounts of money for their causes.
- Social media has also transformed the way nonprofits engage with their audiences. Platforms such as Facebook, Twitter, and Instagram provide organizations with tools to disseminate information quickly, mobilize support, and drive awareness. This shift has enabled nonprofits to build communities around their causes and foster engagement in ways that were previously unimaginable.
- Data analytics has allowed organizations to gain insights into donor behavior and refine their strategies for engagement and fundraising, leading to more impactful initiatives.
- Emerging technologies—such as artificial intelligence, blockchain, and machine learning—hold promise for further enhancing the operational capabilities of nonprofits. From streamlining administrative processes to enhancing engagement and outreach efforts, these technological innovations have significantly improved efficiency and effectiveness.
Mission Diversification
- Environmental concerns, social justice, human rights, and mental health awareness are just a few areas that have gained prominence. This diversification reflects a societal shift towards addressing complex and intersecting issues, whereby nonprofits are not only filling service gaps but also advocating for systemic change.
- The rise of social enterprises—a blend of nonprofit missions with business strategies—has introduced innovative models for achieving social impact. Organizations like Warby Parker and TOMS Shoes have shown that businesses can be both profitable and socially responsible.
Everything Has Changed - Yet Nothing Has Changed
Everything has changed. In the past twenty years nonprofits have experienced an unprecedented expansion and diversification in mission, funding, and the use of technology.
Yet nothing has changed. Nonprofits still seek to provide a challenging social service to the underserved segments of society, but they remain hungry for more employees, volunteers, and funding to carry out their ever-expanding mission.