half full half emptyDon’t believe the story some people are putting out there – that for your major and planned gift program (or for that matter, your non-profit), there’s nothing but financial doom and gloom ahead.
This story is circulating in philanthropic media and consultants who say they’ve secured reliable and factual data that we are all in for a boatload of trouble in the coming months. And some of these sources, on the surface, are quite credible. I mean, they’ve been doing research for years.
Here is some of the stuff Jeff and I, and our colleagues, are reading:

  • There’s a Reuters News / Charity Navigator survey of social service organizations. They say 83% of the respondents are reporting they are being hurt financially, and they predict a drop of 38% in revenue for the April-June period.
  • A Gallup survey asserts that there is a 73% drop in the share of Americans giving in the last 12 months.
  • CAF America says that 94%+ of respondents to their survey of 880 organizations in 122 countries as saying COVID-19 had negatively affected their revenue.
  • Campbell Rinker reports that the pandemic has spooked 10% of donors into giving somewhat less and encouraged 5% of the donors to give more.
  • CCS reports that they’ve surveyed 1,183 non-profit professionals, in most of the philanthropic sectors, online between April 20 and May 1 and that 63% of those responding cite a decline in fundraising (I think they mean revenue) since the start of the pandemic; one in four report a significant decline, and 80% of those surveyed expect a decline in results the rest of 2020. They also say that very few non-profits have laid off or furloughed fundraising staff.

I could go on and on with reports of doom and gloom. Goodness, maybe we should just close shop and leave town! But the information is faulty, in our opinion. I will explain that later in this post.
Then there’s the other side – from the actual fundraising practitioners who are relating directly to donors or donor data that shows actual giving:

  • A recent report on actual donor giving from a major agency serving 135 national non-profits in seven major philanthropic sectors – the report has these amazing facts: number of donations are up 4.2%, total revenue is up 32.2% and the average gift is up 26.9%. All of these facts are year over year through May 17th. And the arts and culture sector is virtually even with 2019!!
  • Our own experience, as noted in my recent post There Is A Secret Formula, describes actual generous and over the top giving, told to us from clients in many different sectors.
  • Many other reports tell of non-profits large and small whose giving is up 6% or, as one said, 13%. And others that are breaking even. Even a large public media station reports that while their corporate revenue is way down, their individual giving is way up, making up the difference and delivering bottom line growth over last year!
  • The Chronicle of Philanthropy reported that while the share of people giving has dropped in recent years, the annual total of giving has climbed higher, and average gifts are up. This is actual donor data from the IRS from last calendar year. We expect to see the same result for 2020.

What’s the difference in these two views of the glass, one half empty, one half full?
In our opinion, it’s basically summed up this way:

  1. Many of the surveys are surveying the wrong people. They’re asking fundraisers what’s going on, NOT donors. And sadly, many fundraisers (front line and managers) are operating out of fear and they’re not asking, or they simply don’t know that now is the time to ask their good donors to help out. Or if they do know, they don’t have a plan in place to do it. So, of course, if you ask those folks what they’re experiencing, they’ll report and forecast the situation they themselves have created – one of lack of a plan, defeatism, transactions, fear, entrenchment and negativity. So, they are reaping what they sowed and cannot see any possibility for the future.
    But if you ask donors or observe what donors are doing – the donors who are treated properly – you’ll see a different picture and a different intention. One public media station executive told me that a donor said to her: “Hey, I know some folks can’t give as much right now, so I’m going to give more. Thanks for telling me what you need.” Another donor, this one giving to a major arts group, was giving $10,000 a year and recently gave $125,000. Why? Because the need was explained and he was asked to help. There you go.
  2. There’s a strong correlation between the financial struggle of the non-profit and the lack of leadership in fundraising in that non-profit. Virtually every situation where leadership stepped up and explained the need to their donors in a compelling and urgent way – in every one of those situations the financial impact is minimal. Why? Because when donors truly understand what is needed, they’ll “save the day.”

It’s time for you and your leadership to look at the glass as half full, and seize the opportunity to explain the situation to your donors. (Tweet it!) And don’t be hiding the dramatic and troubling truth that if you don’t get the support you need, you’ll have some very negative consequences – including possibly having to shut your doors. Just tell it. That’s what the donor can and will respond to.
Take steps now to fill the rest of the glass. You can do it. And don’t believe the gloom and doom stories circulating around you. Think about what’s possible, and go for it!
Richard