Charitable Giving Drops in 2009 But Not So Bad! (And other results from the Giving USA report)
Posted on Wed, Jun 09, 2010
Glass Half Full?
That's the main reaction we're seeing online and feeling ourselves from Giving USA's annual report, released today here from the folks at the Center on Philanthropy at Indiana University.
Some juicy morsels:
* Giving levels declined 3.6% in 2009.
* Individual giving was just about the same in 2009 as it was in 2008 (after adjusted for inflation).
* Division of gifts by sector has stayed the same (religion the highest at 33%; education the second highest at 13%, but education dropped by -3.6% in 2009).
* Arts, humanities and cultural organizations have seen decreases the last two years in a row (2009 was -2.0% and 2008 was -10.1%).
* Estimated charitable bequests changed -23.9% in 2009 (in part due to two "very large" bequests filed in 2008). The cumulutative difference from 2007-2009 was 2.5%.
* The number of organizations is increasing, though not all register with the IRS.
* Corporate giving is on the rise and grew 5.5% in 2009.
Coulda Been Worse!
All in all, we're pleased that giving didn't drop as badly as anticipated. Direct response organizations must be glad that individual gift levels stayed the same. The best news of all might be that we can infer American donors recognized the importance of continuing to give throughout a difficult year, and in turn that organizations did a successful job of explaining the need and destination of donating. Well done fundraisers!
But before anyone breathes a sigh of relief...
The one thing we want to underscore is the point about competition -- do you know your competitors? Their revenue? Where you stand on positioning, calls to action, individual, major and corporate giving, when compared to them?
With the barrier to entry getting lower and lower, you can't assume a 'head-in-the-sand' position is safe; in fact, it's quite risky. Arm yourself with critical intelligence on your share of wallet, and do it before you find yourself out-messaged, out-performed and out of a job.
Check out our webcast on Mission Competition by David Lawson and Roger Craver if you're not sure where to start. It'll open your eyes and point you in the right direction.
What are your thoughts?
Ryann M