Charities of all sizes continually face a steep uphill mountain climb of a challenge.... Fundraising!
In this edition, we delve into the world of fundraising and the 5 biggest challenges facing charities around the World today. In other words, how will a charity attract new supporters? Maintain or improve their earnings through donations? How will they do this with as little outlay as possible to ensure more of the donation is going to the end person or cause in need and how will they do all of this in an increasingly skeptical world, where capturing personal data has almost become a taboo?
1. People don't want to hand their personal data over
Problem: People no longer want to share data, there’s been too many scare stories of giant companies like Yahoo! being breached with customers personal data being stolen and often held to ransom. Too many targeted, spammy emails and adverts from companies that have bought data from your ‘trusted’ brand as a 'trusted marketing partner'. In Europe at least, the new GDPR regulations that came into force at the end of May 2018 have certainly helped us all to clean out the guff, but skepticism and cynicism are high, as we’re now far more aware of how the marketing algorithms work. So why, oh why, would we want to use a service that requires personal data, when we can use one that doesn’t?
According to Third Sector, only 10% of the public would share data with a charity!
Solution: A form of digital fundraising that requires no personal data. Using the spare processing power in a network of internet connected home computers (much like the SETI project), we now have the technology to generate digital currencies such as Bitcoin and for these generated funds to be converted into a donation stream for your charity of choice. Simple, secure, non-intrusive and best of all - Anonymous!
2. 'Sorry I don't carry cash and I haven't got time to talk'
Problem: How many times have we walked down a street and apologised to a charity collection volunteer, or homeless person to say ‘sorry I haven’t got any change’ or an enthusiastic charity representative to say ‘sorry I’m late for a meeting.’ ? It’s not a sign of ignorance, a sign that we don’t feel guilt for the person, or don’t care about the cause. We are a time poor, cashless society with an ever-growing swing in culture to hide or present from behind a technology rather than in front of it. Look at social media and the irony that envelopes it at times; where everyone sat in a public place by themselves (or often in groups), will ignore the surrounding social opportunities, to talk to their friends through an app instead!
This isn’t going to disappear, this is going to compound as the younger generations who have only ever known that way, become the majority demographic.
Solution: Embrace technology, a home computer can generate an income by supporting a decentralised cloud service. For the work your computer has put in, it will be paid in a digital currency like Bitcoin. No cash required, no time required and surely far more efficient and cost effective for the charity who will almost certainly be paying an agency for donator sign-ups on your local high street.
3. New Customer / Supporter Acquisition
Problem: This is a challenge all businesses face, regardless of whether they are for or not for profit. How do we increase our audience? How do we successfully bring them on board and how to we do it for as little outlay as possible? As I mentioned in the last two sections, charity supporters no longer want to provide data and the majority of us are both cash and time poor so this is starting to sound like an impossible task.. right?
Solution: In less than 30 years, the internet has gone from an idea to a network of over 4 billion users worldwide (Internet World Stats, Dec 2017). In less than half that time, social media giant Facebook has gone from a college students extra-curricular obsession to a user base of over 2 billion and that’s just one of many social media platforms we now have at our disposal. By combining the internet, the platforms that provide us with access to huge and diverse audiences and simple to use digital fundraising apps such as Cudo Donate which ensure anonymity, we have the means of attracting a truly global audience with a significantly lower cost of acquisition.
4. Customer / Supporter Retention
Problem: Customer retention is just as important as acquisition. After all, there’s no point filling a bucket if it has holes in the bottom. Ready to be shocked? When a charity uses an agency to fund raise for them, they often won’t see a penny for up to 27 months! It sounds crazy doesn’t it? Imagine these costs plus the cost of running call centres to keep contacting you, thanking you for your support (a critical function under the current model). Oh, hang on, didn’t we say earlier that people are no longer willing to hand over their personal data? Surely this would include their contact details as well, so how exactly are charities supposed to retain a supporter, pay the agency fees and still have enough left over to help the cause they support?
Solution: I think you know where I’m going with this by now. How about using a free app that once installed, sits quietly in the background and monetises your computer's processor power when you’re not. A passive income stream for your charity that requires no agencies, no call centres and that will generate a donation every single month. A donor is far more likely to donate to a charity that is more cost efficient to ensure the highest percentage possible, of the revenue generated goes to the end person or cause in need.
5. Attracting Corporate Sponsorship
Problem: The business culture has massively shifted over the past decade. Largely led by the tech & enterprise world. Customers and staff are now expectant of their suppliers and employers to be more socially and environmentally responsible. This is not the problem of course as corporate sponsorship is an ever-increasing income stream for charities. The problem is how to attract them in the first place, especially when you’re a smaller charity without the brand awareness of a large charity. How will charities get a slice of the corporate pie (now their not guzzling it all themselves)?
Solution: Provide businesses with a way of monetising an existing asset, such as their desktops at night, or their spare server capacity. Provide them with an option to allocate a percentage towards their charity of choice and the option to treat the rest as a new additional revenue stream. Provide them with an option to easily switch between different charities should they want to support multiple causes & give them the opportunity to PR how innovative and socially responsible they have been to their customers and investors. By providing a platform such as Cudo Donate even the smaller lesser known charities will benefit from companies all over the world that may have never heard of them before. The value is huge and the technology is here.
Cudo Donate is a 100% carbon neutral cryptocurrency mining application. For more information please visit www.cudodonate.com and join our goal to raise £1bn for charities!
Topics: Cudo Donate