A thorough guide to a lucrative digital fundraising strategy of NGOs

By Sofia Oliveira

A thorough guide to a lucrative digital fundraising strategy of NGOs

Most non-governmental organizations (NGOs) raise donations through digital channels. Find out here which online strategies worked best during 2023 and discover the six statistics brought to light by DevelopmentAid to help to boost your fundraising.

Digital channels and tools are popular for non-profit fundraising. Despite the average 1% drop in online revenue in 2023, some NGOs raised over US$3 million using online platforms and tools but online platforms are crowded, and users can become overwhelmed with calls to action. You have to fine-tune your NGO’s digital fundraising strategy to stand out. In this article, you’ll find six statistical insights to help you to do just that, based on the 2024 M+R Benchmarks report analyzed by DevelopmentAid.

Statistic #1: Donation pages on NGO websites have a conversion rate of 12%.

Websites are widely regarded as the most effective digital tools for non-profit marketing and fundraising. The average conversion rate of donation pages on an NGO website is 12%. As such, it is not surprising that most non-profits use them to seek donations and many organizations put a lot of effort into their website. Recent statistics show that 7 out of 10 non-profits had redesigned theirs within the last three years.

Statistic #2: 31% of all digital revenue in 2023 came from monthly donation programs.

Monthly giving programs are fairly common nowadays: 77% of non-profits offer monthly donation options. These subscription schemes are reasonably successful, representing almost one-third of all non-profit revenue last year.

Statistic #3: 34% of all digital revenue in 2023 was raised from one-off donations during one month – December.

Many non-profit supporters still prefer one-off contributions. These donors usually give an average amount of US$115 once a year. This type of fundraising is most successful in December. Last year, one-off gifts in December accounted for 34% of all digital revenue.

Statistic #4: Sending 1,000 fundraising emails generates, on average, US$76 in revenue.

Most NGOs take advantage of email marketing to raise donations. Fundraising emails are often sent on a quarterly or monthly basis. However, this fundraising strategy is not as effective as monthly and one-off donations. Less than 1% of recipients open links in fundraising emails and, on average, it takes sending 1,000 of these emails to raise $76 in revenue.

Table 1 – Percentage of link clicks per different types of email sent by NGOs. Data from 2024 M+R Benchmarks.

Statistic #5: Donations raised through mobile messages increased by 14% in 2023.

Mobile phone messages bring very few donations, accounting for under 1% of all online revenue last year. But their popularity could be on the rise since in 2023, mobile messages resulted in 14% more donations than the previous year. Their effectiveness also surpassed fundraising emails: on average, sending 1,000 messages via mobile phones resulted in a revenue of US$92.

Statistic #6: 61% of the promotional budget of non-profits is spent on direct fundraising.

NGOs use 61% of their advertising budget for direct fundraising. In the digital realm, the funds used to raise donations are mostly spent on search engines and social media. But search engines are particularly effective with US$1 spent on advertising generating, on average, a revenue of US$2.70.

Table 2 – Advertising budget of NGOs per goal (in % ). Data from 2024 M+R Benchmarks.

Final thoughts

In 2023, the digital revenue raised by non-profits decreased by 1% compared to the previous year. But digital channels still represent a significant revenue stream, with some organizations raising over US$3 million. Non-profit professionals recognize the value of keeping up with new trends and good practices in the digital ecosystem. In fact, 73% of them frequently attend training sessions in digital marketing and fundraising.

DevelopmentAid is an information service provider for international development, hosting over 55,000 NGOs on their database. Subscribing to the DevelopmentAid newsletter grants you regular access to articles about NGOs and the international aid sector, as well as bidding opportunities and expert opinions. Effective Facebook strategies and social media tips for NGOs are among our latest articles on this topic.