As technology is drastically improving by the ticking clock, the quality of our life, our consumer behavior and social habits are all changing, for better or for worse. Fundraising is a business about engaging with donors, and with the new wave of technologies coming at us hard, there will be inevitable changes in the way and method we fundraise. Companies like JustGiving, Facebook and GoFundMe have already been fundamental in creating and facilitating change, and we wanted to take a look at some key topics that will also likely influence future change.
Blockchain -
Cryptocurrency, backed by the blockchain technology, is a decentralized digital currency system that guarantees transparency, which means that all transactions are directly from users to users and all the transaction records will be available for the public. When blockchain is implemented in fundraising, donors will be able to track their donations and make sure the right amount falls into the right hands. Furthermore, blockchain and cryptocurrency can allow for donations to or from distant areas with heavy government regulations be done easily, as the blockchain technology has no real entity and thus cannot be controlled by any central force. However, blockchain is still able to maintain its integrity as all the transactions are examined by all the computers within the system. We will not going into details on the design and technology behind blockchain here, but its principles of decentralization and transparency make blockchain a perfect medium for fundraising in the future.
Big Data -
Big data originally simply means very large amounts of data, but now it is a phrase more referred to predictive analysis and user behavior analysis. There already exist big data companies that specifically provide service for the non-profit sector. Data is the answer to a lot of the key questions fundraisers are asking. “What demographics are donating to what? Where? What elements of the campaigns are prompting donations?” With big data being implemented in our daily life more and more, fundraisers will inevitably pick up this technology eventually. In the future, big data will help fundraisers find their perfect donors, and campaigns specifically catering to you may be showing up on your social media feeds. The data themselves are also of huge values to fundraisers. Big data on potential donors is a bank of knowledge on human behavior which is valuable to all sectors of consumer-oriented businesses. Owning such data can create opportunities for fundraisers to work with businesses to better understand their audience and maximize their influence.
Generation Z -
Generation Z refers to the people born between 1995 to 2009. They are the first generation to grow up with digital technology, and their savviness and reliance on digital technology are what separate them from other generations as donors. Because of the plethora of information they have been accustomed to receive and process every day, it will be a challenge for fundraisers to tell their stories in a short amount of time across different mediums to cater to Generation Z’s shorter attention span. Generation Z is also more suspicious of authorities and big organizations with their use of data and their online marketing. Thus, it will be crucial for fundraisers to show their authenticity and transparency to earn the trust of Gen Z. To sum up, Generation Z will eventually become the focus donors for fundraisers, and the challenge is to connect with them in their home court: online media. Fundraisers will have to learn how to tell their stories, and appeal to them in non-traditional means and environments.
Live Videos -
If you ask any fundraiser, he would say that face-to-face is the most effective way of fundraising. With the popularization of live-videos on social media, face-to-face fundraising can be brought to a previously unimaginable scale. The key feature of live video is that it allows real time interaction between an audience and a host. Even though, technically, in a live video fundraiser, the fundraiser won’t be able to see all of his audience, he will be receiving live feedback from them and can respond to them in real time, thus making possible of a live conversation engaging hundreds or even thousands of people.. Furthermore, live video is a great platform to live-stream the moments of impact of your fundraising or to showcase your results. As opposed to edited video products, a live video is a more authentic form of presentation as what you see is exactly what is happening.
Micro-influencers -
Micro-influencers are media users that have a pretty sizeable following, usually from 10,000 to 500,000. They are the content creators for some niche sectors, and they are highly engaged with their audience. These micro-influencers are in a perfect position for fundraisers because they are usually not big enough to rely their livelihood on social media solely, but possess a following that they can really influence. This means fundraising organizations are likely to sponsor these influencers for free instead of spending big money to sponsor the mega stars on social media, and their high engagement rate with their audiences means that these micro-influencers are likely to produce the highest return rate of donations.
Above are the top 5 technology innovations, trends, and generation characteristics that will likely to change the business of fundraising as we know it today. Authenticity, efficiency, and engagement are the key words to almost all sectors of the consumer market, and it is no different for fundraisers. Hopefully, these elements will be positive impact to the world of charity and fundraising, comment below to let us know if you agree.
If you liked this blog, and want to learn some cool inspirational stories of how some people went with their fundraising at charity races, click on this Racemappr blog.
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Racemappr is an app that dedicates to connect the community around runners and racers. We help you discover your next challenge by finding local running, cycling, swimming, and triathlon events for you. A high percentage of the races in the world are for charity causes or have a fundraising purpose. That is why we wrote and shared this article to all of you, so that we can all be educated on the subject.
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Playstore: https://play.google.com/store/apps/details?id=net.stonewave.racemappr
iOS: https://itunes.apple.com/us/app/racemappr-find-local-races/id1364375769?mt=8
