Nonprofit Fundraising Eked Out 2% Growth in 2012: Blackbaud

Nonprofit fundraising overall continued its slow recovery in 2012, according to Blackbaud’s Charitable Giving Report, released Monday.

Online fundraising, which makes up less than 10% of the overall figure, returned to significant growth rates last year, the report said.

The report drew from The Blackbaud Index, which tracks $8 billion in U.S.-based charitable giving on a monthly basis to provide analysis of overall and online giving trends in the nonprofit sector.

“Looking ahead, overall giving is not likely to increase significantly until there is sustained growth in new donors, nonprofits rebuild their multiyear donor base and overall donor retention improves,” Steve MacLaughlin, director of Blackbaud’s Idea Lab and the report’s co-author, said in a statement.

The report’s key findings include the following:

• Overall giving grew approximately 2% in 2012
• Online giving grew by about 11% last year compared with 2011
• Online fundraising accounted for 7% of all giving in 2012, an increase from 2011
• Small nonprofits had the greatest increase in overall fundraising in 2012, while medium-sized organizations led online
• Giving throughout 2012 treaded water, then got a year-end boost from Hurricane Sandy relief efforts

Nonprofit fundraising performance last year differed considerably based on the size and sector of the organization, according to Blackbaud.

Small nonprofits, with annual total fundraising less than $1 million, grew their fundraising 7.3% compared with 2011. Organizations with annual total fundraising between $1 million and $10 million had an increase of 2.7%. Fundraising by chairities with annual total fundraising more than $10 million was up by 0.3%.