Fundraising through Social Networks… Is it Effective?
July 15th, 2008By Paul Habig
MySpace, Facebook, LinkedIn… Should these sites be a part of nonprofits’ online fundraising strategies? How do nonprofits raise funds from social networks? Are they really raising money?
The Washington Post recently published an article about the total funds raised from Facebook’s Cause application, which allows Facebook users to fundraise for their favorite charity with the support of other users and friends.
Nearly 20,000 nonprofit organizations collectively raised a whopping $2.5 million in the application’s first year. Breaking this down, this averages $128.50 per organization. Don’t get me wrong, this is an exciting moment in online fundraising, but these numbers require us to put the medium in perspective.
So, should nonprofits be investing time, energy, and resources into social networks?
Yes… but as part of a long-term online strategic plan, not as a short-term online fundraising plan. Why? Social networks have become the latest communication medium for the next generation of future donors, a generation that generally doesn’t respond to direct mail and uses email less and less.
Why reach out to these constituents now? We know this demographic are many years away from entering the ideal age for online donors. Nonprofits, such as Amnesty International, canvassed college campuses in the 60s and 70s, creating their present-day donor base. Similarly, nonprofits with a large presence on social networks will be in an ideal position to mobilize a future generation.
The pillar of online fundraising is built on the foundation of long-term cultivation and stewardship.
In conclusion, demographics for social network sites are changing everyday as more people, young and old, flock to these sites. Fundraisers need to be utilizing the social networks as part of their online communications strategy. Additionally, campaigns need to be integrated with all mediums–including direct mail, email, websites, and social networks.


