Nonprofit fundraising in an election year is especially tough. What can fundraisers do?
We’re hearing from many nonprofit fundraisers that it’s harder than ever to drive revenue growth. According to the Fundraising Effectiveness Project, in 2023, the number of donors was down three years in a row, while Giving USA found that total individual giving fell 2.4%, adjusted for inflation. To add to the challenges of rising costs and tepid donor response, election campaigns in 2024 are driving media saturation and higher advertising costs.
What can be done to boost nonprofit fundraising in an election year? Research from Blue State suggests steps organizations can take to position themselves for success this election year and for future sustainable growth.
Donors in swing states are less likely to give to nonprofits in 2024
Conventional wisdom suggests that elections heighten donor engagement, a net positive for nonprofits. A 2016 paper from the Indiana University Lilly Family School of Philanthropy notes that “financial support for Presidential or other political campaigns does not appear to decrease donations to charity.”
While that may be true at the macro level, our survey (fielded in April 2024 to a nationally representative sample of 2,100 adults) points to a more nuanced reality: In a nonprofit fundraising environment that has remained unstable since the pandemic, surveyed donors indicated they do plan to give less to nonprofits during the election year—especially those in 12 states considered “competitive” in the presidential election. When asked if they intended to donate to a nonprofit this year, swing state donors were 8% less likely to say they planned to do so than donors in less competitive states (43.1% vs. 39.9%). The gap was even wider for donors under age 45; those in swing states were 20% less likely to say they planned to donate than those in other states.
The ‘tune out’ effect in swing states
It seems counterintuitive. Shouldn’t heightened civic engagement and issue awareness in swing states lead to increased charitable engagement? Surprisingly, research indicates that residents of areas saturated with political ads and solicitations are less likely to report increased election interest. This appears to translate to overall fundraising fatigue—not only political but also nonprofit fundraising.
The study revealed a concerning trend: In addition to the 15% of all nonprofit donors nationwide who block or unsubscribe when they receive political fundraising emails, up to 18% of swing state donors close their email entirely upon receiving political solicitations. This “tune out” effect doesn’t just impact political causes; it makes it harder for nonprofits to reach loyal supporters. Whether driven by inbox clutter, donor fatigue, or media saturation, the results are the same: a net reduction in donor activation.
Weathering a perfect storm by enhancing nonprofit fundraising strategies
These findings paint a challenging picture for nonprofits hoping to grow in 2024. More than 113 million people living in swing states—34% of the U.S. population—is not a constituency that nonprofits can ignore. How can they engage this group when the media is saturated with political content and potential donors aren’t engaging with fundraising messaging? This creates a perfect storm where nonprofits risk getting lost in the noise, their messages ignored or, worse, triggering a complete shutdown. Here are three steps to bolster nonprofit fundraising in an election year:
1. Tailor and target messaging. Scrutinize your fundraising campaigns. Does the tone or content resemble political messaging? Research reveals the next generation of nonprofit donors positively engage with political fundraising, while donors 55 and older tune out. Segment your approach—prioritize clear, compelling storytelling that emphasizes impact and values beyond politics.
2. Diversify your outreach. Our research revealed that many donors are only hearing from nonprofits in a single channel (e.g., 44% of nonprofit donors ages 35 to 64 only remember content from a single channel). Explore a diverse mix of online and offline channels to reach potential donors. Consider online events, connected TV (CTV), synchronized mail, and digital, as well as influencer collaborations to cut through the noise and connect on a more personal level.
3. Embrace data-driven decisions. Closely monitor your advertising performance by state. Identify which regions yield the best returns and which are lagging. Don’t be afraid to throttle spending in underperforming states, particularly those heavily contested in the election.
Looking ahead: Adaptability and resilience
The 2024 election cycle demands that nonprofits, especially those in swing states, rethink their fundraising strategies. This is not a year we can put programs on autopilot or expect the “same-old” tactics to yield better results. To realize sustainable growth, organizations need a new mix of channels and messages, as well as a renewed focus on audience diversification. Start now to maximize nonprofit fundraising long after the election.
Photo credit: Vlad Tchompalov via Unsplash