Thriving Amid Change: How Nonprofits Can Strengthen Donor Trust and Resilience
With so much changing around us, nonprofits can’t just focus on getting by, they need to lead the way. From shifting demographics to new technologies and unpredictable policies, it takes proactive thinking to stay ahead. Now more than ever, success comes down to building strong, honest relationships with donors.
Building on our first blog this month, here are a few practical tips to strengthen your fundraising strategy and increase financial support.
Strengthen Donor Relationships: Earn trust by being transparent and telling stories that reflect your values. Today’s younger donors, especially millennials and Gen Z, tend to be more skeptical and intentional with their giving. They want to know what you stand for, not just what you need. They’re drawn to organizations that are authentic, mission-driven, and willing to show the impact behind the appeal. For them, it’s less about the tax deduction and more about the cause. Share the “why” behind your work, real stories, real voices, and real results, and you’ll build the kind of trust that leads to lasting relationships.
Educate and Equip Donors: Results from a 2023 report from the Lilly Family Institute of Philanthropy offer some surprising insights:
According to their research, only 39% of Americans trust nonprofits “very much,” and just 25% believe nonprofits are truly transparent.
It's worth noting that other studies, such as the Independent Sector's 2024 report, have reported higher trust levels, with 57% of Americans expressing trust in nonprofits. These variations underscore the importance of considering different methodologies and definitions of trust when interpreting such statistics!
Regardless, this trust gap is concerning, but it also presents an opportunity. Nonprofits can take proactive steps such as: a) educating donors about how their contributions are used, b) hosting workshops with financial planners to demystify charitable giving, and c) sharing transparent, values-driven stories that highlight impact. By investing in open communication and genuine engagement, nonprofits can rebuild trust and foster deeper, more lasting relationships with their supporters.
Rethink Communications: Don’t lead with fear. Instead, reaffirm the importance of philanthropy, regardless of political or economic changes. Use analytics to segment your audience and tailor messaging accordingly. Know who’s most affected by changes and speak directly to their concerns and motivations.
This moment is not a crisis, it’s a catalyst. Organizations that embrace innovation, practice radical transparency, and engage donors with clarity will not only weather the storm but set the course for a stronger, more inclusive philanthropic future.