Economic data on major sectors of the economy are regularly collected and reported in the media and in industry-specific reports. For example, data about the real estate and financial markets are regularly published and available for use in decision-making by sector leaders, government officials, investors, and consumers.
Nonprofit sector leaders do not typically have the same access to timely, sector-specific information. In fact, data regarding the nonprofit sector is usually derived from the IRS Form 990 and, consequently, has a lag time of at least a year or more.
To address this lack of timely data, the Caster Center at the University of San Diego developed in 2011 the State of Nonprofits Quarterly Index (SoNP). Published quarterly, the SoNP reports on six distinct indicators that have a direct impact on the economic health of San Diego’s nonprofit sector: public confidence, individual giving, volunteering, demand for services, nonprofit employment, and overall unemployment.
In June 2014, the Caster Center released its 2nd SoNP annual report, presenting and analyzing findings from 11 quarters worth of data.
I have been privileged not only to work on the State of Nonprofits Index but also to report the findings for the Nonprofit Quarterly. For more information or to read the report, please click on the links below.
The internet has changed the way we do many things. It has changed the way we shop, the way we bank, the way we teach. It has even changed philanthropy. eBay Deals and eBay Giving Works recently came out with an Infographic listing sixteen stories they believe prove the “internet has a heart.” These stories do prove that online giving is alive and well. They also illustrate three potential trends or “hot spots” in online giving: disaster response, inspiring stories, and the few nonprofits savvy enough to channel the power of viral philanthropy.
Trend #1: Disaster Giving
Online giving is particularly effective in times of natural disaster. We saw this following the earthquake in Haiti. The Red Cross raised millions of dollars in a very short time frame using methods that are still largely untapped by many nonprofits: Twitter and mobile phones. The immediacy of disaster-based needs and the visual images of damages shown on TV are powerful motivators for philanthropy. The Infographic indicates that the eBay Giving Works program drive raised more than half a million dollars in support of relief for victims of the 2013 tornado in Oklahoma; and that GoFundMe has raised more than $3.3 million for victims of the bombing at the recent Boston Marathon.
Trend #2: Inspiring Stories
The internet loves a good story. You may have seen on Facebook or Twitter the compelling story of Billy Ray Harris, a homeless man from Kansas City who returned a diamond ring. That story went viral and more than $191,760 in donations poured in for Mr. Harris through GiveItForward.com. In a similarly touching story, a man from Nairobi inspired more than $80,000 in donations in less than twenty-four hours after being slashed in the face trying to defend his orphanage. These stories have the power to capture the hearts and open the pocketbooks of many.
Trend #3: Savvy Nonprofits
In other cases, it seems that nonprofits that are savvy about online giving can actively participate in creating the “perfect storm” for online giving. For example, more than $1.4 million was raised via Charity: Water when soon to be nine-year-old Rachel Bechwith asked that in lieu of gifts, friends and family helped bring clean drinking water to developing nations. Her wish was fulfilled after her passing. In another case, more than $200 thousand dollars was raised for Doctors Without Borders by a FirstGiving campaign sponsored by Reddit/Atheism. The Infographic does not tell the story of how the online campaigns were created or executed, but the focus on a nonprofit’s mission as opposed to an individual such as Mr. Harris is key.
Nonprofits should take note. Not all nonprofits work in the area of disaster relief but most can tell a compelling story. These stories, besides being potentially viral online giving opportunities, are touching and speak to our common humanity. They are a motivating factor in giving.
The money given to the man in Nairobi and to Mr. Harris will change a few individual lives but will not affect the lives of the many other homeless men nor will it improve the safety of other orphanages. However, nonprofits who educate themselves about online giving have the potential to channel the viral impact of these stories by raising money for the organizations and programs that will make a lasting change.
Note: part of this blog ran as a newswire report for the Nonprofit Quarterly.
While San Francisco city officials are undoubtedly celebrating the drop in the homeless population from 6,455 in 2011 to 6,436 in 2013, which is largely attributed to the city government’s commitment to permanent supportive housing, the demographic questions included in the Biennial Homeless Count offer lessons for the rest of us.
For the first time ever, San Francisco collected demographic information about the sexual orientation of homeless individuals. The survey reported that almost a third (29%) of respondents self-identified as LGBTQ (lesbian, gay, bisexual, transgender, queer or questioning). This figure is most likely higher than the general population; Alfred Kinsey argued 10% of the population is gay or lesbian, and other studies have reported even smaller percentages.
It is no secret that San Francisco is an LGBTQ-friendly place, and it is not surprising the LGBTQ homeless count might be high. However, there is a deeper lesson for nonprofits across the country.
Note: This is part of a newswire I wrote for the Nonprofit Quarterly. To read the full post, please click here.