Research and recommendations for effective, day-to-day nonprofit practice from ASU faculty, staff, students, and the nonprofit and philanthropic community.
The fundamental shift in philanthropy is generational. Millennials, who now represent the largest adult demographic, have taken control of charitable giving with new priorities around transparency, social justice, digital engagement, and impact. Nonprofit organizations adapting to such evolving standards lacks flexibility—these changes are critical for growth, sustainability, and long-term relevance.
Millennial donors frame relationships that require a complete reimagining of conventional fundraising tactics, which I learned through my Capstone Solutions Project and through the incredible discussions with nonprofit leaders like Jalisa McLamore from Deliver the Dream. In her work with evolving philanthropists, it became clear that successful change requires shedding outdated styles based on blind institutional loyalty and mass fundraising appeals. As opposed to the enduring nonprofits, evolving nonprofits clearly pursue distinct strategies that emphasize authenticity, relationship-based fundraising, and innovation in technology. Philanthropic policies are evolving and no longer just require nonprofits to issue a report once a year. These organizations now have to provide ongoing impact reporting throughout the year that demonstrates measurable outcomes. Trust, once earned, becomes the cornerstone needed to retain support from millennials, who generously donate to nonprofits with deeply cared missions. Thus far…
Nonprofits can be affected by and are subject to public policy. Administrative shifts can affect the general operations and program management of an organization more than is comfortable to admit. However, nonprofits can also make and influence public policy. In fact, they are at a particular advantage to do so, nonprofits provide the government a cheaper way to provide services. The ability for nonprofits to leverage outside funding makes them an ideal “contractor” for things like human service delivery. Nonprofits maximize the impact of government spending through their ability to secure additional funding.
Due to their advantage as lower-cost service providers as well as their ability to be affected by public policy shifts, it is clear how it may be advantageous for nonprofits to seek to influence public policy so as to not play defense when that policy is enacted.
It is important for nonprofit organizations to engage in public policy as they have firsthand knowledge of their communities' needs and circumstances. Many times, nonprofit organizations work with those eligible and ineligible for assistance programs and can speak to the needs of both of those communities.
It is important to guide advocacy efforts through a “best-practice” lens that can be adapted to the needs and capacities of any organization. Advocacy is a difficult thing to measure, as there are a lot of moving parts…
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In a changing philanthropic landscape where trust is paramount, nonprofit organizations must adapt to ensure their mission resonates with their communities. Trust-based philanthropy offers a transformative approach that enhances donor relationships and fosters deeper connections with community stakeholders. It emphasizes open communication, unrestricted funding, collaboration, and alignment with the fundamental principles necessary for nonprofits to thrive in their mission.
Understanding trust-based philanthropy
Trust-based philanthropy aims to rebalance power dynamics between donors and nonprofits, shifting from a transactional model to one centered around mutual trust and respect. Trust enhances nonprofit adaptability, allowing organizations to respond strategically to real-time community needs. Establishing trust within the relationship enables nonprofits to receive greater financial support, ultimately enhancing their initiatives and operational efficiency.
The importance of community trust cannot be overstated. Building a positive reputation can increase funding opportunities, enhance volunteer engagement, and improve program delivery. Trust directly contributes to a nonprofit organization’s ability to navigate challenges and maintain support during difficult periods when community backing is critical.
Building community trust through transparency
Trust in philanthropy hinges on…
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Donors are essential to the existence of nonprofits. They’re the reason we can run programs, keep the lights on, and make real things happen in the communities we serve. However, keeping donors around year after year proves to be challenging for the nonprofit sector.
According to the Fundraising Effectiveness Project, the overall donor retention rate in 2024 was just 42.9%, marking five straight years of decline. Essentially, for every two donors who gave to an organization last year, only one came back. This leaves nonprofit leaders and fundraisers stuck chasing new folks to replace the ones who already believed in what you’re doing, but didn’t stick around. Constantly finding new donors can be exhausting. It takes time, energy, and money that could be spent deepening existing relationships. Instead of starting from scratch every year, what if we shifted our focus to the people who are already in our corner?
Here are a few strategies for nonprofit leaders and fundraisers to consider to keep donors coming back - not just once, but for years to come.
The first step
One of the quickest and easiest ways to have a positive impact on donors is with a simple thank you. Thanking donors should go beyond an automatically-generated tax receipt or bot email. Donors should be receiving a real thank-you that is timely, personal, and specific. The goal is to make donors feel appreciated, and that their gift mattered.…
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Nonprofit organizations play a unique role in society–they don’t just serve causes, they shape and stand for social values. Yet in times of pressure, change, or crisis, even the most deeply held values can quietly drift. Leadership approaches and governance structures can reinforce and strengthen organizational values, making them more resilient to challenges. Understanding how leadership behaviors and governance choices support the sustainability of those values is essential in navigating today’s complex environment.
What leadership approaches help deliver enduring nonprofit values?
Meaning-making
During times of uncertainty, nonprofit staff, board members, and community members often turn to leaders for guidance and interpretation. Leaders who practice meaning-making help stakeholders understand not only what is happening but also why it is happening. This leadership approach serves to minimize anxiety and create clarity during challenging times.
Shared governance
Traditional hierarchical governance structures persist in many nonprofit organizations; however, shared governance models are a valuable alternative. When leadership and decision-making responsibilities are spread across staff, boards, and community members, values become embedded into everyday operations and practices. These inclusive…
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