*Nonprofits Raise an Estimated €40 Billion Annually
In a new report of fundraising in sixteen European nations, national fundraising associations express optimism about the continued growth of voluntary income, with the majority of associations surveyed reporting that voluntary income has risen (eight) or remained stable (six) from 2013 to 2014 and nine nations anticipating further growth for 2015.
The European Fundraising Association’s report, Fundraising in Europe 2015, published today, estimates that around €40 billion per year is raised by charities in thirteen European nations, indicating that the United Kingdom, Germany and Italy raise the largest amounts, with voluntary income reported at €17 billion, €8 billion and €4 billion respectively.
The report highlights the importance of new fundraising techniques, with technological developments and the use of social media cited as the factors that fundraising associations attribute having had the most positive influence on charity fundraising over the past year, followed by higher standards of fundraising. Direct mail remains one of the top three fundraising methods in ten of the nations surveyed, but four national fundraising associations now indicate that mobile/SMS fundraising is one of their nation’s top three methods.
The most negative factor to have affected fundraising from 2013 to 2014 was cited as the implementation of the new Single Euro Payments Area regulations. Six European nations identify difficulties in implementing and adapting to the new scheme.
While the majority of European nations reported that public trust and confidence is largely stable, four nations indicated a fall from 2013 to 2014 and only one thought trust had risen. When asked to indicate how concerned charities in their nation are about a range of factors, public trust in charities was identified as the top area of concern, with references to both charity scandals and other national events as likely contributing factors.
Every association surveyed identifies that, since the global recession, charities in their nation are facing increasing demand for charitable services. Many nations also report a reduction to some funding channels during this period, making fundraising an increasingly competitive and challenging environment.
Günther Lutschinger, President of the European Fundraising Association and CEO of Fundraising Verband Austria, comments on the survey findings, saying: “After several years of monitoring fundraising trends across Europe, EFA recognises the continued growth of philanthropy since the economic crisis. For the second year in a row, the majority of nations anticipate further growth in voluntary income for the year ahead.”
“At the same time, there is widespread recognition that the sector cannot take its treasured position of public trust for granted and the potential impact that any erosion of trust can have on donations. To protect that trust, charities have to work hard to build public understanding not only of their services, but of the way that they operate.”
For more information, see the full report: Fundraising in Europe 2015