The European data for the report was provided by Salesforce from a global survey. The report focuses on the responses of 751 senior representatives of nonprofit organisations in four European nations: France, Germany, the Netherlands, and the UK. Organisations surveyed were small (0-100 staff) medium (101-500) and large (500 plus), across a wide range of causes. Alongside the data, commentary from fundraising experts in a further five countries explores the findings to broaden pan-European insight.

The report tracks change and key challenges, alongside how nonprofits are responding. AI is a special area of focus, examining sentiments towards it and growing use. Guidance is also included on how nonprofits can build organisational resilience in the face of these challenges.

Key Findings

Funding & workload remain sector’s biggest challenges

A year on from 2024’s report, many of the sector’s top issues remain in focus while several have further intensified.

• Raising sufficient funds has become more pressing – cited by 36% of respondents compared to 28% last year
• Managing workload is a challenge for 35% – similar proportion to last year’s 37%
• Recruitment (29%), retention (28%), and staff wellbeing (24%) remain key issues, with recruitment and retention up from 25% and 20% last year, and wellbeing down slightly from 26%.

Shifting strategies – sector’s response 

In response to the pressures, nonprofits continue to evolve their fundraising strategies.

• Channel mix – nearly a third (30%) report diversifying strategy to include a wider mix of channels, up from 23% in 2024’s report
• Investment in fundraising, marketing and communications – 28% are investing more, up from 18% last year
• Acquisition & retention – around a quarter (24%) have increased efforts to acquire and retain supporters, while 20% are prioritising regular giving and donor stewardship

AI adoption continues at pace – and is no longer optional

Nonprofits are putting a strong emphasis on digital-first fundraising and increasingly adopting AI, with fundraising and operational efficiency emerging as the main drivers.

• Digital fundraising – 87% of nonprofits are now using digital channels for fundraising, with social media (51%), website (48%), email and social media advertising (both 37%) most popular
• AI use – nearly half (48%) of nonprofits now use AI, a significant rise from 13% last year, and 56% say they’re open to adopting it. Engaging with AI however is no longer optional as adoption accelerates more widely
• Data privacy – (49%) and data security (47%) risks are the top concern at almost half of respondents, followed by job displacement or loss of skills (29%). 18% highlight issues around accuracy or ethics

Commenting on the findings, Ceri Edwards, EFA president and executive director of engagement at the Chartered Institute of Fundraising said:

“This benchmarking exercise offers vital insights into how Europe’s nonprofits are faring, and how they’re responding to major challenges. The notable increase in AI adoption this year, combined with the ongoing focus on digital innovation, highlights how nonprofits are actively strengthening their resilience and sustainability in a time of immense change.”

Andrea Goezinne, senior product marketing manager, Salesforce, added:

“The sharp rise in AI adoption across Europe’s nonprofits is one of the most significant developments highlighted in this year’s benchmarking. AI offers a genuine opportunity to reimagine how nonprofits fundraise and operate and, as its wider use accelerates, keeping up means engaging with it is no longer optional. However, real transformation will only happen with solid foundations in place: strong, integrated data, modern systems, and investment in people. Those that implement these will be best positioned to unlock AI’s full potential and strengthen their long-term sustainability.”

The full report and its findings can be downloaded for free here: European Nonprofit Pulse 2025

Examining how nonprofits are responding, the Nonprofit Pulse Report 2024 was conducted by the European Fundraising Association (EFA) and the UK’s Chartered Institute of Fundraising (CIOF) in collaboration with Salesforce. It’s a comprehensive analysis of the evolving landscape for European nonprofits, based on a survey of 670 organisations across Europe, of a variety of sizes and cause areas.

To look deeper into the trends it revealed, a recent webinar brought together Susan Mahon, Salesforce director of product marketing and Charlotte Rydh, EFA president and secretary general of Sweden’s Giva Sverige, with Rob Cope, executive director at the CIOF, and Nick Scott, digital, AI and strategy consultant.

Responding to challenge                                                        

The report highlighted that the biggest challenges for nonprofits last year centred around managing workload, staff recruitment and retention, and fundraising. And, against a backdrop of still rising service demand and costs, these issues look set to continue for some time with Cope noting: “Many charities are having to raise more just to stand still, and some areas and causes will be harder hit than others, such as those that had to draw on reserves during COVID. This all combines to create a perfect storm.”

In response, nonprofits across Europe are trying new approaches, and for a significant proportion, it’s paying off. 30% of respondents improved their ability to plan strategically in 2023 thanks to some of the changes implemented. A similar percentage (31%) reported more flexibility and agility in responding to change.

Greater emphasis on engagement

So, what actions are they taking? Internally, 40% have increased their use of digital channels, a sign, said Mahon of “how the sector as a whole is working as economic challenges remain.”

Supporter engagement has become an even greater area of focus. Three quarters of respondents made changes to fundraising strategy in 2023, with 23% expanding their use of digital channels and 23% diversifying channels. Driven by competition for other sources of income and the need to reach more people, nonprofits are also increasing in-person activity, with face to face (F2F) fundraising growing as the fourth most popular channel for fundraising and engagement after social media, website and email.

“Charities are seeking ways to make donor recruitment more interactive and engaging. It’s about how we connect with people and build relationships – especially as we become more digital,” said Rydh.

They’re also seeking ways of deepening engagement among existing supporters because, as Mahon noted: “It’s so much easier to retain a relationship than acquire a new one.”

Rising importance of ethics and trust

With this comes increased focus on supporter data, and a growing realisation of the need to protect it to gain, and retain, trust. Yet just 29% of survey respondents said they have measures in place to safeguard sensitive data, and only 36% have a data handling policy.

This, panellists observed, is likely down to lack of resources and competence internally – particularly in small organisations where people are often spread across multiple roles – as well as pressure to direct as much money as possible to the cause.

But as advances in tech, including AI, bring both new possibilities and ethical considerations for nonprofits, it’s an area they absolutely must focus on, said Cope, adding: “The issue of trust and being able to handle data responsibly will become very difficult unless we get a handle on it now.”

Nonprofits need to see trust as a key organisational asset, Scott added: “With AI it’s going to be a much bigger challenge, which means ethics and the ethical use of tech has to be central to the business of running an organisation.”

Taking advantage of tech advances

Certainly, the report highlighted a move towards using AI with 43% exploring or interested in how they might leverage it, and 13% already using it.

In fact, the true figure for users of AI is likely to be much higher, said Scott: “AI is a very fast-moving area and adoption is fast-moving too. Most charities are using AI in ways they don’t even realise. If you’re trying to make Facebook’s algorithms work for you so your posts are seen by supporters for example, you’re interacting with AI.”

Grabbing opportunities with AI

AI provides opportunity at every level, from individual to team and organisational, panellists agreed, able to transform productivity, support content creation, and provide invaluable insight. “In being able to use AI as another pair of hands to identify data trends and conduct analysis for extra insight, we can give supporters an even better experience,” Cope commented.

Adding to this, Rydh said, it can help reduce workload pressures: “With charities always short on staff, there’s a real opportunity too to use it to free people up from some of their more manual tasks to spend more time on higher value work.”

At the same time, they cautioned, it brings new challenges – from how to handle transparency, to how to decide what’s right for your donors, and ensure it helps staff wellbeing and workload rather than hinders.

Reaping the benefits of AI and doing so safely, Scott said, will be about ensuring support internally: by providing access to spaces for safe experimentation along with training and guidance to build understanding of where individuals and teams can experiment and where they shouldn’t.

“AI is no different in many ways to the digital change management we’ve all been through,” he added. “You can’t avoid the same conversations around culture, ways of working, and infrastructure. The foundations have to be right for anything new.”

What’s next?

So, looking forward, what can Europe’s nonprofits expect? With economic and political turmoil set to continue, the pressures are unlikely to lift any time soon so they can’t sit back, said Rydh. Pointing to the 22% who collaborated more with other nonprofits in 2023, she added: “I hope the greater collaboration we’re seeing will become a trend. If not, these continuing tough environments will be difficult to deal with.”

But opportunity will also present itself – most notably through digital and AI to expand the market for giving and enable smaller nonprofits to compete with organisations much larger than themselves for a share of the public purse. “I predict an increasing levelling of the field with small and particularly medium-sized charities able to punch above their weight to give more established organisations a run for their money,” said Cope.

With AI, Scott also believes the hype bubble will start to burst, enabling more valuable conversations about where and how to use it, in which the sector must ensure its involvement. “Nonprofits need a very active, knowledgeable and powerful voice in this to make sure that the real, productive AI that comes next is human led,” he said.

Nonprofits are already responding to a whole range of challenge and opportunity, through their greater focus on supporter engagement, to improving their internal processes, and their interest in AI. Looking ahead, what’s certain, concluded Mahon, is this: “Change is the only constant, so improving agility is going to become increasingly important for nonprofits to navigate or circumnavigate those changes.”

Key takeaways

• Ensuring relationships remain at the heart of fundraising is a key focus for nonprofits seeking to attract new donors and keep existing supporters engaged and giving.
• Fundraising, engagement, and trust are all reliant on having data that’s well-structured and protected, and this requires responsible data custodianship.
• Having internal support to embrace learning and experimentation in a safe setting will be essential for nonprofits to benefit from AI.
• Digital and AI will lead to an increasing levelling of the field, enabling smaller nonprofits to punch above their weight in competing for a share of the public purse.
• As challenges continue, flexibility, agility, and the ability to make the most of technology’s opportunities will be the markers of successful nonprofits.

Main picture by Anthony B Beck on Pexels

The report, by the European Fundraising Association in partnership with the UK’s Chartered Institute of Fundraising and Salesforce, is based on a survey of 671 senior representatives of nonprofit organisations from 20 nations across Europe, conducted in November 2023. It shows how the ongoing economic crisis means nonprofits across Europe are doing more with less, with service demand and workload both rising, and a tight squeeze on donations and funding.

Challenges & opportunities

Just 6% of the respondents reported being unaffected by the cost of living crisis, with a fifth (20%) concerned about the future, citing workload, raising sufficient funds, and supporting staff and their wellbeing as their biggest issues.

Once again however, nonprofits are facing their challenges head on, with many seizing the opportunities available to them in response – from advances in technology and AI, to greater collaboration between organisations.

Rob Cope, executive director, membership & operations, Chartered Institute of Fundraising, says:

“The nonprofit sector is currently facing its biggest collective set of opportunities, challenges and risks in our lifetime. It’s a perfect storm of rising demand, growing workload and squeezed income that means together, as a sector, we must answer the big question of how we can all do more with less. One of the most exciting areas of opportunity has to be in new technologies and AI, which is a critical lever of change that we cannot ignore.”

Development of AI

The report’s focus on AI delves into how nonprofits are using it, or planning to, and their view on its opportunities and the challenges around its use. Also included are recommendations for getting started with AI, and commentary on this and other key report findings from fundraising experts.

Key findings

Easing of pressure but biggest challenges remain

2023’s survey suggests some easing of pressure from 2022 with percentages dropping in many areas of concern, however:

• 28% of those surveyed saw demand for services increase, while 28% saw income from donations fall, and 26% experienced a drop in supporter numbers.
• 20% had to use their reserves, while 28% let staff go, and workload along with staff wellbeing were key issues for 37% and 26% respectively.

Sector’s response to challenges

In response to the challenges, 2023 saw fundraising strategy remain unchanged for just 8% of nonprofits with the vast majority responding through a variety of means:

• Almost a quarter (23%) focused on further digital development and channel diversification.
• Collaboration was mentioned for the first time since tracking began in 2015 as a top area of focus, with 22% working more with other nonprofits.

Fundraising: in-person activity reignites alongside further growth in digital

Reliance on digital continued to grow in 2023 for Europe’s nonprofits and their donors:

• 19% acquired more supporters through social media and 17% through online events.
• The most popular channels for fundraising and engagement were social media (51% of respondents), website (47%), and email (46%). At the same time, in-person activity rose with face to face the fourth most popular channel (39%).

Focus on AI

Gauging nonprofits’ current sentiments on using AI, the research found:

• 13% were excited and already using AI, and 22% ‘optimistic but cautious’, while 15% said they didn’t see their organisation using AI at all.
• Key concerns for both Generative and Predictive AI were data security and privacy, loss of human expertise and job displacement.

Lori Freeman, VP & GM of nonprofits, Salesforce, says:

“AI represents a tremendous opportunity for nonprofits of all sizes, and will be the key to reducing workloads for overburdened staff, improving fundraising outcomes, accelerating mission impact, and so much more. But, successful adoption in the sector depends on the use of trusted AI that can help nonprofits safely take advantage of their data with confidence. By embracing AI and educating employees on how to use it in a trusted and ethical way, nonprofits have a once-in-a-generation opportunity to modernise their operations and impact.”

Commenting on the report, Charlotte Rydh, president of the European Fundraising Association (EFA) and secretary general of Giva Sverige in Sweden, says:

“There is immense value in working together and sharing expertise and experience. This is something that is echoed in this year’s survey findings, which show rising collaboration between nonprofits. Having this pan-European view of the nonprofit sector, with its trends, challenges and opportunities, also helps us all by enabling individual nonprofits to benchmark, and by providing valuable insights that national fundraising associations, networks like our own, and others supporting the sector, can use to inform our work.”

The full Nonprofit Pulse 2024 report and its findings can be downloaded for FREE. A webinar panel discussion on the findings will follow in May with details to be announced.

The 2022 Nonprofit Pulse – Tracking Change in Europe report saw EFA and Salesforce.org survey 658 nonprofit representatives from 30 nations across Europe. Now in its third year, the report’s results show the sector faced continued crisis conditions in 2022 with the economic downturn increasing service demand and further stretching resources.

In response, nonprofits are transforming fundraising and service delivery as they do their utmost to meet rising need.

Key report findings:

• Nonprofits faced continued crisis conditions in 2022 with the economic downturn increasing service demand and further stretching resources, with almost a half of respondents (48%) saying they were struggling to manage workload.
• Raising sufficient funds continued to be a major challenge (47%), with 32% seeing individual giving decrease across 2022.
• In response, nonprofits diversified channels (31% of respondents) and invested more in marketing and communications while 35% said they increased their focus on supporter care.
• Demonstrating resilience, nonprofits continued to grow their use of digital (38%) and show agility and flexibility in adapting to meet the needs of their service users.
• Supporting staff and their wellbeing was brought into focus, with 1 in 3 respondents stating this as a key challenge.
• The survey revealed clear regional differences, with UK and Ireland bearing the brunt of the cost of living crisis.

Findings in detail

Fundraising income is down while demand is up for many nonprofits in Europe. More than a third (37%) of nonprofits saw demand for their services increase in 2022, and 28% said that donations decreased. This is having an impact on their financial wellbeing, with 22% tapping into organisational reserves.

However, although a third (36%) were concerned for their future, only 10% said they were cutting back on services. 1 in 7 (15%) said they were increasing their service delivery to meet the needs of their service users.

Charlotte Rydh, president of the European Fundraising Association (EFA) and secretary general of Giva Sverige in Sweden, says:

“2022 was yet another incredibly tough year for the sector, and this survey indicates that the majority of nonprofits have had to adjust their approach and find new methods of raising urgent funds to support the services that are so necessary and now so urgently needed.

“Once again, even in the face of challenges, this means nonprofits are working hard to innovate, find new ways to fundraise, improve supporter engagement, support their workforces and deliver frontline services.”

Transforming service delivery and fundraising

The acceleration of digital adoption that began with the pandemic has continued, with nonprofits ramping up their use of digital to help them raise funds, engage with supporters and deliver services.

Nonprofits are also focusing on supporter retention (35%), and on creating engaging communications that inspire regular giving (31%) and long-term loyal support. Almost a quarter of respondents (24%) said their organisations intend to invest more in fundraising, marketing and communications in 2023. Organisations are also looking to the future to build security and resilience, with 17% increasing their focus on legacy fundraising.

Digital delivery

Looking at the use of digital technology for delivery and engagement, the most noticeable areas of growth in 2022 were events and social media.

Nearly half of nonprofits (46%) operated a hybrid model for events in 2022. 19% said they believe online events attract more people, with 14% saying they raise more money. A quarter said that social media was more successful than the previous year for acquiring supporters.

However, a third of respondents said they need more training to make full use of digital delivery, and 5% said their beneficiaries want digital communications but that their organisation is not equipped to provide this.

Employee care

The crisis is also having an impact on workload for many nonprofits. 48% said managing this was their biggest issue, followed by supporting staff and their wellbeing (31%). 28% also said they struggled to recruit for fundraising positions last year, while staff retention was problematic for a quarter (26%).

A quarter said that staff have been directly affected by the cost of living crisis. In response, 2 in 5 respondents said their organisation had increased focus and investment on staff wellbeing. And a small percentage (12%) said they are looking to recruit more fundraising staff.

Mike Wolff, Chief Revenue Officer – Salesforce.org, adds:

“This past year, the global nonprofit community has continued to face an unprecedented set of complex, and compounding, challenges. We are proud to provide this global community of changemakers the technology they need to rise to these challenges, so they can continue to drive tangible social impact.”

The full 2022 Nonprofit Pulse report can be downloaded here.