Aug 15, 2013

Report reveals increase in average online donations in the UK

According to a recent report titled ‘The Next Generation of UK Giving’, which involved 1,498 donors, revealed the average online donation in the UK has increased by 21% since 2010. The report analysed online fundraising pages between 2010 and 2012. The average online donation in 2010 was £52.87 compared with £64.07 two years later, representing a 21% rise.

The survey also showed the preferred method of donation by British people. Donating by monthly Direct Debit (36%) came third only to donation at a shop counter (45.4%) and at a Charity gift shop (44.7%).

Regular Direct Debit donations have shown continued growth since 2010. Three years ago, Direct Debit only accounted for 6% of the total amount given to charity. That figure now stands at 31%, an increase of 25% that can be attributed to consumers becoming more aware of Direct Debit and the benefits it can bring them, as well as the charities themselves.

Online giving is clearly growing in popularity in the UK, with no age barriers as the older generation (born in 1945 or before) are nearly as likely to use online donation channels as their younger counterparts, proving the necessity for charities to operate a multi-channel donation strategy by strengthening their position online.

Today, donors want to give to charity in the way that is most convenient and trustworthy to them. There is no one size fits all approach to donation channels, however, consumers are growing increasingly comfortable with carrying out transactions over the internet, leaving charities that do not offer a website sign-up facility with the possibility of missing out on a significant number of regular donations.

The power of Direct Debit allows charities to a guaranteed monthly income, which can then be used to forecast and work out where best to allocate the incoming donations. The automation of payment collections also means the charity itself can focus less on the time consuming and laborious administration of accounts reconciliation.

SmartDebit are the specialists in Direct Debit collections for charities. Our services include an online sign-up facility to accept Direct Debit payments directly from the charity’s website as well as a tried and tested fully integrated API (Application Programming Interface) solution.

Our client base includes hundreds of charities including Greenpeace and Mines Advisory Group. No matter how large or small the charity is, SmartDebit can provide a cost-effective solution, leaving them to get on with the things that matter. We take care of the cash flow, the charity takes care of others.

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