As the Covid-19 pandemic evolves, its effects on various aspects of society including fundraising and charitable giving have also changed. In this entry, we explore seven (7) ways that the current phase of the pandemic has impacted how donors support their favourite charities.
Perhaps you thought like myself that when 81-year-old Lyn Wheeler received the first shot of the Pfizer vaccine at Guy’s Hospital in London on December 8th, 2020, the end of the Covid-19 pandemic was finally in sight. The means to defeat this virus was now in our possession and we were mere months from every aspect of our lives returning to the way things were prior to March of 2020.
Alas, our hopes were swiftly dashed by a horrific mixture of factors and events that have prolonged this nightmare. Inconsistent rollouts by varying levels of government, the spread of misinformation and conspiracy theories through social media, vaccine hesitancy, massive second and third waves, ongoing lockdowns, absurd resistance against mask mandates and safety protocols, the emergence of the dreaded Delta variant and the prospect of vaccine passports have combined to ensure that covid remains with us for some time to come.
The good news is some parts of society have slowly returned to pre-pandemic levels of normality. Restaurants are now allowing indoor dining, professional sports are played with fans in the stands, cruise ships are up and running, schools are back in session, workers are back in the office, children are participating in athletics and other in-person extracurricular activities, tourists are travelling and friends and family are now gathering for dinners, reunions and celebrations.
Like other parts of our civilization, philanthropy has also been impacted by this distinct phase of the pandemic. Here are seven (7) ways the current stage of this global health crisis is affecting how people give to their favourite charities and organizations:
1) Support for causes paralyzed by the pandemic is re-emerging.
Theatres, art galleries, museums, community centres and social service agencies that were forced to shutdown at the start of the Covid-19 pandemic are gradually re-opening their doors. People are eager to start living again and participating in activities that were cancelled due to the virus. Similarly, philanthropists are also eager to redirect the funds they have been donating to frontline organizations for the past 18 months back to the causes that are dearest to them.
Giving to charities with missions that meet their altruistic aspirations instills these donors with a sense of normalcy for which we all yearn. In other words, many individual donors are more willing to give and far more receptive to requests for funding than they were prior to 2020. For organizations that are traditionally hesitant when it comes to soliciting individuals at any giving level, now is an ideal opportunity to jumpstart a monthly or major gift appeal.
2) Donors are contributing more undesignated gifts.
In addition to being more approachable, donors of all giving levels and types understand that a charity’s need for operational funding is higher now than it was pre-pandemic. Thousands of organizations across Canada lost hundreds of millions of dollars in revenue, laid off thousands of staff and closed many of their locations since coronavirus hit. For most, it was a matter far more with far less.
Re-energizing them will require massive infusions of money for salaries, office space rental, insurance, program supplies and as assortment of indirect expenses. Luckily there is a perceived willingness among an increasing number of empathetic donors to allow their gifts to be used for any purpose that will kickstart their favourite charity’s re-opening. This means there is a substantial portion of the donor public who are supporting costs they ordinarily would not.
3) Giving to frontline agencies remains strong.
Although society is opening up and traditional giving to charities is starting again, frontline organizations such as food banks, shelters and community health centres continue to enjoy unprecedented levels of support. We all discovered how vital these charities are to the well-being of our communities in the spring of 2020 when they suddenly became the most crucial survival resource for millions suddenly displaced by lockdowns and public health measures. As the Covid crisis evolved, the list of frontline organizations that are recognized as priority to donors has grown to include distress centres and mental health agencies.
4) Virtual engagement with donors is now commonplace.
Video-conferencing apps like Zoom are truly one of the hallmarks of the pandemic and have transformed the way we connect with one another. Businesses are able to transact, children are able to attend class, families are able to reunite – all remotely and safely without the risk of infecting one another.
Zoom has also changed the way philanthropic acts are conducted. No longer is it an absolute must to meet in-person for major gift requests, corporate sponsorship solicitations or foundation discovery meetings. We can even book speaking engagements with multiple service clubs in the same week without having to leave the comfort of our own homes.
Unable to hold in-person special events, non-profits have pivoted to hosting fundraisers like galas and walk-a-thons virtually. Other important fundraising tasks like cultivating and stewarding donors, training volunteers and fund development committee meetings are now performed remotely to ensure the safety of all participants. Some organizations are now experimenting with hybrids – combinations of virtual and in-person interaction – so it appears that engaging with one another through video-conferencing will be a fixture in philanthropy after Covid is over.
5) Heightened focus on DEI (diversity, equality and inclusion) and anti-racism causes.
The death of George Floyd, the activism of Black Lives Matter and the protests that occurred in US cities in the summer of 2020 generated social and political turmoil not witnessed since the civil rights era of the 1960s. The strife and political divisiveness of these events have generated worldwide hyper-awareness of DEI and racial discrimination. Organizations that address these issues – including several that had to close during the pandemic – experienced sudden and significant levels of financial and voluntary support.
Since the conviction of Derek Chauvin (the officer primarily responsible for Floyd’s death) this past spring, giving to DEI-related charities surged again. The rise in public consciousness of anti-hate and anti-discriminatory causes has also triggered heighten attention and support for other social justice issues including climate change and poverty eradication.
6) Donors are giving smaller amounts to charity.
The economic upheaval and reduction in disposable household income has left low- to mid-range donors with less money available for their charities of choice. According to a study by Imagine Canada, 36% of Canadians stated they intended to donate smaller amounts to charity during the Holiday Giving period of December 2020 (Source: https://www.imaginecanada.ca/en/holiday-giving-survey-2020). Such data is crucial for guiding non-profits as they resurrect their fundraising programs by suggesting that they slightly reduce the requested amounts from their donors of all levels.
The same study also found that 71% of Canadian charities saw a decline in the number of people volunteering and a 74% drop in the number of volunteer hours contributed since the start of the pandemic. A probable explanation for both would be the high number of organizations that shut down and the perceived threat to health and safety the virus posed to volunteers working in close proximity to one another.
7) The pro-vaccination vs. anti-vaxx effect on relationships with donors.
The increasing contentious wrangling between those who embrace the importance of getting vaccinated to end the pandemic and those who are staunchly opposed to “getting the jab” has also impacted the realm of charitable giving. Throughout Canada, some non-profits have divested themselves of donors who have vocally exhibited their refusal to be vaccinated because it violates their gift acceptance practices and/or organizational values.
In other places, charities might employ a gentler approach and turn a blind eye to one’s personal public health beliefs and only reject support if a donor engages in reckless behaviour such as spreading misinformation about the vaccines and Covid-19. What is important is that each organization utilize gift acceptance methods that correspond with their ethical and moral parameters and do not contravene public health guidelines.
As of the writing of this entry, we are still several weeks from the peak of the Delta variant wave in Canada. We have no concrete idea of how much longer the Covid-19 pandemic will continue. Like the variants and like all facets of community life, the state of philanthropy and fundraising will remain in flux. So let’s make the best of things and try to care for one another in the interim.
Stay well,
Mike
