Web-Based Fundraising Apps Give Power to Non-Profits

McLean Report: Research Note


Non-profit organizations know it takes money to raise money. Traditional fundraising software has been proprietary and expensive. Investigate new Web-based solutions for more cost-effective ways of improving future fundraising initiatives.

Who's Going Online

Traditional fundraising applications rely on a centrally installed database and conventional means of contacting donors. Web-based hosted solutions shift infrastructure accountability and costs away from non-profit workers, and allow the organization to leverage new and creative methods of soliciting donations.

According to a survey conducted by Luth Research and vendor Kintera, over 8.6 million households in the U.S. in 2004 donated more than $3 billion online. That's up over 50% from 2003. Figures for 2005 are expected to be even higher in the wake of the Southeast Asian tsunami and Hurricane Katrina.

Leveraging the Web to reach out to potential donors is starting to pay off for a number of American fundraising organizations:

  • The Rainforest Action Network...
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