Unlike regular charitable giving, crowdfunding’s charitable sweetspot focuses on individuals with their own unique story to tell.
By the time the most compulsively shareable “need” starts washing through social media pages, some popular donation pages can reach tens or hundreds of thousands of dollars.
For those who have donated via crowdfunding sites, 45% have given to an individual person in need, compared to only 22% who have given to a charity like the Red Cross, or 20% who have given to social causes like homelessness. By contrast Americans who donate via any channel say the single channel they are most likely to donate to is a charitable organization (25%) compared to 17% who prefer to give to individuals.
GoFundMe now dominates the crowdfunding space, with 41% of Americans aware of the site; Indegogo comes in at number two at 13%. Millennials are more aware of their crowdfunding options with 47 % awareness for GoFundMe and more than one in five (21%) aware of Indegogo.
For all those who have heard of a crowdfunding site 20% have given money via GoFundMe. Higher earners (32%) and women (25%) are most likely to have contributed to a GoFundMe campaign.
A quarter (24%) of all American adults have been invited to contribute to a crowdfunded charity via social media. A further 16% has received solicitations via email.
In terms of effectiveness, more than half of Americans who donate via any channel (52%) think that the most effective home for a donation is a charitable organization. Nearly a third (32%) think gifts to individuals are the most effective.
Practically nobody (2%) thinks that politicians are the most effective recipients of donations intended to promote a cause.
Find the full results here.
Image courtesy of Press Association