Technology is shifting rapidly to create new and improved solutions to the way we conduct business. One of the industries benefiting from this as well as facilitating growth for startups is fundraising tech.
Small businesses and emerging startups are always looking for ways to improve their fundraising, especially in a fiercely competitive business environment. An additional challenge many organisations face is economic recovery from the ongoing Covid-19 pandemic.
One of the best ways budding businesses can improve their fundraising efforts is to adopt the latest technology, which can be used to draw in potential donors and engage existing ones.
It is commonly known that technology adoption typically lags in the charitable sector compared to other industries. However, implementing new technologies can level the playing field for small organisations and improve fundraising operations.
Below are some examples of transformative technologies that are helping organisations elevate their fundraising strategies.
Many smartphone applications in the financial technology sector, such as PayPal, Venmo, CashApp, and Zelle, are being used by individuals and businesses for easy payments. Consider how easy it is to donate using a simple app– potential donors may be more likely to give if they can do it through a few taps on their phones.
In the Asia-Pacific region (APAC), the digital payment market is growing, and it’s expected that 65% of the population in China will use mobile payments by 2025. Failing to recognise this growth could lead to businesses losing out on potential revenue from fundraising.
Virtual Reality (VR) is a rapidly evolving technology businesses can leverage to connect donors to their mission. For example, placing donors in an immersive virtual experience allows them to visualise how a company will use their donations to achieve its goals.
Nonprofits have relied on VR technology to host virtual tours of facilities, virtual giving events, and more. This came in handy when it was impossible to meet in person during restrictions caused by the ongoing pandemic. Virtual or hybrid events can offer benefits to donors, such as more accessibility, reduced travelling costs, and being able to participate from the comfort of their homes.
Artificial Intelligence (AI) is a revolutionary technology that industries worldwide are implementing because it can be used for various applications. For example, manufacturing facilities often use AI or robotics to streamline production processes. Healthcare organisations can leverage AI to improve patient care and assist doctors during major surgeries.
For corporate fundraising, AI can be used in a variety of ways. Businesses can use AI to improve their targeting through machine learning (ML), engaging supporters, and even encouraging giving through voice assistants and online chatbots. Additionally, AI can ease some of a business’ workload, making data entry and donation tracking easier.
Donor Management Software
Nowadays, any organisation that needs to fundraise would find donor management software (DMS) to be a highly effective tool for their operations. eTapestry, Aplos, and Bloomerang are some examples of DMS that enable businesses to understand their donors, cultivate positive relationships with donors, and ultimately generate more revenue for the organisation.
Traditionally, businesses use spreadsheets and other paper-based methods to manage donors and their donations. However, the world is becoming increasingly digital. Transitioning from paper to digital allows smaller organisations to keep up with their larger counterparts and remain competitive.
Using the latest technology, such as DMS software, can make it easier for businesses to reach broader audiences, such as Gen Z and Millennial populations.
Automated Marketing Solutions
Undeniably, marketing strategies play a vital role in fundraising efforts. It’s no longer effective to send existing and prospective donors pamphlets or other materials in the mail. An automated marketing platform enables businesses to reach more donors in less time while also saving on company resources.
An automated marketing solution can help businesses plan and build their campaigns and automatically schedule social media content for posts that encourage donations. This can save time and money for an organisation because employees can spend their time working on more meaningful tasks. Additionally, email marketing is still an effective marketing tool businesses should consider using to contact donors and garner donations.
Technology’s Role in Fundraising Efforts
These five technologies are revolutionising fundraising approaches, and businesses in the APAC region can benefit from their implementation.
Nonprofits and small businesses should consider leveraging this tech to improve their fundraising campaigns and ultimately achieve their missions. Now is a critical time for small businesses and startups, as adopting new technologies can drive economic recovery and fuel increases in funds raised.