Charities Without Impact Statements See 25% Lower Annual Income, New Study Reveals | Dreamscape Solutions

Charities Without Impact Statements See 25% Lower Annual Income, New Study Reveals

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With no tangible return on their transactions, donors seek to understand the real-world impact of their contributions. 

However, many charities miss a crucial opportunity to connect with their supporters. Our recent comprehensive review of UK hospice websites revealed a startling insight that has implications for the entire charitable sector.

The Missing Link in Donor Engagement

Did you know that 53% of UK hospices do not include impact statements on their donation pages? That's 109 charities potentially leaving their supporters in the dark about the tangible difference their gifts can make.

This oversight isn't just a matter of transparency—it's a missed opportunity to inspire and engage donors at a critical decision-making moment.

The Questions Every Donor Asks

When a potential supporter lands on your donation page, they're likely grappling with several questions:

  1. How much should I give?
  2. What tangible impact will my donation have?
  3. How does my contribution fit the bigger picture of the charity's mission?

Without clear impact statements, you ask donors to make a leap of faith rather than an informed decision.

The Numbers Don't Lie

Our research uncovered a compelling correlation between impact transparency and fundraising success:

  • Hospices that actively informed donors about the impact of their gifts had an average requested gift value of £17.58.
  • Those who didn't provide impact information had a lower average requested gift value of £12.24.

But the implications go beyond individual donations. Hospices that presented impact statements had an average annual income of £7.5 million, compared to £5.6 million for those that didn't.

Bridging the Gap

How can charities bridge this information gap and potentially boost their fundraising efforts?

  1. Be Specific: Instead of vague statements, provide concrete examples of what different donation amounts can achieve.
  2. Use Visuals: Infographics or short videos can quickly convey the impact of donations in a memorable way.
  3. Tell Stories: Share real-life examples of how donations have changed lives. This puts a human face on the impact of giving.
  4. Update Regularly: Keep your impact statements current to show ongoing needs and progress.
  5. Integrate Throughout: Don't limit impact statements to just the donation page. Weave them throughout your website and communications.
  6. Provide Options: Offer a range of giving levels with corresponding impacts to cater to different donor capacities.

The Bigger Picture

By helping supporters understand how and where they're making a difference, you're not just improving your fundraising metrics. You're building a more engaged, informed, and committed donor base and fostering a culture of transparency that can lead to long-term supporter relationships and sustained giving.

In a world where every pound counts, can your charity afford to leave donors guessing about their impact?

The numbers suggest that when you empower your supporters with information, everyone wins—the charity, the donor, and the cause.

What steps will you take to illuminate the impact of donations for your supporters?

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