Research has revealed that a quarter of donors aren't consistently opting into Gift Aid. According to a recent online survey, 25% of donors only sometimes add Gift Aid to their contributions. The main reasons are that it's seen as "too much effort," they don't always remember to, or the option isn't available at the time of donation. Meanwhile, an estimated £560 million in Gift Aid goes unclaimed yearly.
While most donors (80%) believe that eligible people should be encouraged to donate with Gift Aid, we're still missing a major opportunity to maximise the value of donations. For charities, this means there's a disconnect between the intention to help and the execution, and we need to address it head-on.
Why aren't donors opting into Gift Aid?
The data shows that many donors face three key obstacles when deciding whether to opt for Gift Aid:
- It's too much effort: People are busy, and even a small amount of added friction in the donation process can deter them.
- Forgetfulness: Without clear and prominent reminders, donors may simply forget to check the Gift Aid box.
- Lack of visibility: Sometimes, the option to opt in isn't clearly presented, or it's not even offered.
These barriers are relatively easy to overcome but require conscious efforts from charities and fundraising platforms alike.
Simplifying the process
To remove these hurdles, every donation form should make opting into Gift Aid as simple and intuitive as possible. Here are a few actionable steps:
- Clear and prominent placement: Gift Aid shouldn't be hidden at the bottom of a form or appear as an afterthought. It should be a visible and natural part of the donation flow, and the donor should be able to spot it instantly.
- Minimal friction: Don't overwhelm donors with too many extra steps. A simple checkbox can help reduce the donor's effort while making it clear how much more their donation can do with Gift Aid.
- Education in real-time: Many people still don't fully understand the impact of Gift Aid or aren't sure if they qualify. A concise, well-placed message explaining how Gift Aid works and who is eligible can make a difference. This information should be provided at the critical moment of donation without adding unnecessary complexity.
The win-win of encouraging Gift Aid
The beauty of Gift Aid is that it enhances the value of donations without requiring donors to give more out of their own pockets. It's a government contribution to charities, and with £560 million of potential Gift Aid going unclaimed every year, it's essential to help donors take advantage of this benefit.
Across our hapi sites, for example, an average of 71% of donations have Gift Aid added—a figure that surpasses industry averages, which often range between 40% and 60%. This shows that with the right design and emphasis, donors are more willing to take that extra step to maximise the impact of their contributions.
The survey results demonstrate that donors generally want to add Gift Aid but need a little nudge and clearer guidance. By focusing on ease of use, visibility, and education, charities can ensure that more donors opt in, ultimately boosting each donation's overall impact.
Don't let 'too much effort' stand in the way
Making Gift Aid a more straightforward and accessible option is one of the easiest ways to boost the value of donations. Charities and fundraising platforms should prioritise simplifying Gift Aid options on donation forms. The more seamless the process, the more likely it is that donors will follow through.
Let's make it easier for donors to maximise their contributions through Gift Aid - no one should feel that helping their charity is 'too much effort.'
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