Research: The Impact of Giving Tuesday

Giving Tuesday will take place in December this year and will be here before we know it. Despite being a US movement, many UK charities have benefitted from the generosity this day inspires, and it has slowly become a regular part of many NFPs' campaign calendars.

But is it worth all the fuss? Let's find out.

Giving Tuesday took place on November 28th 2023, last year.

Analysing data from November 2023 across several of our hapi customers, we explored key metrics and identified trends during Giving Tuesday. Here's what the data reveals:

Key Insights from Giving Tuesday 2023

Higher Average Gift Value

 During Giving Tuesday week, the average gift value was 30% higher than in other weeks of November. This suggests that donors are more generous during this time, likely influenced by the social momentum and publicity surrounding campaigns.

Charities should aim to capitalise on this heightened generosity by creating targeted messaging during this week that emphasises the impact of larger donations. Consider offering tiered incentives or specific calls to action highlighting what different gift amounts can achieve.

Significant Boost in Donation Income

 The average total donation income surged by 73% during Giving Tuesday week compared to other weeks in November. This dramatic increase demonstrates the clear financial benefits of participating in the campaign.

To maximise income, charities should ensure they are fully prepared for Giving Tuesday with robust marketing strategies, including pre-campaign communications and engaging content that motivates supporters to give.

Increase in Donor Participation

 The number of donors rose by 43% during Giving Tuesday week. This influx of supporters reflects the campaign's power to drive greater engagement and reach a wider audience.

Charities should use this opportunity to deepen their relationships with new donors. Implement post-Giving Tuesday follow-ups, thanking them and showcasing the impact of their donations. This can lead to higher retention rates and long-term support.

Donors Covering Processing Fees

Interestingly, the data shows a 25% increase in donors who opted to cover processing fees during Giving Tuesday week. This means donors were more willing to take on additional costs to ensure the charity received the whole donation.

Encourage donors to cover processing fees by communicating how these small actions can make a big difference for the charity. Highlight this option during checkout, emphasising that 100% of their gift will go directly to your cause.

Gift Aid Decline

Despite the positive trends, there was an 11% decline in donors declaring Gift Aid during Giving Tuesday week. This could be due to various factors, including donor unfamiliarity with Gift Aid or being less mindful of tax-related benefits during fast-paced campaigns.

To recover this potential lost income, charities should ensure Gift Aid is prominently featured and well-explained in their Giving Tuesday communications. Simplify the declaration process and remind UK donors how Gift Aid can increase the value of their donation at no extra cost.

Giving Tuesday Day Performance

On Giving Tuesday itself, donations contributed to an average of 10% of the total income for November. This highlights the importance of this single day in driving a substantial portion of monthly revenue.

Build anticipation before the day with countdowns, social media challenges, or match funding appeals to create a sense of urgency and increase day-of contributions.

Is Giving Tuesday Worth the Effort?

Based on the data, Giving Tuesday drives higher donation income, engagement, and generosity. However, the effort involved in planning, executing, and promoting the campaign can be resource-intensive. For many charities, the results make it worth the investment, particularly when paired with data-driven strategies and actionable insights.

Final Thoughts

Charities looking to maximise the benefits of Giving Tuesday should focus on creating engaging, donor-centric campaigns that leverage the trends revealed in this data. From boosting average gift values to encouraging donors to cover processing fees, there are several strategies that can enhance the effectiveness of their efforts.

Understanding and acting on these data-driven insights will help charities maximise Giving Tuesday, ensuring long-term growth and donor retention.