There’s been no shortage of handwringing about the so-called “decline of giving” in the United States. And while the concern is genuine, let’s keep our heads.
Philanthropy in the U.S. remains a powerhouse—$557.16 billion in 2023 alone. That’s nearly 2.1% of U.S. GDP, a number that’s held steady for decades. Sure, adjusted for inflation, giving was down 2.1%, and individual giving dropped 2.4%. But context matters: this isn’t 2008. The sky isn’t falling.
In fact, U.S. charitable giving still outpaces global giving by a wide margin. According to the Charities Aid Foundation, most countries give about 0.5% of GDP. Americans continue to lead the world in both dollars and generosity of spirit. So, if we’re seeing cracks in the system, we should ask why and, more importantly, what we can control.
Here’s the truth: this “giving crisis” is not about a lack of generosity. It’s about a lack of connection.
We’ve created a loop of ask > ignore > panic > repeat—and it’s coming back to bite us.
What’s Really Going On
Yes, wealth is concentrating, fewer households are giving, and foundation and government funding is increasingly fraught. But these are external trends we can’t control.
What is within our control?
How we engage. How we show up. How we build trust.
Donor retention is where this disconnect is playing out most clearly. As of 2023, the overall retention rate was 40–45%, and it’s declining. Q3 2024 saw a 4.6% year-over-year drop.
New Donor Retention fell to just 13.8%, a 9% decrease over the previous year.
Repeat Donor Retention dropped to 50.3%, also down by 4.6%.
These numbers are not flukes. They are symptoms of neglect.
Stop Chasing Magic. Start Doing the Work.
Too many nonprofits are looking for the shiny fix: a fancy CRM, a viral campaign, a wealthy benefactor. But real success in fundraising comes from consistency, not gimmicks.
Hope is not a fundraising strategy. Discipline is.
Here’s what works. Every time:
· Acknowledge every gift—within 72 hours.
Email. Phone. Carrier pigeon. Just do it.
· Follow up 2–3 weeks later.
Share a story of impact. Explain how the gift mattered. Invite conversation.
· Keep communicating.
Send updates, share results, celebrate wins, ask for input, and treat donors like partners—not just revenue streams.
No automation? No problem. Use a calendar reminder. A spreadsheet. A Post-it note. Whatever gets the job done.
This Isn’t About Perfection—It’s About Courage
If you’re unwilling or unable to thank, update, or engage your donors, why would they stick around? Guilt only goes so far. Connection is what builds commitment.
And let’s be clear—treating donors like partners does not mean letting them dictate your mission. It means showing respect, building trust, and fostering community.
You don’t need a new summit, toolkit, or think piece. You already know what works. The question is: are you doing it?
The Way Forward
This is not a call to panic. It’s a call to focus.
A call to courage.
· Courage to stop chasing silver bullets.
· Courage to build relationships the old-fashioned way.
· Courage to prioritize people over platforms.
The giving “crisis” is real, but it’s one we can fix—not with flash, not with fear, but with intention, clarity, and work that actually works.
Let’s get back to it.