Page 20 - 2024 Nonprofit Industry Trends

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Facebook Instagram TikTok ERIKA FLORESKA NICOLE FRISINA MARY THERESA MCCOMBE
EXECUTIVE DIRECTOR & BOARD MEMBER, HEARTS TO HOMES
PRESIDENT, LONG ISLAND CHILDREN’S MUSEUM
MANAGER, YOUR PART-TIME CONTROLLER, LLC (YPTC)
NFPs that successfully navigated during COVID The most significant issues facing the nonprofit sector as we head into 2024 are financial It has been well-documented that 2022 saw the first decline in
learned to diversify to survive, will now need to analyze stability, implementation of technology, and maintaining and building capacity. As philanthropic giving in the US since 2009. That thought keeps
3.03 Billion Users 2.5 Billion Users 1.6 Billion Users 450 Million Users what will become parts of their permanent efforts and nonprofits become more settled into the new post-pandemic world, there’s a realization Executive Directors and Chief Development Officers up at night as
that this could happen again. Nonprofits have an opportunity to become more familiar
what practices can be let go. Nonprofits need to ask
we moved into the new year. Will that trend continue, stabilize,
7.4 5.0 1.45 9.82 are you addressing their needs? Many NFPs received “Will our organization receive the same amount of revenue from each of our funding will directly influence giving in 2024, although it is too early to
Average Number of Average Number of Average Number of Average Number of themselves… How has your audience changed? How with their financials and create a multi-year forecast. Reviewing their projections, they or turn around? I believe that the economic impacts of inflation
should consider whether their funding is financially stable by asking questions such as:
federal relief funds - how are you able to survive and
be sustainable without those non-renewable funds? sources over the next five years?” Additionally, another observed trend has been the see how year-over-year giving trends will be for Hearts to Homes.
The antidote for general declines in philanthropic giving overall
decrease in individual donations. If a nonprofit primarily receives funds from individual
.071% Engagment Rate .627% Engagment Rate 7.36% Engagment Rate .050% Engagment Rate Review all revenue streams - government grants, donors, it may need to consider diversifying its funding sources. It would also be prudent is to make your organization stand out among its peers. Do you
to create a forecast with multiple scenarios, like best case, worst case, and a combination
provide a service that nobody else provides? Be sure your
corporate sponsorships, partnerships, major donors,
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of the two. It will allow the organization to think critically about its revenue and how to be
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and earned income opportunities. Developing a well-
your competition’s? What can you do with my donation that
defined fundraising strategy is essential to maintain prepared if a worst-case scenario occurs. donors know that. Are your overhead percentages better than
Demographic Facts: Demographic Facts: Demographic Facts: Demographic Facts: financial stability. Nonprofits struggle to embrace and adapt to new technologies due to various factors, nobody else can do? It is always good business practice to make
sure that this information is conveyed, but it is especially critical
Instagram has more than 2 billion TikTok has approximately 834 million X is the 5th most visited website This is compounded by evolving regulations, which can such as budget constraints or lack of understanding of the technology. However, new in a potential downturn in charitable giving. Hearts to Homes
technologies such as AI, cloud accounting, and others are crucial for nonprofits because
Facebook users spend on average 3.8 global monthly users. globally. be complex and may require organizations to adapt they will help them enhance their operational efficiency, reach a wider audience, and continues to try to find ways to distinguish our organization from
hours on the app a week Instagram is the most-used social TikTok is predicted to see the greatest quickly to remain compliant. This may include changes streamline their processes. For example, QuickBooks Desktop will no longer be supported the many types of organizations who are asking for support.
24.5% of all Facebook users are aged network (72%) by American social user growth worldwide of all socials The average user spends just over 5 in tax codes, reporting requirements, or fundraising by Intuit in a few years. If an organization’s general ledger accounting system is on Utilizing social media on a consistent basis, sending important
45 and older. media users aged 12 to 34. The average U.S. adult TikTok user hours a month on X. regulations. Nonprofit leaders should stay informed QuickBooks Desktop, it must consider switching its system to a cloud-based platform, information in newsletters, and asking the board of directors to
49.3% of all Facebook users are ages 25 As of January 2023, 51.7% of all spends roughly 55.8 minutes per day by engaging with industry associations, attending which adds simplicity to many time-consuming processes. For example, the ability exists take an active role in our success are three other ways that we
to sync the banking and credit card activity and have it feed into the general ledger system.
to 34. Instagram users worldwide are male. on the app. workshops, and seeking legal counsel when necessary. This will create efficiencies for reconciling your activity and streamlining processes. try to encourage people to support the work that we do.
69.1% of global Instagram users are In the USA, 67% of Americans aged 18 88% of X users are also on Instagram. Investing in strong governance and compliance Another recommendation is to ensure your organization has an updated policies and
under the age of 35. to 19 use TikTok, along with 56% of practices is crucial to avoid legal issues. procedures manual. This manual should be updated on an annual basis and document In terms of trends, I think that there are still lingering impacts
those aged 20 to 29. the guidelines and processes that govern the operations of an organization. One benefit from COVID during social events. More people who decline to
Lastly, the competitive workforce market makes is it will promote consistency in decision-making and actions across your organization. attend a special event mention the possibility of becoming ill
55% 59% of those donate money. recruiting and retaining talent a real issue for NFPs. Lastly, capacity will continue to be the biggest challenge for nonprofits. I have personally from being in a crowd. That means that we have to consider the
It is a multifaceted issue that requires creative
timing of events and the locations more than ever. Rooftop events
seen a lot of turnover at nonprofit organizations. Some of it relates to the rise of
solutions and adapting to values that are important
29%
29% to the next generation of workers. Nonprofits can retirements, especially with the Baby Boomer generation nearing retirement age. Some are more popular now that 1) there are more rooftop locations
available and 2) it means that people can be out in the fresh air.
of it relates to employees reconsidering their careers and shifting into different industries
explore options such as part-time staff, remote work,
Weather risk is always in the backs of our minds, so having a
email 27%,
[
website, 18%, print, 12%,
TV
%
]
[email 27%, website, 18%, print, 12%, TV ad 6%] flexible scheduling. Fostering an inclusive culture is or roles. Then, there is a need for more employees, especially in the accounting market, Plan A and a Plan B is critical in case Mother Nature tries to rain
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and employees are more open to other opportunities if they can receive more competitive
vital to attracting and retaining employees. Ensuring
on your parade!
pay or better benefits. Some recommendations to help mitigate this are to take a closer
71% pay equity across the organization as well as creative look at benefits and whether they are competitive. There are resources available that
benefits can help address concerns about salary
will allow an organization to compare its benefits to others based on the industry and
competition and enhance job satisfaction. size. Also, consider conducting an employee survey to understand how your employees
Social Media drives 57% feel about the organization. This will provide valuable feedback and recommendations
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on evolving as an organization, maintaining your employees, and attracting new ones.
Another recommendation is leveraging resources from other like-minded nonprofits.
This will help promote the importance of community and provide many benefits to every
organization involved.