Today’s philanthropists differ from the sponsors of just five years ago.
The spirit of giving may be the same, but thanks to advanced technology it’s how people give that is constantly changing. It’s not only the methods that are different. Keith DeMatteis says that today’s donators want to visibly see the impact of their gift and how it’s being used.
Enter technology such as contactless payments, artificial intelligence, and the blockchain, which are widely seen as key players in what some are calling a “democratization” of giving.
In the ever-expanding world of charitable donations, it’s this new technology that may make all the difference.
Giving Back is More Popular than Ever
The COVID-19 pandemic reportedly had little impact on the popularity of philanthropy. In 2020, Americans donated an estimated $472 billion to an array of charitable organizations, a 5% increase compared to the previous year.
What the pandemic proved was that technology is an essential philanthropic tool. Worldwide, over 30% of donors gave to organizations outside their country.
In the U.S. alone, 84% of millennials report making donations across multiple charities — and are far more like to respond to giving requests either via text message or on social media.
In fact, nearly a third of people giving back in 2019 says the tool that is most likely to inspire them to donate is social media. But social platforms are far from the only way organizations are using technology to fuel charitable donations.
Apps
Smartphone apps don’t just make it easy to contribute with a touch. They effectively offer an array of content that many modern philanthropists crave. For example, many nonprofit apps allow donators to track their gift and visibly see where their money has gone either in a chart form, or on a map, or by other means.
Artificial Intelligence
AI is no longer science fiction. Many charities have embraced the still-growing technology to integrate chatbots and virtual assistants into their services, making the donation process easier and trimming budgets internally.
The AI possibilities are endless for charities, but several have begun using various AI programs to craft information about a certain cause and pinpoint academic data to convey very quickly.
AI may also be used by charities to match giving opportunities to donors who are most likely to embrace them.
Payment Flexibility
There are more ways than ever before to give, and contactless payment technology has proven to be a perfect fit for many charities. Since much of society is shifting to a more cashless world, that option is widely seen, even in physical stores or places such as hospices and shelters.
Some non-profits are even being formed solely to take advantage of contactless payments, such as homeless outreach charities.
Virtual Reality Experiences
Many who give want to feel genuinely connected to what they are supporting. Virtual reality allows organizations to craft impactful and enlightening stories that offer philanthropists an immersive journey into not just where their money is going but how it is making a tangible change in the world.
