How can your charity ride the wave of digital change to make an even greater impact? You need to know that the world of charitable giving is evolving, and the way donors support their favorite causes is changing rapidly. Cash and checks are slowly becoming a thing of the past, replaced by a wave of digital payment options.
But what does this shift mean for non-profit organizations?
While some may see it as a hurdle, navigating these new payment trends can be a game-changer for charities. Non-profit charities don’t have to wait weeks for checks to clear. Digital payments offer a faster, more convenient way for donors to give, opening doors to increased reach and a wider pool of potential supporters.
Statistics show that 33% of donors contribute to non-profits located outside of their country of residence. Only digital payment methods can make this possible. Additionally, payment processors like iCG Pay, formerly iCheckGateway.com, provide technologies to streamline the process.
Here are the latest payment trends and how non-profits can leverage them to boost their impact.
The Rise of Digital Giving
The way we pay for everything has shifted dramatically towards digital transactions. Our daily reliance on mobile payments, credit card taps, and online wallets influences how we support the causes we care about. This shift towards digital giving presents a tremendous opportunity for non-profit organizations.
Here are the payment trends impacting non-profits:
Mobile Wallets for Convenience
The rise of mobile wallets like Apple Pay and Google Pay has made donating on-the-go more efficient. A survey shows that 53% of the respondents use digital wallets more than traditional payment methods. Supporters can now instantly contribute directly from their phone using their mobile wallet.
Non-profit organizations can leverage these payment methods by integrating them directly into their online donation stations or utilizing mobile fundraising apps. This allows supporters to contribute instantly with a simple phone tap, eliminating the need to enter lengthy credit card information. This frictionless experience encourages impulsive acts of generosity.
Recurring Donations to Build a Reliable Funding Stream
Recurring donation options, often facilitated by secure payment gateway software, allow donors to schedule automatic contributions regularly. Donors can set up and authorize recurring online donations via ACH or eChecks, which deducts money directly from the bank account.
With recurring payments, non-profits are assured of a predictable and reliable income stream, enabling them to plan and budget for their crucial missions with greater certainty. Your non-profit can partner with a payment processor like iCG Pay to start accepting weekly, monthly, or annual donations.
Online Donation Forms to Streamlining the Donation Process
Online donations are a secure and user-friendly option that integrates seamlessly with various payment gateway providers. Thanks to these capabilities, donors can contribute using various online payment methods, including credit card payments, virtual terminals, email invoicing, and real-time payment options like ACH transfers.
This eliminates the need for paper checks and streamlines the entire donation process. Donors can now make secure contributions from the comfort of their homes or offices in just a few clicks, significantly increasing the likelihood of successful donations.
Peer-to-Peer Fundraising within the Community
To collect donations from people across the country, non-profits can use platforms such as GoFundMe that allow individuals to create fundraising campaigns to benefit specific causes. These platforms leverage social media integrations and online payment processing, allowing supporters to donate directly to a friend's campaign or a cause they care about.
Such online platforms foster a sense of community and allow non-profits to tap into the fundraising power of their existing donor networks, potentially reaching new audiences.
SMS Payments to Reach a Wider Audience
Automated SMS payments help non-profit charities stay in touch with their donors regularly. You can send payment reminders and links to potential donors to encourage donating on the move. Once the donor receives a text, they can click the link and transfer money from their mobile phones.
A text-to-pay feature provides a simple way for donors to contribute to specific causes. You might also reach more people due to the widespread use of smartphones.
What Are the Benefits of Adopting These Payment Trends for Non-Profits?
The rise of digital giving methods offers a wealth of advantages for non-profit organizations, propelling them into a new era of fundraising success. Here's a closer look at some key benefits:
Increased Reach and Broader Donor Base
Traditional methods often limit your reach to those physically present at events or those who stumble upon a donation box. However, online methods like ACH and credit payments increase donations. Online donation forms transcend geographical boundaries, allowing supporters from anywhere in the world to contribute easily.
This opens doors to a much wider pool of potential donors, significantly increasing your fundraising potential.
Improved Donation Efficiency
Digital payments eliminate the need for manual check processing, a time-consuming and resource-intensive task. Donations are processed electronically, leading to faster turnaround times and reduced administrative costs. This allows non-profits to free up valuable staff time and resources, which can be better directed towards their core mission and programs.
Consistent and Reliable Funding Streams
37% of revenue for non-profit charities earning over $50 million annually is from recurring giving. Recurring donations allow donors to schedule automatic contributions, creating predictable and reliable income streams. This financial stability enables charities to plan and budget for future endeavors more confidently and with a more sustainable impact.
Enhanced Donor Experience
Digital payment options provide a smooth and user-friendly experience for donors. They can contribute anytime, anywhere, with just a few clicks or taps on their phones. This ease of giving removes friction and encourages impulsive acts of generosity, potentially increasing the average donation amount.
Transparency and Trust
Many online donation platforms offer real-time donation tracking features. This transparency allows donors to see how their contributions are being used, fostering a sense of trust and accountability. Donors appreciate knowing their donations are making a direct impact, which can strengthen their connection to the organization and encourage continued support.
Additionally, non-profit charities that partner with payment gateway providers like iCG Pay can use their payment technologies to gain data insights for the donors. This partnership also comes with improved security features to ensure that the non-profit is compliant and reputable.
Navigate the New Payment Trends with iCG Pay
The world of charitable giving is undergoing a digital revolution. From the convenience of mobile wallets to the predictability of recurring donations, a wave of new payment trends is transforming how non-profit organizations receive support.
Embracing digital giving is no longer optional for non-profit organizations seeking to thrive in the modern world. Partnering with reputable payment processors like iCG Pay gives you access to secure and efficient solutions tailored to the non-profit industry.
Create a seamless donor experience with our payment technologies. Schedule a call with our experts to get started.
