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Online Holiday Giving To Reach $3 Billion

Posted on October 27th, 2008 by Mike Sachoff in the Articles section

U.S. online giving to nonprofit organizations will be more than $3 billion during the holiday season of 2008, according to a new survey from JupiterResearch commissioned by Convio.

There are about 175 million adults in the U.S. who are Internet users and 7 out of 10 people plan on giving the same amount or more, while the current state of the economy will lead 33 percent to give less to charity this holiday season.

“Consumers continue to go online in growing numbers to learn about, engage and support nonprofit organizations,” said Gene Austin, CEO of Convio.

“With consumer dollars being tight and the competition for donations growing, the efficiency and effectiveness of the Internet as an engagement, communication and giving platform continues to grow in importance for donors and organizations alike. While still smaller in total dollars raised, it is clear that online giving has joined traditional channels as mission-critical part of the giving mix.”

A charity’s Web site is the most useful tool among those who plan to donate online this holiday season (27%), followed by email appeals sent from family and friends (15%). Charity evaluator sites also play a role for 10 percent of online adults in their decision making process.

“More than 50 percent of online consumers say that they plan to donate via the Internet during the 2008 holiday season,” said Vinay Bhagat, Chief Strategy Officer and Founder of Convio.

“This level of online support shows that nonprofits of all sizes need to make sure that their web sites and other electronic communications meet consumer expectations. It is also important to make sure that traditional appeals such as direct mail, television and events provide people with the option to give online.”

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