August 2005 SPECIAL SURVEY REPORT: The Impact of Disaster Relief Efforts on Nonprofit Organizations - Forbenefit Newsletter from CommUlinks of Colorado

August 1, 2005

Forbenefit

The Newsletter of CommUlinks of Colorado

SPECIAL SURVEY REPORT

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Final Report!

Commulinks of Colorado conducted a survey to determine the actual impact of tsunami disaster relief efforts on the nation's nonprofit community through the end of the first calendar quarter.

This special report summarizes survey findings, and it includes a link directly to the survey data.

Survey Highlights

Fundraising for tsunami disaster relief has had a significant impact on the income of some nonprofit organizations.

16.7 % of respondents reported that they will need to make adjustments to their budgets in 2005 due to the tsunami disaster. Another 30.6% believe they may have to.
Most likely areas for budget cuts would be operating expenses (50%), staff (38%) and programs (38%).
Organizations reported that they may increase spending in fundraising (44%) and marketing (31%).
Of the organizations that conducted annual campaigns during the period measured by the survey, half reported that revenues were down. The other half indicated that revenues were the same or increased.
Of those whose revenues were down, 56.7% reported that the decline in revenues was directly or suspected to be tied to tsunami relief efforts.
Of the donors who responded, 20% reported that they either partially or totally diverted gifts to tsunami relief efforts.
Over 80% of nonprofit consultants are recommending budget adjustments for the organizations they serve. They recommend cuts in operating expenses, programs and to a lesser degree staff. They recommend increases in fundraising and marketing efforts.
Consultants anticipated that the tsunami effect will linger for 6-11 months (40%) and one to three years (40%).

Read on for a full summary of the findings and a link to the survey data.

Future Surveys

Since the findings of this survey coincide well with two preliminary surveys--one from AFP and one from Blackbaud--additional surveys on this topic may not be needed. If fundraising dynamics change significantly, CommUlinks will consider another survey as needed.

About Renée Beauregard

About Jim Moore

Quote of the Month

"The world is moved not only by the mighty shoves of the heroes, but also by the aggregate of the tiny pushes of each worker."

Helen Keller

Overview of Survey Methodology

by Renée Beauregard & Jim Moore

Impact

This survey assesses the first quarter impacts of the tsunami disaster on nonprofit fundraising. The findings report actual experience.

Affected nonprofits are adjusting their budgets and programs, and they are escalating their fundraising and marketing efforts.

We urge organizations to remind their donors that redirecting their philanthropy from domestic nonprofits to international disaster relief efforts will have a negative impact on domestic nonprofit missions. These extraordinary circumstances continue to require extraordinary levels of generosity.

Distribution

The survey was launched in Denver and spread using email marketing strategies nationwide.
Highlights:

Direct distribution via email marketing to a list of nearly 500 individuals and organizations.
Press releases to over 500 media outlets nationwide.
Several announcements posted on the Colorado Association of Nonprofit Organizations (CANPO) listserv.
Direct appeals to all association members of the National Council of Nonprofit Associations.
Follow-ups on all leads offered by contacts. Appeals to these new referrals to complete the survey and forward it to others.

Skipped Questions and Response Rate

To collect data on separate tracks, the survey instrument did not present all questions to all respondents. For example, questions for nonprofit consultants were only presented to those who answered that they are consultants (in question #1). They were "skipped" by the other respondents.

As anticipated, the relentless flurry of news and information about the tsunami has taken its toll on survey participation. There were 68 respondents to this survey--significantly fewer than the number of those who responded to the January survey. It's reassuring to note that there is substantial consistency between responses to both surveys.

Response levels to all major categories of questions were significant. For example, 57 of 68 respondents reported on personal giving history. As the survey instrument broke respondents into increasingly narrow subgroups, however, response rates were confined to ever smaller numbers. Responses to these subcategories of questions are not statistically valid.

Anonymity

Respondents were not tracked in any manner other than the responses recorded here. We did not collect personal information or email addresses.

Acknowledgments

We wish to thank Teri Robnett, at Whole Brain Technologies, for her attentive support throughout this process.
We wish to acknowledge the brilliance of the Survey Monkey on- line survey tool.
Finally, we wish to thank everyone who pitched in and helped spread the word - and everyone who completed the survey!