Committed giving has seen 12.6% growth, and an increase in return on investment to its highest level since 2002, according to new Fundratios research (2006/07) released by the Institute of Fundraising (‘Institute’) today.
Co-ordinated by the Centre for InterFirm Comparison (CIFC) on behalf of the Institute, Fundratios - the annual charity fundraising benchmarking project - analyses the fundraising income and expenditure of 28 charities with a combined voluntary income of £991 million.
Fundratios is designed to help all charities, both large and small, to fundraise more effectively by producing a comprehensive analysis of all aspects of fundraising. In addition to the headline findings of this year’s research, legacy income has also grown by 8.8%, the best result in the past five years.
In recent years, there has been an unstoppable rise in the significance of committed giving as a source of revenue for charities. Last year, it was one of the slower growing activities (up 2.9%), but this year double-digit growth resumed (up 12.6%). Put in context, legacies apart, committed giving provides more than three times as much money as any other activity.
Legacies remain the largest single source of income averaging 36.3% of the voluntary income of the group (40% last year). Growth was 8.8% after an increase of 4.6% last year and 6.5% previously. Longer-term growth patterns for legacy income are erratic but have kept pace with inflation over a 5-10 year period.
Local fundraising has seen a second year of growth after several years decline and there has also been a 10.9% increase in charity shop sales.
Commenting on the research, Megan Pacey, Director of Policy and Campaigns at the Institute of Fundraising, says:
'This benchmarking exercise continues to suggest that the key to successful fundraising lies in nurturing loyal supporters and converting them to regular donors.
'There is evidence for this in the continued growth in committed giving, the significant role that legacy income plays and the re-emergence of local fundraising.
'However, growth in areas such as charity shop sales also suggests that fundraising is reaching beyond its traditional boundaries and embracing income generation techniques that include social enterprise and trading.'
-ENDS-
For further information please contact:
Diana Mackie Tel. 020 7840 1027 / (07793) 803721
Institute of Fundraising
Email Diana Mackie
