You might have heard of the term “peer to peer fundraising,” which has become popular in the last few years with the emergence of platforms like CauseVox, Classy, Crowdrise, and more.
Unlike traditional online fundraising, peer to peer fundraising platforms give an organization the tools to enable their supporters and donors to raise money from their social network. As a non-profit or charity, rather than setting up a fundraising campaign for a particular cause and then marketing it to potential donors, each of your existing supporters would each set up a mini-fundraiser themselves and then raise money from their social network for the cause.
For example, if you were trying to raise money for cancer through a walkathon event, you would give your supporters the tools to set up their own online fundraising page and each of them would set a funding goal for their walk experience. They would then ask their friends and neighbors to pledge to help them meet that goal and support their walk for cancer. All of the donations would then go to your organization/the cause.
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What are the pros of peer to peer fundraising?
The main pro of peer to peer fundraising is that you, as a nonprofit or charity, will have an army of supporters working to help rally up donations for your cause. Your fundraising success will not be limited by your small staff or marketing efforts.
In addition, with so many parties involved, from your supporters to their supporters, it’s more likely that you will encourage conversations about the topic in the local press and on social media, which will raise awareness for your nonprofit and its mission.
The final benefit of doing this type of donation drive is that you will form a more intimate relationship with your existing supporters. By giving them a positive experience to remember (the walk, and raising money), you will increase the chance that they will continue to engage in projects with you in the future and be a longterm supporter.
What are the cons of peer to peer fundraising?
One of the major drawbacks of peer to peer fundraising is the education effort it will take to teach your existing donors about how to use your fundraising portal, how to raise funds from their network, and the time it will take to address concerns or questions.
Also, don’t underestimate the amount of energy it will take to inspire or motivate your supporters to go out there and solicit their network for donations. It’s scary to ask friends, family members, and neighbors for money! How will you help them overcome this fear?
In taking more of a leadership role, your organization will need to clearly articulate the values, principles, and mission that your nonprofit fights for. You must communicate why your cause is important and sell people on the event. You must be the constant cheerleader and passionate advocate, otherwise why should they care?
Still confused?
I’ve included an infographic below created by Dojiggy that will further explain peer to peer fundraising. For statistics on p2p fundraising, I recommend checking out this BlackBaud slideshow.
I’ve put together a new GUIDE that’s packed with science-backed nonprofit fundraising methods, resources, strategies, and killer marketing methods.
You should check it out if you want to get more donations and you want to fast-track the entire process.
How do you set up a peer to peer fundraising campaign?
We’ve compiled a list of platforms that you can use to set up a campaign. If you have any questions, feel free to leave a comment on this article! I also recommend checking out this article on some activities that you can implement during your next fundraiser.
