Fundraising In Difficult Economic Times: Best Practices

Abstract

Christian institutions of higher education, as with other American nonprofits, are under considerable financial stress. The purpose of this research, which included both a survey of development officers and conversations with a sample of CCCU presidents, vice presidents of development, or provosts, was to identify best practices in fundraising. Several factors were hypothesized as impacting institutional effectiveness in fundraising: First, we hypothesized that organizations that operated on transformational approaches to fundraising have fared significantly better during the recession than those which operate on a more transactional basis. Secondly, we hypothesized that the greater proximity of the donor base of an organization would positively impact fundraising. Thirdly, we hypothesized that regional economic stress patterns would impact fundraising effectiveness with greater economic stress leading to decreases in fundraising effectiveness. Our research suggests that macroeconomic conditions, the number of development staff, and the size of development budget do not predict performance. Performance is related to a transformational approach to development work built on a compelling vision that is communicated clearly. The core challenge for Christian higher education is the development of visions and programs that speak to the realities of the 21st century, and the development of the broad-based leadership to take us there.