Facebook fundraisers have become an incredibly popular way for individuals and nonprofits to raise money. With minimal effort, you can create a fundraiser for a cause you care about and share it with your network on Facebook. But are Facebook fundraisers actually an effective fundraising method? Here’s what you need to know.
The Pros of Facebook Fundraisers
There are several advantages to using Facebook fundraisers as part of your nonprofit’s fundraising strategy:
- They’re easy to set up. You don’t need any special technical skills. Just go to Facebook, click “Fundraisers” and follow the steps to choose your nonprofit and create your fundraiser.
- They tap into your existing network. Since the fundraiser lives on your Facebook page, it’s easy to share with friends, family and followers who want to support you.
- 100% of donations go to your selected nonprofit. Facebook pays all platform and processing fees, so your nonprofit gets the full amount.
- You can raise money for personal causes too. While many fundraisers are for nonprofits, you can also create fundraisers for personal causes or financial hardships.
- Funds are transferred directly to nonprofits. The money doesn’t pass through you first. Facebook sends donations directly to the nonprofit to avoid any legal issues.
The Cons of Facebook Fundraisers
However, there are some potential downsides to keep in mind as well:
- Limited customization options. You can’t customize the look and feel of your fundraiser much beyond adding a cover photo and description.
- Minimal reporting and analytics. You can see who donated and how much you raised, but there isn’t much data on engagement and reach.
- Tax receipts are only available in certain countries. U.S. donors don’t automatically get a tax receipt for their donation.
- Donors pay processing fees for personal fundraisers. While nonprofits don’t pay fees, donors cover a 6.9% + $0.30 fee per donation for personal fundraisers.
- Difficulty standing out. With so many fundraisers on Facebook, it can be hard to get yours noticed.
Tips to Increase Fundraising Success on Facebook
If you do decide to use Facebook fundraisers, here are some tips to boost results:
- Choose the right objective. Decide if you want to raise overall awareness or target existing supporters to raise more money.
- Tell a compelling story. Share why your cause matters in your fundraiser description to inspire donations.
- Set an achievable goal. A smaller goal is easier for people to collectively reach.
- Add visuals. Photos and videos help your fundraiser stand out in the newsfeed.
- Promote the fundraiser. Share it frequently leading up to and throughout your campaign.
- Thank donors publicly. Recognize supporters in posts to encourage social proof.
- Follow up after. Send individual thank yous and campaign results to show the impact.
Ideal Causes for Facebook Fundraising
Facebook fundraisers work best for certain types of causes. The sweet spot is raising money for:
- Local community needs – ex. helping a neighbor or local school
- Personal financial hardships – ex. medical bills or funeral expenses
- Nonprofit causes with an emotional appeal – ex. animal shelters or children’s hospitals
- Event fundraising – ex. running a 5K for charity or fundraising for a mission trip
These types of community-driven, personal causes tend to resonate most with your friends and family on Facebook.
Maximizing Donations for Nonprofits
To raise more money for your nonprofit via Facebook fundraisers:
- Make it easy. Provide fundraiser templates and images supporters can use.
- Give fundraisers a purpose. Suggest fundraising for specific programs or needs.
- Recognize top fundraisers. Thank and highlight your biggest supporters.
- Share tips and resources. Equip fundraisers to have more success.
Measuring Facebook Fundraising Performance
To determine if your Facebook fundraisers are succeeding, look at metrics like:
- Total money raised
- Number of fundraisers created
- Average money raised per fundraiser
- Number of fundraiser shares and reactions
- Percent of followers who created a fundraiser
Compare these numbers before and after you put effort into optimizing your approach to identify growth and areas for improvement.
The Verdict: Are Facebook Fundraisers Worth It?
Here’s the bottom line on whether Facebook fundraisers are an effective fundraising method:
For individuals: Absolutely. Facebook provides an incredibly easy way for everyday people to raise money from their network for causes they care about.
For nonprofits: Potentially. Facebook won’t raise huge dollars overnight, but it’s a useful tool to engage supporters and raise awareness. With a smart strategy, nonprofits can unlock real value.
For businesses: Not usually. Most consumers don’t go to Facebook to support business fundraisers. Corporate philanthropy efforts typically focus on engagement over fundraising.
Overall, Facebook offers a low barrier to entry into the world of fundraising. While it likely won’t be your primary fundraising source, it’s worth testing fundraisers to diversify your strategy and activate your network for a good cause.
| Year | Total Raised on Facebook |
|---|---|
| 2017 | $300 million |
| 2018 | $500 million |
| 2019 | $1 billion |
| 2020 | $2 billion |
This table shows the rapid growth of money raised via Facebook fundraisers, more than doubling each year from 2017 to 2020. While still a small fraction of Facebook’s revenue, fundraisers are proving to be an increasingly popular way for users to give back.
Facebook Fundraiser Case Study: Humane Society Silicon Valley
The Humane Society Silicon Valley ran an 8-week Facebook fundraiser campaign focused on raising money to support their Fur Ball gala expenses. Here are the results:
- 43 fundraisers were created
- $24,835 was raised from 499 donations
- Average donation was $49.81
- Largest individual fundraiser raised $5,080
They found Facebook fundraisers successful for raising unrestricted funds from new supporters in the lead up to a major event. The campaign increased awareness, engagement and income around their gala.
Key Takeaways on Facebook Fundraising
To summarize the key points on Facebook fundraisers:
- Easy setup makes fundraising accessible for individuals
- Tap into existing networks for donations
- Works best for community causes vs broad appeals
- Nonprofits can optimize by providing templates and resources
- Analytics are basic – focus on total raised and # of fundraisers
- Continue promoting through the duration of the campaign
- May be a fundraising complement but usually not a primary tactic
While not a silver bullet solution, Facebook provides a turnkey option to activate your network around causes you care about. With some effort put into promotion and optimization, fundraisers can become a valuable addition to your organization’s fundraising mix.