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Charities report ‘significant’ rise in digital donations since before pandemic

14 Oct 2022 News

Charities have seen a shift towards digital donations in recent years, according to a study by Barclays Corporate Banking.
Giving: A new landscape, which was based on interviews with 75 senior managers of large charities, found that three-quarters had noticed a “significant increase” in digital donations since before the pandemic. 

Researchers also surveyed 2,000 adults on giving behaviour and a third said they were more likely to donate if a charity accepted online transactions.

“Although traditional methods of donating and communicating remain important, from the consumers surveyed, 48% donated predominately through digital channels, while 47% preferred to donate using cash,” the report reads.

Charities receiving donations digitally

Over the past 12 months, more than four-fifths of the charities Barclays spoke to had received a donation via their website, while a similar proportion received a donation via a third-party website and had taken credit/debit card payments.

Meanwhile, two-thirds had received donations via social media. 

Most charities said they were planning to make further improvements to their digital payment methods over the next 12 months.

Some of these changes include plans to improve their online donor journey, implementing new payment channels and enhancing security.

“Charities are looking for support and advice, keen to seize new opportunities and implement smarter technology going forward. There are opportunities to support charities in this significant period of change,” reads the report.

Young people and constraints to charitable giving 

The report also reveals that nine in ten 18-24-year-olds donated to charity in some form across the previous 12-month period, compared to an average of 80% amongst the broader public.
The most popular donation method for young givers is cash on the street, 31%, followed by donations via social media platforms at 24%.

Barclay’s report says that “distrust in charities remains a significant challenge”, but financial constraints are the top barrier to charitable giving. 

It found 32% of consumers stated that a “lack of trust” was the main factor preventing them from supporting charities, making this the second-highest reason recorded. 

Overall, the report finds there has been a slight decline in donation levels from 2017, down by around 5%.

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