Facebook recently announced it will begin offering its “Donate” button not just to nonprofit organizations, but also to individuals who would like to raise money for organizations they care about. These individual “sub” campaigns are tied to a verified nonprofit and resemble something you might see on Kickstarter – with a dollar goal and time remaining. You can see a number of examples here: https://www.facebook.com/fundraisers.
This rollout is just the latest in a number of updates Facebook has added to encourage giving to nonprofit organizations. While little data is available to examine the effectiveness of fundraising through Facebook, it is important to stay up-to-date on a giving platform that reaches over one billion active users.
Facebook currently offers two basic options for giving to nonprofits through the organizations’ pages:
Donate Now Call to Action
This is the simplest way of soliciting donations on Facebook. Would-be donors click the “Donate Now” button and are redirected to your website’s giving page. The advantage with this option is total control of the process and the ability to capture more complete information about your donor, but it runs the risk of losing donors by redirecting them to a new page.
This option will open up a window within Facebook where donors can make a gift via credit card or PayPal. This offers a more seamless process and lessens the chance you will lose a donor by redirecting him or her to a different page. There are, however, a few important notes with this option.
- Facebook takes five percent of each gift for processing and fraud protection.
- Facebook will share the name of the donor, their profile picture and the amount given with the recipient organization. Donors can opt-in to sharing their email address.
- Facebook sends a gift receipt (currently no customization options).
- Gifts go directly to the organization; Facebook simply acts as an intermediary, processing the payments (similar to PayPal). Facebook makes a biweekly transfer of donated funds to the organization.
- Similar to other posts from your page, a post with a “Donate” button can be boosted so it shows up more prominently in the news feed of your selected audience.
While there are advantages and disadvantages to both options above, Facebook has shown a commitment to helping nonprofits, so you can expect improvements and new tools to be rolled out in the future. For information on the donate buttons, you can visit https://donations.fb.com/.
Shocking Statistic: Facebook has just over one billion daily users, and 47 percent of users only access the platform via a mobile device (Brandwatch).
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