What universities and colleges should know about peer-to-peer fundraising

While the traditional tools of development such as donor cultivation, grant writing and galas occupy most of the fundraising space at institutions of higher learning, there’s a growing space for online peer-to-peer fundraising campaigns that are showing a great deal of promise. Peer-to-peer (P2P) fundraising capitalizes on your supporter’s networks to raise money on your behalf.

The power of P2P stems from the emotional aspect of someone asking a friend or colleague to support their cause. When someone receives an ask from a colleague or loved one, they’re 300 times more likely to give. 1 in 4 solicitation emails from peer-to-peer fundraisers resulted in donations vs. 1 in 1,250 sent by the fundraising organizations themselves. 1

Asking friends to give to your cause isn’t new, but taking the process online is a relatively recent development. Here’s why your development team should consider peer-to-peer fundraising.

Online giving is being embraced by older donors

If you thought online giving was just for millennials you’d be wrong. A new study by Dunham and Company says that donors 40-59 years old are now the most likely to give online. 2 

P2P brings in new supporters and re-engages alumni

After the launch of the University of Minnesota Foundations Crowdfunding site, they saw a big leap in alumni and new member engagement. Approximately 69 percent of participating donors were new to the university, making the site a great donor acquisition tool. 3

It’s donor-centric

P2P taps into the themes and issues that are important to your constituents. By allowing them to run campaigns for their favorite causes, you can engage with your donors’ core values. How’s that for motivation?!

Bottom line

The best ambassadors for an educational institution are your alumni and current supporters. By capitalizing on these networks, organizations can reach beyond the first degree of influence to all new donors. It’s never been a better time to test out the waters for peer-to-peer fundraising. If you’re ready to jump in, check out these tips on setting up a successful online P2P campaign.

Related article: How To Make Your Peer-to-peer Fundraiser A Success

Sources:
1. Nancy Palo, “Peer to Peer Fundraising at AFPICON”
2. Dunham and Company, “Survey Shows Aging Donors Most Likely to Give Online”
3. Robyn White, University of Minnesota Foundation Case Study