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2018 GLOBAL NGO TECHNOLOGY REPORT REVIEW

The Global NGO Technology Report is a collaborative project of the Public Interest Registry and Nonprofit Tech for Good that examines the annual changes in how non-governmental organizations (NGOs) are using technology.  The findings here are not just relevant to NGOs around the world, but to arts and cultural institutions as well. Based on some of the key discoveries made through this year’s report, organizations could gain insights on how to develop a better relationship between the organization and its target audience using proper communication channels, build a distinctive digital presence and create more impactful online fundraising strategies. The 2018 report surveyed 5,352 NGOs from 164 countries from 6 continents.

HOW ARE NGOS USING TECHNOLOGY?

Web and Email Communications

From the 1990s to the current day, emails and websites remain the most widely used technology as well as the most effective form of online communication and fundraising for NGOs. Most organizations regularly publish on their website and send emails to inform of updates and fundraising appeals. In the early 2000s, NGOs began using content management systems (CMS) and email marketing services (EMS) to facilitate communication with supporters and donors. The average number of email subscribers range from 7,357 to 63,048 depending on the organization’s size. After 2010, the introduction of HTML and CSS helped the NGOs to create a more responsive web design accessible from different devices from desktop and laptop computers to mobile. More than half of the organizations use .org over .com, .net, .ngo, and country-code since donors consider .org the most reliable domain extension.

Online Fundraising

NGOs have started incorporating online fundraising services like ‘donate now’ buttons on their websites. 72% of organizations accept donations on their websites and 63% regularly send e-newsletters. In these emails, NGOs would include updated posts and news supporting their cause that includes tabs, buttons, or similar call-to-action function. Peer-to-peer fundraising service is also well-liked as donors were found more likely to give to campaigns created by their family and friends. With almost half of the organizations participating as of 2018, #GivingTuesday is another form of online fundraising that is expected to expand with the increase in the awareness of the movement. Credit cards, PayPal, and direct debit were the most preferred forms of donation, but digital wallets and cryptocurrencies like Bitcoin are also expected to increase in their popularity amongst donors and supporters.

Social Media

The rise of social media in the early 2000s opened new windows for NGOs to inspire and engage donors and supporters. As shown in figure 1, most preferred social channel was Facebook (93%), followed by Twitter (77%), LinkedIn (56%), and Instagram (50%). The average number of followers depending on the organization’s size varied from 8,722 to 109,158 on Facebook, from 4,241 to 39,496 on Twitter, from 785 to 10,107 on LinkedIn, and from 1,837 to 19,365 on Instagram. Most NGOs on Facebook post one post daily or every other day and make the best use of its livestreaming function to share their works or special events with donors and supporters. A similar number of NGOs on Twitter preferred to post two to five tweets daily (24%) and less than one tweet weekly (21%). For LinkedIn and Instagram, the majority shared less than one post weekly.

Figure 1: Social Media At-A-Glance Source: 2018 Global NGO Technology Report

Mobile Technology

Mobile-based fundraising has generated mixed results. The dawn of the new era of smartphones in 2007 prompted NGOs to create their own mobile apps, but most turned out to be a failed effort due to a lack of an engaging user experience. Text-to-give and bulk SMS campaigns, which began in the wake of Haiti earthquake in 2010, did not generate a noticeable outcome likely due to poor strategic planning that failed to ensure the donation links included in text messages were mobile-compatible. Only 15% of NGOs worldwide regularly send text messages to donors and supporters, of which close to half are using text-to-give service. The new mobile technology on the rise is messenger apps. Currently, 18% of NGOs can be found on messaging apps such as Whatsapp, Facebook Messenger, LINE, Viber, and Snapchat depending on their operating region. The average number of Whatsapp followers varies from 559 to 3,608 depending on the size of the organization. The comparative advantage in cost to traditional SMS is expected to increase the share of messenger apps in mobile-based fundraising in the coming years.

Data Management & Security

NGOs are also using technology to manage their information, donor communication and transactions. More NGOs are moving to online cloud from hard drive-based customer relationship manager (CRM). Of the organizations that use CRM software for data management and security, 64% of those use cloud-based software. NGOs are also encrypting CRM information and data to better protect the organization and donor information as well as email and mobile privacy. For day-to-day operations, 80% of NGOs globally use Microsoft Windows as their main operating system on desktops and laptops and Google Android on smartphones and tablets due to their low cost.

NGO TECHNOLOGY USE FINDINGS BY REGION

·       Three quarters of NGOs around the world have an official website that incorporates responsive design. More than half of them use the .org domain.

·       One third of NGOs globally use online peer-to-peer fundraising services.

·       About half of NGOs worldwide regularly send out email newsletters and fundraising appeals. Email marketing service was the most popular method in all regions.

·       SMS based fundraising including text-to-give was not as preferred as messaging apps. NGOs in Africa, Asia, and South America were especially active in the usage of messaging apps for communication with donors and supporters.

·       Most NGOs, regardless of their operating region, owned one or more social accounts. Facebook, Twitter, and Youtube were some of the most popular social media channels.

·       The success of #GivingTuesday depends on the region. For example, North America (62%) showed a six times higher participation rate than Australia and Oceania (11%). Other parts of the world were between 15-30%.

·       Microsoft Windows and Google Android were most preferred by global NGOs as operating systems on computer and mobile. In Australia, Oceania, and North America, however, Apple iOS was preferred for mobile.

·       More NGOs are switching from hard drive-based software to cloud-based CRM and adopting encryption technology to safeguard email and information privacy of both the organization and donors.

KEY TAKEAWAYS AND IMPLICATIONS

Figure 2. Effectiveness Ratings of Marketing Channels. Source: 2018 Global NGO Technology Report

In summary, using a combination of various communication channels to reinforce the relationship between NGOs and donors remains critical in guaranteeing the sustainability of the organization regardless of its size, type, or mission in today’s increasingly digitalized landscape. As shown in figure 2, there is no single definitive channel that promises retention of existing donors and supporters or engage a new audience.

A neat, easy-to-navigate website would be a good starting point to draw interest to the organization’s activities and increase credibility in the organization at a first glance for both current and future donors. If necessary, choosing different domains or content management system (CMS) would build donor and supporter confidence in the organization and its work. As the most effective fundraising platform, accounting for 72% of online fundraising in NGOs worldwide, official websites and its pages should be easily accessible and display the same information and features regardless of the type of device in use. Another way to explore new funding opportunities is to enable donations through diverse payment sources. In addition to the usual debit, credit cards, and PayPal, accepting digital wallet and cryptocurrency-based donations could increase prospects for online fundraising campaigns in the future.  

Along with more traditional methods of online communication, NGOs should also evaluate their social media presence and adjust strategies to fit the medium or platform that target donors or supporters use most frequently. As of now, only 32% of NGOs worldwide have a written social media strategy. Currently, Facebook is the preferred social media platform worldwide that organizations choose to be on but other channels might prove to be more effective in meeting an organization’s mission and programs. Being present on every social media platform does not necessarily guarantee a better return in increased brand awareness or fundraising. Specific social media strategies would help narrow the focus on the ones that prove to be more effective and would save the organization from the trouble of keeping up with regular text, image, and video updates on every single social channel. In addition, NGOs should look further into ways to make the increased attention to the organization translate into giving on social media in general. The report does not necessarily address the discrepancy between the NGOs’ perspectives on the effectiveness of social media in fundraising (71%) and donors’ viewpoints on whether it is the most inspirational platform that prompts them to donate (25%).

Figure 3. Benchmarks for success across different social media and messaging apps. Source: 2018 Global NGO Technology Report

NGOs should also understand the characteristics of their operating environment before deciding to move everything online. For instance, only 55% of NGOs in Africa accept donations online even though much more have their own websites and are on social media and messaging apps. This could be due to the lack or insufficient focus on building online-based fundraising strategies, but it might also be the case that not many donors feel comfortable with making online transactions or simply prefer offline engagement with the organization over online. Figure 3 also shows how donors and supporters in different parts of the world prefer different social media and messaging apps. Strategic plans should thus be based on the understanding of demographics and regional variation. Organizations that are planning overseas expansion for prospective donors should consider the regional differences in data management systems as well. A poor understanding will lead to incompatible operating systems, which will greatly hinder the efficiency of day to day operations.


Figure 4: Future strategies for NGOs. Source: Author.