For Immediate Release: February 23, 2009
Contact: Joan Vallejo, 503.227.6846
Survey of Oregon nonprofits finds that overall demand is up 16%; Trend is towards smaller donations by a larger number of people
PORTLAND, OR – This week, The Oregon Community Foundation (OCF) released findings from an early 2009 survey of 113 nonprofits across the state. OCF surveyed selected nonprofit organizations to learn about changes in private giving patterns between 2007 and 2008 and changes in demand for services since July 2008.
The findings include the following:
- On average, demand for services is up 16% since July 2008.
- Private giving declined in 2008 compared to 2007 for slightly more than half the organizations surveyed.
- Corporate giving and large individual donations have declined.
- More donors are giving smaller amounts. Although total giving declined or held steady, Oregonians who are able to give are doing so.
OCF selected 169 organizations to survey, including small grassroots and large well-established organizations. About 28% of the organizations invited to participate in the survey serve the Portland Metropolitan Region, 16% serve the Willamette Valley, 13% serve Southern Oregon, 9% serve Central Oregon, 9% serve Eastern Oregon, and 4% serve the Coast. Twenty-one percent serve the entire state. Eighteen percent of the organizations surveyed were classified as “basic needs”, 25% “social services and youth development”, 17% “arts and culture”, 22% “education”, and 18% “community benefit”.
The survey was conducted by mail and e-mail between January 20 and February 13, 2009. Of the 169 organizations invited to participate, 113 responded, a 67% response rate.
- About 51% of survey respondents reported that demand for their nonprofit’s services increased in the second half of 2008.
- On average, basic needs organizations reported an increase in demand of 21%, with community benefit organizations reporting an increase in demand of 16%.
Survey responses indicate that nonprofits are particularly worried about corporate donations and gifts from individuals. Individual gifts are mixed as donors cut back or delay their philanthropic plans. Several comments suggest that nonprofits have relied on foundation grants in the past few months and they worry that these sources of funds will also deteriorate. One nonprofit wrote, “We have seen a significant drop in individual and corporate giving in the last quarter of 2008. Foundation revenue remained strong, but now we're seeing signs that foundations are cutting back as well.” Others commented that foundation grants have become more competitive.
However, other nonprofit staff said that even though they know the economy is hurting donors, it is also inspiring donors – particularly the less-than-wealthy - to give. One respondent wrote that “compassion will drive more donations by more people of smaller amounts.”
“This survey confirms our belief that Oregon communities must have a strong safety net of emergency services as well as long-term plans that will result in economic and social health in the future. And it also confirms the generosity of Oregonians – neighbors helping neighbors,” said Greg Chaillé, OCF President.
The survey findings have several implications:
- Demand for nonprofit services is rising rapidly – The reported demand for services is up 16% since July 2008. We expect that this dramatic increase in demand will track the economy’s recovery or further decline.
- There is concern that giving will decline in 2009 and 2010 – Although over half of organizations surveyed indicated that contributions were lower in 2008 than in 2007, it is too early to tell how deeply the economic downturn will hurt Oregon’s nonprofit sector. As one respondent wrote, “[the climate for charitable giving is] fair in 2009, but I am deeply concerned it will be worse in 2010.”
- Small donations from individuals will be the key to successful fundraising – Although survey responses indicate that corporate donations have plummeted while large donations from individuals are on pause, there is evidence that Oregonians are willing to support nonprofit organizations through the economic downturn. Several survey respondents indicated that while individuals are providing, on average, smaller donations, the total number of donations has increased. Organizations that are able to tap into group of donors may be best positioned to weather this economic storm.
The complete survey report is available at oregoncf.org.