Philanthropy in Focus: Key Trends Shaping Nonprofit Strategy in 2024
By: Arshia Sultan, Executive Vice President of Diversity, Equity, Inclusion, and Belonging (DEIB), CCS Fundraising
As nonprofits reflect on the past year, understanding the trends that shaped charitable giving is essential for building effective strategies. Insights from the 2024 Philanthropic Landscape report, recently released by CCS Fundraising, provide guidance to help nonprofit leaders navigate an evolving philanthropic landscape.
Navigating Economic Pressures
Despite inflation and market volatility, charitable giving in the U.S. reached $557.2 billion in 2023. Though this growth didn’t outpace inflation, it underscores donor resilience. Nine out of ten charitable sectors saw increases, many adapting their fundraising efforts to meet shifting donor expectations while continuing to drive impact.
Individual giving, which makes up the largest share of total contributions, grew by 1.6%, though the number of donors dropped 3.4%. Nonprofits must focus on strengthening donor retention and engagement strategies to sustain their support base.
Growing Role of Corporate and Foundation Philanthropy
Corporate philanthropy increased to $36.6 billion in 2023. As social responsibility becomes a higher priority for companies, nonprofits can enhance partnerships with corporate donors, particularly those supporting global priorities like disaster relief, health, and human rights. Foundations, with giving surpassing $100 billion for the second consecutive year, remain a vital funding source.
The good news is that philanthropy has remained resilient during nine of the last ten election years, with 2008 being the exception due to the financial crisis.
Leveraging Donor-Advised Funds
The rise of donor-advised funds (DAFs) presents nonprofits with opportunities to engage high-net-worth individuals. With an estimated 2 million DAFs in the U.S., cultivating relationships with these donors could foster sustained, long-term support.
Nonprofits should consider connecting with Millennial and Gen X donors about leveraging DAFs as an approachable way to grow their funds while also supporting organizations they care about and gaining tax incentives.
Preparing for an Election Year
With the 2024 presidential election approaching, many wonder how it might impact giving. The good news is that philanthropy has remained resilient during nine of the last ten election years, with 2008 being the exception due to the financial crisis.
In fact, giving trends from prior years are a better indicator of future behavior than the election itself. Research even shows that donors to political campaigns often increase their charitable donations during election years. Nonprofits can feel confident heading into 2024, as giving is expected to follow these established trends.
The AI Revolution in Fundraising
Artificial intelligence (AI) is transforming fundraising, offering opportunities for improving donor engagement and streamlining operations. However, nonprofits must be prepared for effective AI integration. The 2024 Philanthropic Landscape report outlines four pillars of AI readiness: People & Culture, Centralized Data, Global Data Governance, and Ethics & Security. Successful AI adoption involves more than just using new technology—it requires building a strong data infrastructure and fostering a culture of innovation.
Learn More About Emerging Trends
As nonprofits face another dynamic year, staying informed and adaptable is key. From the rise of AI to the influence of global and political forces on giving, understanding these trends will help shape strategies for success. For more insights and detailed analysis, explore the full 2024 Philanthropic Landscape report.
Arshia Sultan serves as the Executive Vice President of Diversity, Equity, Inclusion, and Belonging (DEIB) at CCS, and leads the strategy and implementation of transformative initiatives to impact culture and employee engagement with a strong emphasis on continuous learning, empathy, and collaboration.
Prior to taking the position as head of DEIB, Arshia led the CCS L&D team and has a proven track record of designing and executing impactful training programs that enhance employee skills and foster professional growth, including onboarding programming, live and on-demand curriculum, and executive training initiatives. An expertise in adult learning principles and organizational development uniquely positions her to drive effective DEIB strategies that are both educational and transformative.
Arshia is passionate about creating environments where everyone feels a sense of belonging and has an equal opportunity to succeed. A proud NYU alum, Arshia currently resides in Chicago with her husband and two children and is an active volunteer at her daughter’s school, and volunteering at various local nonprofits.
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