“The greatness of a community is most accurately measured by the compassionate actions of its members.” – Coretta Scott King
Photo Source: Giving USA
The Release of Giving USA 2023: Key Highlights
June 20th marked the much-anticipated release of Giving USA 2023: Perspectives on Philanthropy, the most trusted and longest-standing report on charitable giving. Presented by CCS Fundraising in partnership with the Indiana University Lilly Family School of Philanthropy, this edition offers deep insights into giving trends and the future of philanthropy.
Led by Dr. Una Osili, the report highlights the incredible generosity shown during turbulent times, from the pandemic to the war in Ukraine. The headline: Americans donated $499.3 billion in 2022—a remarkable figure, yet a 3.4% decline when adjusted for inflation.
40-Year Trends: How Giving Has Shifted
Individual Giving
Individual giving continues to represent the largest share of American philanthropy—73% in 2022 (including bequests). However, giving trends are closely tied to economic conditions and have shown a noticeable decline.
Economic challenges like inflation, stock market losses, and higher living costs influenced donors’ capacity to give. Philanthropy often falls behind essential expenses like food and housing during tough economic times, illustrating the delicate balance nonprofits must navigate.
Corporate and Foundation Giving
Corporate and foundation giving has grown over the past two years. Foundations now account for 21% of all giving, and corporate giving has evolved to become more strategic, with increased cause-based and workplace giving efforts.
Although religious giving has dropped to under 30% of the giving share, human services and education sectors saw boosts during the pandemic. Environmental and international giving also remain important, despite tracking only beginning more recently.
Engaging Donors in Today’s Environment
While the number of donors may be down, dollars are still up. Nonprofits must continue to engage individual donors from all backgrounds and build trust through authenticity, clear communication, and meaningful impact stories.
Only 5% of Americans can confidently explain the value nonprofits bring, highlighting a massive opportunity for organizations to better showcase their missions and relevance. Building trust is essential, especially as public trust in government and large institutions declines.
Corporations must also adapt, exploring LLCs, cause marketing, and direct investments in social causes to engage modern consumers and employee donors. Conscious consumption is on the rise—especially among millennials and Gen Z.
Listen here to learn how millennials use community engagement and philanthropy to drive their goals and social activities.
Volunteerism: An Untapped Opportunity
Volunteerism remains a powerful yet often overlooked tool in strengthening donor relationships. Engaging volunteers allows individuals to feel the impact of your mission firsthand and can lead to greater giving loyalty.
Stay tuned for an upcoming blog post where we’ll dive deeper into how volunteerism can re-energize your base post-pandemic! Special thanks to VolunteerMatch.org for leading in this space for 25 years.
A Bright Future for Philanthropy
Despite recent challenges, there’s a lot to celebrate. Online giving, crowdfunding, and expanded donor activism are reshaping philanthropy for the better. The donor pipeline is being rebuilt, and donors are using their voices and platforms to advocate for causes they love.
Explore past Giving USA reports for more insight:
How LSC Can Support Your Growth
Lindsay Simonds Consulting (LSC) is a bespoke consulting firm serving nonprofits nationwide through transformational change. We bring the experience of a 10-figure fundraiser and the insights needed to build a harmonious, high-performing fundraising team.
Our services include:
Executive coaching
Board retreats
Annual planning
Capital campaign management
Major gifts donor engagement strategies
Need help interpreting the Giving USA report or activating a strategic plan? We can help.
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In addition to consulting, I keynote conferences, lead board retreats, and host seminars to strengthen and inspire nonprofit leadership.
