Healthcare fundraising cost significantly more in fiscal year 2009 than in past years to secure gifts and grants, according to a release from the Association for Healthcare Philanthropy.
A sample survey of association members found the median return on investment, measuring fundraising effectiveness, fell 23 percent in 2009 from $4.63 to $3.57. For cash donations alone, median ROI fell 17 percent to $3.26.
Fundraising’s portion of the institution's total revenues was unchanged at 15 percent, but costs associated with those efforts accounted for 27 percent of all fundraising expenses in 2009, compared with 19 percent in 2008.
However, physicians and other hospital employees within healthcare organizations donated more money and did so more often. Gift amounts from physicians and physician groups averaged $5,000, up $3,000 from 2008. This was made possible by building an "internal culture of philanthropy," the association said.
Major gifts of at least $10,000 accounted for 55 percent of all revenue raised, 7 percent more than in 2008. Planned giving, in which donors postpone charitable payments for several years, declined 2 percent but the average planned gift increased to more than $140,000, up from about $100,000 in 2008.
Read the release on healthcare fundraising.
Read more coverage on healthcare fundraising:
- Hospital Fundraisers Should Include Small Businesses, International Activities
- Big Nonprofits Expect 9% Drop in Donations This Year
- Non-Profit Healthcare Sector Sees 11% Decline in Charitable Fundraising
A sample survey of association members found the median return on investment, measuring fundraising effectiveness, fell 23 percent in 2009 from $4.63 to $3.57. For cash donations alone, median ROI fell 17 percent to $3.26.
Fundraising’s portion of the institution's total revenues was unchanged at 15 percent, but costs associated with those efforts accounted for 27 percent of all fundraising expenses in 2009, compared with 19 percent in 2008.
However, physicians and other hospital employees within healthcare organizations donated more money and did so more often. Gift amounts from physicians and physician groups averaged $5,000, up $3,000 from 2008. This was made possible by building an "internal culture of philanthropy," the association said.
Major gifts of at least $10,000 accounted for 55 percent of all revenue raised, 7 percent more than in 2008. Planned giving, in which donors postpone charitable payments for several years, declined 2 percent but the average planned gift increased to more than $140,000, up from about $100,000 in 2008.
Read the release on healthcare fundraising.
Read more coverage on healthcare fundraising:
- Hospital Fundraisers Should Include Small Businesses, International Activities
- Big Nonprofits Expect 9% Drop in Donations This Year
- Non-Profit Healthcare Sector Sees 11% Decline in Charitable Fundraising