The Ultimate Virtual Fundraising FAQ Guide for Nonprofits

Fundraising has undergone a major transformation in recent years. While bake sales and car washes once dominated the calendar, organizations are now discovering that online fundraisers are the best way to engage donors beyond their local community and plan for long-term growth.

However, a new type of fundraising raises new questions. How do you maintain donor connection? How do you handle logistics? What actually sells online? In this guide, we’ll give you the answers you need to run a successful campaign and tackle any challenges that come your way.

What is virtual fundraising?

Virtual fundraisers are campaigns where donors both engage and donate online. Online fundraisers remove the geographical barriers of traditional fundraising, allowing you to accept support from anyone with an internet connection.

Virtual fundraising ideas encompass everything from virtual galas and online auctions to peer-to-peer campaigns and crowdfunding. While many people confuse virtual fundraising with crowdfunding, crowdfunding is just one specific type of virtual fundraising with a single landing page for small donations.

How do we handle product sales without physical interaction?

Many organizations worry that moving online means giving up on lucrative product fundraisers. This is a misconception. You can still sell physical goods; you just have to adjust the logistics. The key is utilizing “direct-to-home” shipping models provided by your fundraising partner.

Consider a gourmet popcorn fundraiser as an example. In a traditional setting, volunteers might carry brochures and deliver bags door-to-door. In a virtual model, you set up a web store where your supporters can purchase their desired flavors and have their treats delivered right to their door.

This virtual format actually simplifies the process for your team, obviating the need to handle inventory or coordinate local deliveries.

What are the best low-cost, high-return virtual fundraising options?

When your budget is tight and you can’t risk upfront costs, you need fundraisers with high profit margins and minimal overhead. Virtual campaigns naturally reduce costs by eliminating expenses such as venue rental, catering, and event staff, but the event or campaign choice still matters.

Look for a no-risk fundraiser, like selling flower bulbs with a fundraising partner. This way, you’ll avoid sinking costs into any product that goes unpurchased, allowing you to maximize your revenue and profit.

You can also host an event like a virtual 5K. In these events, participants run on their own time, tracking their miles via an app. They receive pledges and donations from friends and family online, making participating easy and donating rewarding.

How do we keep donors engaged through a screen?

Donor fatigue is real, and the lack of face-to-face interaction can make it harder to stoke your supporters’ passion for your cause. It’s important to remember that a virtual fundraiser is not a one-to-one replacement for an in-person fundraiser; treating your online event like a substitute will leave donors feeling ambivalent about your campaign. Instead:

• Use video updates. Supporters may ignore or skim text-heavy emails. A short, recorded video from your executive director or a beneficiary creates an emotional hook that pulls supporters in.

• Gamify the experience. Your supporters want to see that their support is making a difference. ABC Fundraising suggests using a fundraising thermometer to track your progress toward your fundraising goal and encourage donors to contribute to help you hit that magic number.

• Leverage peer-to-peer influence. Equip your most loyal volunteers with templates to share on their own social media channels. Donors are more likely to give when asked by a friend than when asked by a faceless organization. This is an especially effective strategy for pledge-based campaigns like walk-a-thons, dance-a-thons, or fun runs.

Choosing the right fundraising idea and taking advantage of the unique engagement opportunities that a virtual fundraiser offers will allow you to create genuine connections with your supporters that will translate into long-term support.

How do we choose the right platform for virtual fundraising?

First, decide which type of virtual fundraising software you need—common options include crowdfunding, peer-to-peer, auction, events, merchandise, and text-to-give platforms. To choose the right tool for your specific needs, Bloomerang’s guide to virtual fundraising platforms lists the following as some of the most vital features of these tools:

• Customizable donation pages
• Secure payment processing
• Conversion optimization
• Third-party integrations
• Reporting features
• Recurring giving opportunities
• Marketing and communications features

Before your demo, create a prioritized list of your “must-have” features along with “nice-to-have” add-ons. This list will help you narrow down your options and find the right tool for your organization rather than getting caught up in flashy features that aren’t really necessary.

Virtual fundraising is not about replacing traditional methods entirely, but instead expanding your toolkit. By answering these questions and addressing the logistics of engagement and product delivery, you can build a campaign that is resilient, far-reaching, and highly profitable.