The fall marks one of the busiest times of the year for nonprofits that manage peer-to-peer fundraising campaigns, as a number of organizations host their biggest events in September and October.
But if results from the spring and summer are any indication, many groups should be prepared to temper their expectations.
An informal survey of nearly two dozen organizations finds that most established peer-to-peer campaigns have not kept pace with revenues and participation levels in 2015.
What’s more, some previously fast-growing campaigns — among them the St. Baldrick’s Foundation’s head shaving events and the Pelotonia bike ride event in Columbus, Ohio —say their revenues are starting to plateau.
However, the news is not all grim. While many established campaigns are struggling to keep pace with their previous results, some organizations say they are exploring strategies to diversify their revenue, such as through do-it-yourself fundraising campaigns.
In many cases, the revenues from these new campaigns are still modest. But as competition continues to grow among traditional peer-to-peer campaigns, many organizations see DIY as an opportunity to reach new participants.
The list of charities that report that they are investing heavily in DIY reads like a who’s who of America’s largest charities — the ALS Association, American Diabetes Association, Cystic Fibrosis Foundation, Easter Seals, the National Kidney Foundation, and World Vision are among the groups that say they have or will be creating their own DIY platforms.
And some of these groups say they are already seeing strong results.
The Cystic Fibrosis Foundation says its its Passion Fundraising program — a do-it-yourself platform that allows participants to organize and publicize their own events and challenges — has raised about $600,000 thus far — and the organization hopes that it will reach $1 million by the end of 2016.
These new revenues will help offset some expected declines at its long-running Great Strides walk series, which raised $42.3 million in 2015.
The organization reports that its revenues will likely fall short of that figure this year after about 50 of its chapters discontinued their events — lowering the total number of events in the campaign to under 500.
Many other established campaigns are experiencing similar results. They include:
- St. Baldrick’s Foundation’s head-shaving events, which reported a decline in the number of participants in its head-shaving programs. The good news is that the average amount raised per participant has increased — and the group is working to increase its number of participants by 2,500 over the next year, says Cynthia Weaver.But that increase was not enough to help the organization surpass its 2015 totals. St. Baldrick’s reports revenues for fiscal 2016 (which ended June 30) of just more than $34.2 million, down from the $37 million it raised during the previous year.
- Pelotonia, the single-event cycling campaign, reports that revenues will be at or near last year’s figure. In 2015, Pelotonia reported nearly $23.7 million from nearly 8,000 riders. Revenues from the event, which are still being collected, are on pace with last year’s results to date. However, organizers say that the number of riders was down slightly.
- The American Diabetes Association’s Tour de Cure series has also seen a decline in the number of riders. Year-to-date, the number of participants has declined from nearly 47,500 a year ago to just more than 43,500 this year — a trend that will likely impact its revenues.The ADA has been experimenting with some new events to help keep pace with changing tastes. In October, for example, it is partnering with the Washington Redskins to play host to Game On Greater Washington, which will bring together walking, cycling, and running events at one time.
- AIDS/LifeCycle, a fundraising ride in California that reports that it raised $16.2 million in June, down slightly from its record total of $16.6 million in 2015.
For campaigns like Pelotonia — which had been growing quickly in previous years — the slowing was inevitable.
Nick Denby, the organization’s vice president of finance and IT, says Pelotonia has reached its limit when it comes to the number of people who can participate in its ride. As a result, it must count on riders to raise more money — a prospect that will likely limit its future growth unless it adds new elements or events.
Denby says organizers are working on a strategy to help Pelotonia continue to grow.
But even as it works to expand, Denby says Pelotonia is facing the same headwinds that are pushing against other P2P programs.
“There’s fatigue in the market. That’s what concerns me,” he said. “The general fatigue in P2P fundraising is something we all have to address.”
While some traditionally strong programs are facing new challenges, others that had fallen on hard times are starting to bounce back.
CROP Hunger Walks — a campaign organized by Church World Service in which church groups play host to fundraising walks to raise money to combat hunger — have seen revenues decline for the past several years. But organizers have been investing in new tools that aim to modernize the campaign and make it easier for volunteer leaders to raise money and communicate.
As a result, the campaign’s spring events saw revenues hold steady compared with 2015 — which organizer Mary Catherine Hinds says is an encouraging trend.
“For the bleeding to be tapering off is a great thing,” Hinds says. “We’ve found our success to be tied to the creation of tools to improve the volunteer coordinators’ experience.”
Meanwhile, the Pan-Mass Challenge — the nation’s largest single-event P2P fundraising campaign — continues to surge ahead, even as it faces many of the same challenges that are affecting other campaigns.
Billy Starr, the campaign’s founder, says revenues are still being collected from its summer ride. Thus far, revenues are ahead of last year’s pace and on target to reach its goal of $46 million.
A number of smaller campaigns have also reported strong results. They include:
- The Hill Country Ride for AIDS, which raised $572,000 and exceeded its goal of $550,000.
- A Ride to Remember, which set a fundraising record of $400,000 and attracted 300 riders.
- The Meaford Harbor Run/Walk, which posted a single year record of $65,000 and more than 530 participants.
— Peter Panepento