The Impact Issue #55: Big Shifts in Fundraising: Trends to Watch!

Hey there, fellow grant writers!

Welcome to The Impact!

This week, we’re diving into:

✅ How donor behaviors are shifting—and what this means for your fundraising strategy

🤖 The role AI is playing in philanthropy and grant writing

💡 Funding opportunities that are designed to support innovative programs and projects

Let’s get into it!

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Pitfalls and Pointers

⚠️ Pitfall: Avoiding AI in Fundraising Due to Ethical Concerns

AI is transforming nonprofit fundraising, enabling hyper-personalized donor communication and better engagement strategies. 

However, many organizations hesitate to embrace AI due to ethical concerns, fearing a loss of the human connection that drives stewardship. While these concerns are valid, avoiding AI altogether means missing out on efficiency gains, deeper donor insights, and stronger relationships.

💡 Pointer: Use AI Thoughtfully to Enhance (Not Replace) Donor Relationships

AI isn’t a substitute for human connection—it’s a tool to strengthen it. Here’s how to use AI ethically and effectively in fundraising: 

• Leverage AI for Donor Insights: Use AI to analyze donor behavior and preferences, allowing you to tailor outreach and engagement strategies. AI can help determine the best time to ask for donations and identify major gift prospects.
• Personalization Is Key: AI-powered tools can help draft thank-you letters, appeals, and donor updates, but always review and refine messages to ensure they reflect your organization’s authentic voice and mission.
• Start Small and Test Different Strategies: Start small by using AI for drafting emails or analyzing donor data. Regularly review AI-generated content and adjust your strategies as needed to ensure alignment with your nonprofit’s values and donor expectations.

Want more tips?

Check out this piece on 2025 fundraising trends - including ethical AI usage!

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Tech You Should Know

What:

AI Policy Template for Nonprofits by ANB Advisory and NTEN.

Two powerhouse organizations at the forefront of responsible technology—ANB Advisory Group and NTEN (Nonprofit Technology Enterprise Network)—have teamed up to create this essential AI policy template for nonprofits.

As AI tools become more common in the nonprofit sector, having clear guidelines on how your organization uses AI is critical. This free policy template can help your nonprofit establish ethical, transparent, and effective AI usage policies.

How Grant Writers Can Use It:

• Set AI Boundaries: Define what AI tools can and cannot be used for in your grant writing and fundraising processes.
• Ensure Ethical AI Use: Establish transparency around AI-generated content and maintain accountability in proposals.
• Safeguard Donor and Funder Data: Create clear protocols for protecting sensitive information when using AI-powered research tools.

Keep in Mind:

• AI Is a Tool, Not a Decision-Maker: This policy template helps ensure AI supports your work without replacing human oversight.
• Funders Value Authenticity: Make sure AI-generated content aligns with your nonprofit’s voice and mission.
• Adapt It to Fit Your Needs: The template provides a foundation, but every nonprofit’s AI approach should be tailored.

👉 Get the free AI policy template here!

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The Latest Numbers

Donors are changing—are you keeping up?

The CCS Philanthropy Pulse report, an annual survey of nearly 400 nonprofit leaders, reveals the latest trends in fundraising, donor engagement, and giving strategies. The 2024 report highlights how major donors, technology, and innovation are reshaping philanthropy, offering key insights for nonprofits looking to stay ahead. 

Take a peek at some of the takeaways:

• Major gifts are on the rise, but funders are more selective: While individual major donors are giving more, they’re prioritizing organizations that can demonstrate measurable impact. Meanwhile, institutional funders are tightening their criteria, focusing on data-driven results rather than broad mission statements.
• AI and tech are changing the grant landscape: Funders are increasingly using AI to evaluate proposals and assess nonprofit effectiveness. On the nonprofit side, organizations that leverage AI-powered donor insights and automated outreach tools report higher engagement and stronger donor retention.
• Innovation isn’t optional—it’s a competitive advantage: Nonprofits embracing new fundraising models—like peer-to-peer campaigns, subscription-based giving, and text-to-give strategies—are seeing more substantial revenue growth than those relying solely on traditional fundraising. Investing in tech-driven engagement strategies is becoming essential for donor retention. 

What does this mean for your nonprofit? It’s time to double down on impact storytelling, AI-driven donor research, and innovative funding strategies. 

📑 Read the full report!

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Opportunities Spotlight

⭐ Journey for Good Foundation Grants‍

Who It’s For: Nonprofits focused on poverty alleviation, food security, workforce development, education, and veteran support.

Next Deadline: May 15, 2025

Grant Amount: Varies

The Details:

• Supports initiatives addressing hunger relief, workforce development, education, and veteran assistance.
• Prioritizes nonprofits with strong leadership, sound financial management, and collaborative approaches.
• Applications are reviewed three times per year (January, May, and September)

👉 Apply Here!

🎨 Kathleen Patton Westby Foundation Grants

Who It’s For: 501(c)3 nonprofits focusing on arts and arts education initiatives.

Next Deadline: LOIs are accepted year-round; submit by May 25 for June consideration, or November 25 for December consideration.

Grant Amount: Varies based on project scope and alignment with foundation priorities.

The Details:

• Organizations are required to submit a concise, one-page letter of intent detailing the issue addressed, organizational background, project summary, timeline, and funding needs. 
• If the letter aligns with the foundation’s priorities, a full proposal may be requested.
• The Foundation focuses their support on nonprofits who aim to enhance quality of life by supporting projects in the arts and arts education sectors.

👉 Apply Here!

🔍 Explore thousands of other grant opportunities now!

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Networking Nook

‍💻 Webinar: How to Tell Stories that Motivate Donors to Give—The Real Story You Need to Tell

Wednesday, April 16, 2025 | 3:00PM ET

In this webinar hosted by CharityHowTo, you’ll discover how to craft compelling stories that inspire donors and drive fundraising success. This session will cover storytelling frameworks, emotional engagement techniques, and practical steps to elevate your nonprofit’s messaging. 

Don’t miss this opportunity!

✅ Register Now!

📅 Conference: Nonprofit Technology Conference (NTC)

April 16-18, 2025 | Baltimore, MD & Virtual

Hosted by NTEN, the Nonprofit Technology Conference offers 100+ sessions covering topics like digital inclusion, social media strategy, and donor security. Attendees can expect inspiring keynote speakers, interactive workshops, and networking opportunities designed to foster lasting connections and collaborations.

Hurry!!

✅ Register Now!

To check out more recent and upcoming live events, go here.

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In Case You Missed It

📑 Article: Relentless Fundraising Is Eroding Trust in Nonprofits: Here’s How to Fix Things

This article from the Chronicle of Philanthropy discusses how aggressive fundraising tactics can undermine public trust in nonprofits. It offers strategies for building genuine relationships with supporters to demonstrate organizational worthiness and foster long-term commitment.

👉 Get the Full Story!

📼 Video: Major Changes to Federal Grants in 2025: What Nonprofits Need to Know

Federal grant regulations are evolving in 2025, bringing new compliance rules, reporting requirements, and funding priorities that could impact your nonprofit’s strategy. This article breaks down key updates to OMB’s Uniform Guidance, shifts in cost allowability, and what funders are focusing on in the year ahead. Make sure your nonprofit is prepared to navigate these changes and maximize available federal funding opportunities.

👉 Watch the Master Class!

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Stay Ahead With Smarter Grant Strategies

The nonprofit landscape is shifting—are you ready to adapt?

With Instrumentl, you can:

• Find the right funders faster with AI-powered insights
• Track deadlines and manage proposals effortlessly
• Analyze funder giving trends to improve your chances of success

The best part?

👉 You can try it free for 14 days - no credit card required!