(Montreal) The inflationary wave will force the philanthropic community to work twice as hard to financially support charities faced with growing needs. Foundations are optimistic about the generosity of their donors, even though they themselves are suffering from the vertiginous rise in the cost of living.
Posted at 1:13 p.m.
An increase in consumer prices which reached 6.8% in April compared to the month of the previous year could call into question for many their choice to give. According to a recent report from the CanadaHelps platform, one in four Canadians plans to give less in 2022 than in 2021.
Others may decide to keep their charitable spending at the same level. But a $100 donated in recent days, versus the same time in 2021, will have less value in the budget of a charity that is also feeling the brunt of inflation.
“In the coming months, we are going to have to work very, very hard to be able to get as many donations and even more because in reality we are also anticipating a significant increase in requests from young people and families who are supported by the DPJ”, recognizes the director general of the Youth Foundation of the DPJ, Fabienne Audette.
Organizations, such as food banks, face two or three more requests, mentions for his part the president and director general of Centraide of Greater Montreal, Claude Pinard.
In a crisis situation, a great feeling of solidarity usually sets in, and donors are more generous, anticipates the chairman of the board of directors of the Association of professionals in philanthropy in Quebec, which has more than 300 members from various community organizations and foundations.
“The level of donations is generally maintained. Some give more, others will give beyond their means or will not give. But there is a balance that can be found through the different levels of income and life, and therefore different levels of donations,” says Daniel Lanteigne.
Statistics Canada data shows that public generosity has not waned over the years. Although the number of donors has seen a decline between 2016 and 2020, the total value of donations has increased to just over $10.5 billion.
During the pandemic, the Youth Foundation of the DPJ was able to count on loyal donors, who, being spared by the crisis, decided to contribute more, relates Ms.me Audetta.
Centraide of Greater Montreal has also seen an increase in the money raised during its fundraising campaigns over the past two years, says Mr. Pinard.
maintain links
The CEO of Centraide of Greater Montreal sees the inflationary crisis as an opportunity to raise awareness among the largest donors and generate an outpouring of generosity.
“We have a group of major donors who give $10,000 and more. So we will definitely call on them. The team is looking at different strategies to raise awareness in order to see how we could increase donations from this category of donors, but also from all corporate donations,” explains Claude Pinard.
Maintaining a constant link with your network remains the key, crisis or not.
“The organizations that have come through the pandemic the easiest, and will go through the inflation just as easily, are the ones that check in with their donors, present projects, but also come back to them and tell them here’s what we did with your money and why we’ll eventually ask you for more,” says Mr. Lanteigne.
Major fundraising events help maintain this sense of belonging. Their return after a long absence will give a boost to this fundraising strategy, even if it still involves risk management with the pandemic.
“It’s going to be like a novelty in itself, since we haven’t had one for a few years. It’s a rainbow on the horizon, if I may say so,” said Mme Audetta.
The message of fundraising campaigns aimed at the general public should bring the level of insecurity into perspective in relation to that experienced by others, suggests the co-director of the Canadian Network for Partnership Research on Philanthropy (PhiLab), Jean-Marc Fontan .
“We realize that we are not so badly taken, and we still have room for maneuver to use to give. […] You may have to tell yourself to consume a little less, but not necessarily to give less,” says the professor in the sociology department at UQAM.
Foundations also rely on capital market investments and reserves that they can tap into to put more money to work for charities, adds Fontan.
If our wallet does not allow us to contribute an amount, a contribution of time is also welcome at a time when community organizations are seeing their teams stretched thin.
“We all need as humans to give back, argues Mme Audetta. When you get involved by volunteering, it also has great value. »
This article was produced with the financial support of the Meta Fellowships and The Canadian Press for News.