What's Happening?
Recent data from the Blackbaud Institute highlights a widening gap in fundraising performance between large and small nonprofits. In 2025, large organizations experienced an 11.7% revenue growth, while small nonprofits saw a 6.4% decline. The trend of 'fewer
donors, more dollars' has intensified, with major gifts driving gains. Large nonprofits received 84.5% of their revenue from major gifts, compared to 51.7% for small organizations. The report suggests that smaller nonprofits need to prioritize major giving strategies and leverage AI tools to enhance donor engagement and fundraising efficiency.
Why It's Important?
The disparity in fundraising success between large and small nonprofits has significant implications for the sector's sustainability and impact. Smaller organizations may struggle to compete for donor dollars, potentially affecting their ability to deliver services and fulfill their missions. The data underscores the importance of strategic fundraising and the adoption of technology to optimize donor relationships and revenue streams. This trend could reshape the nonprofit landscape, influencing how organizations approach fundraising and donor engagement.
