Crowdfund donations ‘rose 1,000 per cent in Lockdown’

As the pandemic swept across the country earlier this year, crowdfunding campaigns were soaring on course to raise record amounts, according to new data.

New findings show that between January and July, the average total of the amount raised by was up by 1,006 per cent against 2019, with the average number of supporters in each campaign also up year-on-year by 769 per cent over the same seven months.

The study by financial analysis experts AskTraders also found that between March and May when the pandemic was at its peak, the average amount per individual donation increased by 32.6 per cent on the same period in 2019, with campaigns raising on average £5,691.56 each.

The research analysed more than 33,500 crowdfunding campaigns from world-leading online fundraising platform, JustGiving, between October 2017 and July 2020. The data included campaign launch and close dates, the target amount set and the final amount raised, as well as the number of supporters.

Nigel Frith
Nigel Frith: cameraderie

Nigel Frith, senior financial analyst at AskTraders said: “While the Covid-19 lockdown has presented a wide array of financial challenges, it is positive to see how the global camaraderie created by the shared experience has translated into increased generosity when it comes to supporting causes we believe in.

“We wanted to look at crowdfunders specifically rather than fundraisers where the majority of all proceedings go to charity, in order to give us a broader view of donations as crowdfunders can both be for-profit and not-for-profit.

“The data reveals that 2020 could be well on track to be the most fruitful year for crowdfunders if the momentum in people donating continues.”

The data shows that year-on-year, people are donating more money with the average amount donated in 2020 to a crowdfunder campaign being £36.36, which is a 27 per cent increase on 2019 and 13 per cent more than 2018.

Michelle Wright, CEO of Cause4, said: “Some charities can see a rise in donations following breaking news, such as an increase in support of Black Lives Matter-related charities. After Donald Trump’s 2016 election, many progressive organisations experienced an influx of rapid-fire online donations in so-called ‘rage based’ philanthropy.

“This can be effective in the moment but there is a real risk of rage-exhaustion, especially when we are bombarded with bad news.”