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Choose your philanthropic approach
- Author: Creative Australia
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What to consider
There are different ways to seek philanthropic support. The right approach depends on:
- what you’re seeking support for
- who you want to engage
- your fundraising goals
- your relationships
- your resources
- your capacity.
You may only use one approach or combine several as part of your giving program. This guide lists common approaches and when they work best.
1. One-off digital crowdfunding campaigns
These are time-limited campaigns that use digital platforms and channels to raise money for a specific project, work or need. Digital channels can include email, websites and social media.
Digital crowdfunding can take different forms:
- Donation-based crowdfunding: people give without receiving a material benefit in return. The Australian Cultural Fund is a donation-based platform where eligible donations can be tax deductible for donors.
- Rewards-based crowdfunding: people give in exchange for a reward, such as access to content, merchandise, tickets, an experience or another benefit. Platforms commonly used for rewards-based crowdfunding include Pozible, Kickstarter and Indiegogo.
When to choose it
Works best if you:
- have a specific project, work or need
- want to mobilise people to give within a defined period.
What to consider
You need a clear goal, a compelling story and an audience you can reach. You also need to:
- understand how your chosen platform works
- plan how you will communicate your ask
- plan how you’ll build momentum throughout the campaign.
2. Annual giving appeals
These are regular appeals that invite people to donate each year. They create a reliable source of philanthropic income. Common examples include:
- end-of-financial-year appeals
- end-of-year appeals
- AusArt Day campaigns.
When to choose it
When you have an existing audience or supporter base to reach out to at a regular point in the year.
What to consider
Repeat giving depends on strong stewardship. You need to keep donors informed, appreciated and connected throughout the year, not only when you make the annual ask. It usually costs less to keep an existing donor than it does to attract a new one.
3. Donor circles
These are groups of supporters who give at, or above, a minimum amount to an organisation, project or program. Donor circles create opportunities for donors to build closer connections to your work and with each other.
When to choose it
When you have supporters who value belonging, shared experiences and deeper engagement with your work.
What to consider
Donor circles need thoughtful stewardship. Be clear about the purpose of the circle and how you’ll keep members connected and engaged. Be careful about offering material benefits in return for a donation, as this may affect whether the gift it tax deductible.
4. Giving days
These are concentrated giving campaigns run on a single day, with a clear goal and call to give.
When to choose it
When you want to:
- mobilise a broad group of supporters around a shared goal
- create a strong, time-limited moment for giving.
What to consider
- Most of the work happens before the day. Use a quiet period to get early commitments and improve your chances of success on the day.
- Strong campaigns use matched funding, ambassadors and a dedicated giving day platform. They also rely on email, digital and social media channels to build momentum and reach more people.
5. Major gifts
These are significant donations from individual donors. What counts as a major gift will depend on your context – there is no set amount. They are developed through personal relationships with these individuals.
When to choose it
When you have a significant opportunity or need and potential donors with the interest, connection and capacity to make a substantial gift.
What to consider
Major gifts take time. You need to do research, build the relationship and trust before making the ask. In arts organisations, senior leaders or board members play an important role in this approach.
6. Capital campaigns
These are major campaigns to raise significant philanthropic support for a specific purpose. They have a defined financial target and often run over several years. Examples include a building, redevelopment, major project or endowment.
When to choose it
When you have a large, specific funding need that can’t be met through your usual giving activity alone.
What to consider
Capital campaigns require:
- significant planning
- strong leadership and board involvement
- established donor relationships.
They often begin with a quiet phase to secure lead gifts before the campaign is promoted more widely.
Capital campaigns often involve a mix of public and private investment, so you may need to consider how different funding sources will work together.
7. Trusts and foundations
These are philanthropic grants provided by trusts, foundations and other grant-making organisations.
When to choose it
When your work aligns with a trust or foundation’s purpose, priorities and the types of activity it supports.
What to consider
You need to research eligibility, priorities, previous giving and application processes. Some trusts and foundations, including public and private giving funds, can only make grants to Item 1 Deductible Gift Recipients (DGRs). Some have open application rounds, while others use invitation-only processes.
8. Bequests
These are gifts of money or other assets made through a person’s will.
When to choose it
When you have long-term supporters who feel strongly connected to your work and may want to leave a legacy.
What to consider
Bequest relationships can develop over many years. Provide clear information, respect the donor’s intentions and take a sensitive, long-term approach.
How to manage donor data
Learn what donor information to keep so your giving program succeeds.