NEW YORK — GoFundMe is introducing new tools designed to simplify the process of promoting charitable causes across various online platforms, especially with younger individuals in mind.
The crowdfunding platform aims to engage with digital natives by enhancing the donation experience, thus encouraging more acts of charity. It hopes to unite traditional nonprofit organizations with a younger demographic that favors direct contributions rather than institutional donations. Among the upcoming features set to launch this fall are fundraising widgets targeting video game streamers, customizable user profiles that showcase philanthropic interests, and an integrated donation button on Instagram.
Tim Cadogan, the CEO of GoFundMe, emphasized the company’s vital role in facilitating both the giving and receiving of help. “Our goal is to ensure that individuals can express their charitable intentions in the online spaces they inhabit,” he stated.
The new offerings are a response to the company’s understanding of how Gen Z engages with social media, making it a largely untapped resource for charitable giving. A survey conducted this summer by GoFundMe revealed that individuals aged 12-27 are significantly more inclined than older adults to share causes or fundraisers on their social media platforms, with half doing so at least once a week. Furthermore, 41% reported that content on social media motivated them to research or contribute to specific causes.
GoFundMe allows users to create fundraising pages that can help cover significant expenses through contributions from friends, family, and even strangers. People often utilize this platform for urgent needs, such as rent payments or medical emergencies. The company maintains a transaction fee of 2.9% plus 30 cents for each donation.
While GoFundMe is not the only entity in this space, it is currently the largest crowdfunding platform, having raised $30 billion since its inception in 2010. The company recently bolstered its presence in the charity sector by acquiring Classy, a platform dedicated to nonprofit fundraising, in 2022.
This new initiative signifies GoFundMe’s entry into an arena where its competitor Tiltify dominates, particularly in fundraising through virtual livestreams. Recently, GoFundMe unveiled in-video fundraising tools for streamers on platforms such as Twitch and Instagram Live. Viewers can access donation pages via a QR code, along with a tracker displaying progress towards fundraising goals.
These enhancements also indicate GoFundMe’s commitment to support nonprofit organizations, alongside individual fundraisers. A collaboration with Meta will enable features for Instagram users starting October 31, specifically for organizers from the U.S., Canada, the UK, Ireland, and Australia. GoFundMe promises a “smooth” experience for integrating fundraisers into Instagram Stories, giving campaigns a more polished appearance to attract attention.
Nonprofits will also benefit from better insights into donor data from Instagram contributions, as mentioned by a company representative. Cadogan acknowledged the importance of supporting nonprofits addressing significant societal issues.
The platform is set to enhance user profiles from November 13, allowing individuals and organizations to enrich their accounts with giving-related details. Users can choose to keep their customizable pages private, though Cadogan highlighted the intention to motivate public expressions of charitable actions. Users can feature a fundraiser or nonprofit on their profile, complete with a brief explanation of its significance. Additionally, unique links will monitor collective impact, reminding users of the number of contributions made through their profile links.
Cadogan remarked that while LinkedIn focuses on professional identities, he envisions GoFundMe profiles as the place where individuals can showcase their altruistic nature. “Our aim is for this platform to be a digital representation of one’s commitment to doing good,” he stated.
Organizations focused on youth outreach must follow young people to the spaces where they connect, according to Shannon Farley, Executive Director of Fast Forward. Her organization aids nonprofits in expanding their impact through technology and previously managed a network for millennial philanthropists. Farley noted that digital platforms present a significant opportunity for contemporary nonprofits, though traditional organizations might find it tougher to enter these realms. “Social media is the domain where young donors thrive,” Farley expressed. “By not engaging in these spaces, you risk overlooking a whole segment of potential supporters for your cause.”