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It’s no secret that the future looks uncertain for many charities as we head towards 2023, with many donors fearing they may be unable to continue giving regularly and the cost-of-living crisis impacting the public’s purse strings. doing. . Charities need to balance increasing demand for their services with limited resources to deliver them.
Sadly, the UK charity sector is already feeling the pinch. Only two in five UK charities say they feel optimistic about the next 12 months NoA new report from Salesforce.
In fact, of the seven countries surveyed in the fifth edition of the Nonprofits Trends Report, the UK was the least optimistic, with only 48% feeling optimistic or very optimistic about the future of their own organization. In contrast, in the United States, 63% felt optimistic about the future of their organization, and 56% felt positive about the future of the sector as a whole.
Is digital driving impact?
Interestingly, the report found that the UK also has the lowest percentage of organizations with high digital maturity. While the appetite for digital is relatively strong – 37% of charities in the UK believe digital transformation is a “must have” – only 9% consider themselves digitally mature.
Globally, nearly three-quarters of organizations say digital transformation is a must. Charities that say technology has helped them become more efficient are also twice as likely to rate digital transformation as essential.
However, the report suggests that some charities in the UK are unable to experience these benefits due to certain barriers, the biggest of which are lack of budget or resources and higher priorities elsewhere.
It is perhaps surprising that charities are not prioritizing digital at the moment, given that charities are currently dealing with increased demand for services amid a cost-of-living crisis.
But Salesforce’s research also shows that charities in the UK understand how technology can help, saying they are investing in digital transformation to become more cost-efficient and improve data management and optimisation.
Are UK charity workers happy?
More than half of UK charities say they will prioritize fundraising and staff retention in the next 12 months. This is particularly encouraging as the UK also has the lowest percentage of highly enthusiastic or positive workplace cultures among the countries surveyed. They were also found to have the highest percentage of challenging or toxic cultures, cited by 34% of respondents.
These figures tell us that there is work to be done to enrich the lives of those working in the sector and increase retention rates. Retaining staff was highlighted as the second biggest challenge for charities globally, second only to raising awareness for their cause.
Despite the low levels of optimism in the UK charity sector, there are reasons for hope. Across the seven countries surveyed, 84% of charities either met or exceeded their mission goals, while three-quarters did the same with their fundraising goals. Fundraising, staff retention, and employee well-being were all highlighted as high priority areas for organizations in the coming year.
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