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Why your charity’s strategy has to be smarter when budgets are tight

Let’s face it—charities are no strangers to doing more with less. But these days, "tight budgets" might be putting it politely. With increasing demand for services and dwindling funds, how do you continue delivering impact without stretching yourself—and your team—paper-thin?
Emily Roberts

Emily Roberts

3 minute read
October 10, 2024
Let’s face it—charities are no strangers to doing more with less. But these days, "tight budgets" might be putting it politely. With increasing demand for services and dwindling funds, how do you continue delivering impact without stretching yourself—and your team—paper-thin?
Why your charity’s strategy has to be smarter when budgets are tight Image

The good news is there’s a way forward. And it’s a smart approach that maximises your existing resources, capitalises on your strengths and expands your reach creatively. Here’s how to make it work for you…

1

Analyse and optimise

One of the most underused weapons in your strategic toolkit is data. When budgets are tight, every penny has to count – and data helps you ensure that it does. Keeping a close eye on which campaigns are delivering real value and which are draining on resources can make all the difference. And remember that it’s important to think about every success indicator, not just the ones you can measure. Anecdotal feedback, for example, isn’t measurable but can often tell you a lot more than just your web data.

Implement regular check-ins where you assess your campaigns based on clear metrics. Is that social media campaign driving donations? Are people engaging with your email newsletters? And, crucially, what can you stop doing that isn’t working? Streamlining is a strategy in itself—sometimes doing less allows you to do more.

It was this approach that guided the ‘Small Talk Saves Lives’ suicide prevention campaign we delivered for Samaritans and Network Rail. As our job was to deliver the sixth phase of the campaign, we started taking a deep dive into what had worked well and what hadn’t in the previous iterations. The data revealed that while current campaign was doing a good job raising awareness, it wasn’t giving people the confidence to speak up. So we developed a campaign concept based around overcoming people’s natural inhibitions and giving them the tools and confidence to act if they saw someone who needed help.

Small Talk Saves Lives station posters-1

 

2

Embrace digital (on a shoestring)

In the 2024 Charity Digital Skills report, over four in ten charities said they were “poor at digital fundraising” and a further 25% said they didn’t fundraise digitally. Digital engagement was only a top organisational priority for one in every four of the charities surveyed. In a world that’s undeniably digital-first, these stats indicate a huge opportunity for charities. If you’re not embracing digital, you’re sadly making it impossible for your charity to compete for the support of potential donors.  

When your charity is low on marketing spend, embracing digital fundraising might feel like trying to squeeze water from a stone. But with the right strategy, it’s more than possible to make a big impact with a small budget…

  1. Optimise your website for donations: The first step is making sure your website makes donating as easy as possible. Your audience shouldn’t have to search high and low for a ‘donate’ button. Free tools like PayPal’s donation buttons can streamline the process, and pairing this with storytelling that connects emotionally with your audience makes all the difference.
  2. Utilise Google Ad Grants: Google offers eligible charities up to £8,000 per month in free search ads through their Ad Grants programme. This allows you to reach potential donors when they search for causes like yours, without having to invest any of your own advertising budget.
  3. Leverage social media: Social platforms are the digital fundraising playground. Focus on where your target audience are – whether it’s Facebook, Instagram, LinkedIn or TikTok – and use it to tell your charity’s story. Social media fundraising tools (like Facebook’s donate button) are free to use.
  4. Really tailor your emails: Email marketing is one of the most cost-effective ways to reach supporters, especially when you segment your lists to personalise messages (more on this here). Platforms like Mailchimp offer free email marketing tools for small contact lists, allowing you to send targeted and compelling emails with clear calls to action. And don’t forget to drop them a thank-you note when they’ve made a donation.
3

Activate your volunteers

Your volunteers are already passionate about your cause, so give them a new reason to rally by empowering them with leadership roles.

Consider the success story of FoodCycle. The charity has created volunteer hubs across the UK, relying on passionate individuals to coordinate meals for those in need. By empowering their volunteers, they’ve managed to sustain and grow their services without constant financial strain.

Large-Hero-Image-Banners-Volunteer-Leaflets-Page

Remember, people are even more passionate to support what they help to create. So empower your volunteers and turn them into ambassadors by giving them ownership over certain projects – whether it’s leading fundraising events, managing local outreach efforts or helping with digital campaigns.

4

Diversify your funding streams

When one source of funding hits a dry spell, it’s crucial to have others lined up. The key here isn’t simply diversifying for the sake of it, but finding aligned funding streams that won’t detract from your mission. That means not just relying on grants (which are becoming increasingly competitive), but thinking outside the box.

According to CAF’s UK Giving Report 2023, 44% of people donated to charity last year, with many preferring smaller, more frequent donations. Why not think about launching small, community-focused appeals that build engagement and increase individual giving? Sometimes, rather than waiting for the “big” campaign, it’s the smaller and more personal asks that resonate with donors.

A great example of a UK charity that has successfully diversified its funding streams is Trussell – formerly known as The Trussell Trust. They are well-known for their work running food banks across the UK and have created a robust financial model that pulls in income from multiple sources. From strategic corporate partnerships with the likes of Tesco to promoting legacy giving, the charity has built a resilient and diversified funding model that not only makes them less dependent on any one source of income but also allows them to scale their efforts in tackling food poverty across the UK.

Trussel_Mobile-AD-YLL

 

5

Impact over input

At the end of the day, you don’t need a million-pound budget to create a big impact. By thinking strategically, empowering your volunteers and making smart use of digital, your charity can continue to thrive – even when the purse strings are tight.

And remember, you’re not just surviving the storm – you’re building a more resilient and innovative organisation, ready to tackle whatever the future throws your way. Now’s the time to embrace a smarter approach, ensuring that every resource and campaign is working towards your ultimate goal: changing lives.

Want to know how we can support you with building a smart, value-for-money strategy for your charity? Drop us a message.