State of Good for Nov 4, 2025
Weekly insights on donor behavior, industry trends, and what’s shaping generosity
⏱️ 4 minutes | Once a week | Every Tuesday morning
Donors & Industry Indicators
Donor Consolidation: Fewer Donors, Bigger Gifts
- The Fundraising Effectiveness Project’s Q1 2025 data shows total dollars raised increased 3.6% year-over-year, but donor numbers declined, with retention rates dropping from 18.3% to 18.1% (Source: Association of Fundraising Professionals).
- More concerning: small donors ($1-$100) dropped 10.5% year-over-year in Q2 2025, representing 51.9% of all donors (Source: Association of Fundraising Professionals PR.com).
What this means:
- Donors with capacity are giving more, but the broad base of grassroots support is eroding.
- Nonprofits are becoming increasingly dependent on fewer, larger donors – a vulnerable position heading into uncertain economic times.
💡 Pure Charity helps you retain donors with automated thank-you workflows and donor engagement tools.
Stock Market Grains = Major Gift Opportunity Window
- 2024 charitable giving reached $592.5 billion (up 6.3% in current dollars, 3.3% after inflation), driven significantly by stock market gains (Source: PR Newswire, Giving USA).
- The S&P 500 rose nearly 20% in 2024, and individual giving grew 8.2% (5.1% after inflation) (Source: PR Newswire), demonstrating the wealth effect in action.
What this means:
- High-net-worth donors feel confident when their portfolios are up. Right now, we’re in a giving window. Donors with appreciated securities are prime candidates for major gifts – this is the moment to have those conversations before market volatility returns.
💡 Pure Charity can facilitate gifts by stock.
Giving Tuesday Donors are a Retention Opportunity
- Recent Blackbaud Institute research shows that 65% of GivingTuesday donors gave again the following year, compared to just 52% of donors who gave at other times (Source: PR Newswire, Blackbaud). This pattern has held stable for five years.
- Additionally, the mean GivingTuesday gift reached $506 in 2024, with a median of $75 (Source: PR Newswire).
What this means:
- With GivingTuesday approaching (December 2, 2025), donors acquired through this channel demonstrate significantly higher loyalty than your average donor.
- This isn’t just about December 2nd – it’s about building your donor file with high-retention supporters.
- The opportunity cost of skipping GivingTuesday is enormous.
💡 Pure Charity can help you launch GivingTuesday campaigns with custom donation pages.
Bottom Line:
- Donors with wealth are trending more generous right now, but your small-dollar base is shrinking.
- Focus on major gift cultivation while markets are strong, and use GivingTuesday strategically to rebuild your grassroots donor file with high-retention supporters.
What Changed from Last Week?
MacKenzie Scott’s $380M HBCU Blitz
MacKenzie Scott donated over $380 million to HBCUs in three weeks—$80M to Howard, $63M to Morgan State, $38M each to Spelman and Clark Atlanta . She also gave $60M to disaster relief after FEMA cuts.
Why It Matters:
Ultra-wealthy donors are filling federal funding gaps with unrestricted gifts. Your move: identify mission-aligned major donors now—they’re actively seeking organizations to buffer against policy volatility. This is a buying opportunity for the right nonprofits.
Foundations Raising Payouts, Nonprofits Still Squeezed
87% of foundations report increased funding requests; 30% raised payouts, 64% gave emergency grants. But nonprofits say it’s not enough. One foundation leader: “We’ve increased payout and still can’t make up for federal losses.”
Why It Matters:
Every grantee is asking your foundation contacts for more money. Win by demonstrating financial resilience, not desperation. Position yourself as the stable investment, not the sinking ship.
Federal Funding Crisis Goes Sector-Wide
One-third of U.S. nonprofits lost government funding in early 2025, hitting health, education, social services simultaneously. It’s no longer isolated.
Why It Matters:
Donor fatigue is coming. Stand out by flipping the script: “Federal cuts mean your $10K now has 3x the impact” beats “We’re in crisis.” Frame around opportunity, not survival.
Bottom Line:
- Federal funding evaporates → Foundations try to help but can’t fill the gap → Ultra-wealthy donors step in with strategic, unrestricted capital.
- Individual major donors are now the most flexible, responsive funding source in a crisis.
Good In Action
Maine Foundation Mobilizes $250K + Donor Network in 72 Hours
When 170,000 Mainers faced immediate food shortages as SNAP funds lapsed November 1st, Maine Community Foundation cut a $250,000 check to Good Shepherd Food Bank and immediately mobilized its entire donor network to address the emergency.
Why This Matters:
Speed wins in crisis. MCF didn’t wait for a board meeting, a strategic plan, or perfect information. They moved instantly because they had pre-positioned resources (their Invest in Maine Fund for “critical and emerging needs”) ready to deploy. Within 72 hours, they had donors activating across the state.
The Lesson:
Every nonprofit should have a “rapid response fund”—even a small one. When a crisis hits, donors want to act NOW, not in 6 weeks after your approval process. MCF’s ability to say “we’ve already donated $250K and here’s how you can join us” creates momentum that “we’re exploring how to help” never will. Unrestricted reserves aren’t lazy money—they’re your crisis superpower.