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Giving trends

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Giving increasingly is focusing on involvement and impact.

Charitable donors and funding organizations want to be more involved in causes they support, and to see the impact they are having.

Responding to the hands-on approach giving is taking, charities are looking for ways to engage donors and funders, and give them measurable feedback on the impact of their support.

A growing number of donors and funding organizations have adopted a model of giving known as “venture philanthropy” that borrows strategies from the business world, particularly the technology sector.

These venture philanthropies, often headed by entrepreneurs who made fortunes in the business world, are putting their business experience to work in their philanthropy, taking active roles in the organizations they support and often providing the groups with consulting assistance and help with strategic planning.

These donors also work to help nonprofits develop metrics to show the impact they are having.

Awareness also is growing in the charitable marketplace that giving has become highly diverse, reflecting sweeping demographic changes in society.

So a growing number of nonprofits and charitable foundations are working to engage diverse groups of donors — including African Americans, Asian Americans, Hispanics and Latinos, Native Americans, women and young people — and are investing to help those groups strengthen their giving.

With all that change, traditional funding organizations also face growing demands from nonprofits, government and the public for greater openness and accessibility, with nonprofits also continuing to press for more operating support.

And pressure also is growing for funding organizations to get more involved in policy work and advocacy, and to take a more active role as shareholders, aligning with their missions the investments they make and the policies of the corporations in which they own stock.

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