As we move through 2024 it will be essential for nonprofit leaders to keep an eye on new trends to maintain their success in the nonprofit sector. Fund raising, donor retention, board and stakeholder satisfaction, and compliance are all factors that directly impact a nonprofit’s success. 

There are some 2024 nonprofits trends that highly successful nonprofit executives have identified that will play major roles in the sector this year, which were outlined in a recent article in Forbes. 

Here’s our take-aways and perspective on some of the major nonprofit trends of 2024 that nonprofit professionals predict will dominate 2024 and help nonprofits reach further in their mission,

Cloud-based artificial intelligence, enhancing efficiency and innovation.

Artificial Intelligence

Artificial Intelligence has produced lots of changes in 2023 and will most likely reach even greater heights in 2024. The use of AI in nonprofit organizations will help nonprofit professionals to free up more time so that they will be able to do what only humans can do — which is build meaningful relationships. 

Some of the other ways AI can help nonprofits is through data analysis, automation, and donation management. As more nonprofit professionals learn to better utilize AI, it will become an integral tool in these organizations and leverage this 2024 nonprofit trend. 

Digital marketing: A laptop displaying various online marketing strategies.

Digital Marketing 

We live in a digital age where our world is predominantly online. Research states that consumers spend 6.5 hours a day online, meaning that the way nonprofit professionals are going to reach these consumers is through digital marketing. 

Another effective tool in the digital space will be digital fundraisers and initiatives. In person events have proven effective in the past, but the reach of those events is limited to a physical location. The nonprofit organizations that are able to be creative and utilize the virtual space will prove more effective. 

Influencer Marketing

Nonprofit organizations are guaranteed to see greater use of influencer marketing in 2o24 and it is a 2024 nonprofit trend. Influencer marketing is valuable because of the reach, trustworthiness, and storytelling it provides consumers. Influencers can give awareness to nonprofits and enhance credibility. Influencer marketing can also help with fundraising and engagement that non-profit organizations need to be successful. 

Storytelling

The way to change consumers’ hearts and minds, and inspire action is through storytelling. Ways that nonprofit organizations can utilize storytelling is through short form videos, podcasts, and blogs. 

Testimonials and real life examples of the work the nonprofit is doing are also a way to use storytelling to appeal to consumers. Once an ancient way to create community and induce action is being utilized in more modern ways in 2024.  

Nonprofit Collaboration

Collaboration between nonprofits in 2024 will be of utmost importance. There are so many issues such as climate change, the effects of COVID-19, and global gender equality. Working together will allow nonprofit organizations to reach a broader network than their individual efforts alone. This year, the focus will shift from competition to synergy as a 2024 nonprofit trend. 

Consultants 

The use of consultants in nonprofit organizations is a trend that will dominate 2024. Consultants can help to analyze nonprofits organizations, identify problems, and create solutions to increase the organizations success. 

Trust-Based Giving

Nonprofit professionals predict an increase in trust-based giving in 2024. This will allow nonprofits to be more flexible on how they leverage their funding and empowers nonprofit leaders. 

Individual Giving and Demonstrating a Return on Investment

Some analysts may report otherwise, but individual giving is rising in communities. However, with more and more organizations competing for contributions, it will be insufficient for nonprofit organizations to simply rely on the worthiness of their mission. 

It will be vital for donors to know where their donations are going and to see the impact their contributions are making. This year donors will be deliberate and intentional about how they give, what they give, and who they give to. 

Sustainability and Fiscal Planning 

One of the effects of COVID-19 was the extra funding received for nonprofit organizations. Unfortunately, those funds are no longer being distributed. It is imperative to nonprofit organizations sustainability to ensure their finances are in order.

One way to guarantee financial transparency is to have an independent audit performed. This blog article describes the process by which the financial records, accounts, financial transactions, accounting practices and systems, and internal controls of nonprofit accounting are examined by an auditor. It also outlines the benefits of having an independent audit performed for nonprofit organizations. 

Nonprofit organizations face demanding reporting, accounting, and financial requirements. Trying to meet all of these regulations can be a large burden for nonprofit leaders. Financial transparency for nonprofit organizations is so important, and a CPA can help. 

Increased Desire to Learn 

Nonprofit organizations will need to modify and adapt in 2024 to a changing world. It will no longer be effective to rely on what has always been done in the past and have it be successful. Innovation will be especially important, meaning applying new technology, collaborations, and more to see growth. Nonprofit leaders will need to be open to learning and acknowledge that there is always room to grow. 

Keeping up with the new nonprofit trends of 2024 can help keep your nonprofit organization thriving. If you are interested in learning how a CPA can help your nonprofit organization, contact our team at Lumix today. 

Posted in Nonprofit Accounting and tagged