The rise of new technology has offered new methods for organizations to gain support. Social media has given organizations a way to gain more support from people that would not normally support them. It gives organizations a quicker, cheaper way to get themselves known in the community. Recently crowdsourcing like Kickstarter has become a way for organizations to fundraise money. This research paper will explore the positives and negatives of crowdsourcing as a way for organizations to raise money.
The primary article that this paper will focus on is called “Fundraising: Oui or Non?” by Michael Kasier. In this article Kasier discusses how French museums have to find new ways to fundraise money since financial support from the government has significantly decreased. These art organizations have started to turn towards crowdsourcing as the way to raise funds. Kaiser says, “My hope is that they will go beyond crowdsourcing techniques, which, while relatively simple to implement, still only produce rather modest amounts of money” (Kaiser, 2013). He then continues on to say, “If government funding in France continues to fall at current rates, it will take far larger sums of money to make up the difference. A meaningful major gifts program will be required in the relatively near future. This will require a far more personal approach to fundraising than crowdsourcing can offer” (Kaiser, 2013). One negative of crowdsourcing is how it is impersonal. The organizations in most cases do not know who is donating and therefore, cannot develop a relationship with them.
From this article I found a few more articles that give information on crowdsourcing. The next article is How Crowdsourcing Can Help Your Nonprofit by Soha Borno brings up a lot of good points about crowdsourcing. She says, “But there are some cautions to keep in mind, the most important of which is to keep crowdsourcing simple and meaningful” (Borno, 2012). She then continues on to state tips for success with crowdsourcing, “Plan ahead. Start by choosing the right model for your goals. Figure out what you’re trying to achieve and find the best way to do it. Make sure you choose the right crowd, too--setting up a crowdsourcing campaign is the easy part, but getting the word out to the right people is not” (Borno, 2012). This is a good tip because crowdsourcing is not going to be correct for every organization or to support every event they put on. In my opinion, crowdsourcing is good for single specific events or campaigns, not to raise money for the organization as a whole. I think fundraising events and obtaining major gifts work better than crowdsourcing in gaining money overall for the organization. However, crowdsourcing works well for raise funds for certain programs at an organization like a youth education program.
Another tip of Borno is, “Crowd-funding is an easy way to ask for donations, but it creates the illusion that hordes of people with large amounts of money are sitting at...