More than 70% of charities in Canada are expecting to raise less money in 2020 than they did in 2019, and two-thirds believe the same will happen in 2021, according to the Association of Fundraising Professionals’ (AFP) Coronavirus Response Survey.

More than 160 fundraisers participated in the survey, which was distributed to all AFP members in May.

The impact of COVID-19 grew over the first half of the year, with 45% seeing decreases in giving in the first quarter of the year compared to the first quarter of 2019.  Just over a quarter (27%) raised about the same amount of funds, while a similar figure (27%) saw increasing in giving in the first quarter.

However, by the second quarter, the impact was far more noticeable, with 72% of respondents expecting to see reduced giving compared to the second quarter of 2019. Just 17% expect to raise the same amount and only 11% predict increased giving.

Similar numbers are expected by respondents for the rest of 2020. Seventy percent of respondents expect to raise fewer funds in 2020 compared to 2019, while only 11% predict they will raise more funds, and 19% believe fundraising totals will remain about the same.

Most fundraisers expect to see a continued negative impact into 2021, with over two-thirds (68%) believing that giving next year will continue to be lower than in a typical year. Just 19% believe giving will be about the same as for a typical year, while 13% think giving will be higher in 2021.

Over one-third of charities (38%) report increasing their fundraising activity now because of COVID-19, while 39% will keep their fundraising at normal levels throughout the year. Just 22% of organizations plan to decrease their fundraising.

The most popular areas where charities are expanding their fundraising include donor stewardship—connecting donors to the cause and inspiring them to get more involved (88%)—social media (83%), creating virtual events (81%) and online fundraising (79%).

Government grants have also been a key source of revenue for some charities, with the Canada Emergency Wage Subsidy being by far the most popular program. Forty-four percent of respondents applied to the subsidy program, and 23 percent received funding. Other programs were less popular. For the Canada Emergency Business Account/Loan, the Emergency Community Support Fund, and Canada Emergency Response Benefit Fund, roughly 15% of respondents applied to each of those programs, with only approximately 6% receiving any funding.

The cancellation of in-person fundraising events has been a huge challenge for most charities, with 92% of respondents indicating they would reduce the number of such events during 2020.  More than two in ten organizations (23%) have already postponed five or more special events, and 14% have canceled five or more events.

More than nine in ten respondents (93%) indicated they are working from home now, with 41 percent saying their organization was “well prepared” for this shift and 36 percent believing they were “somewhat prepared.”

The impact of COVID-19 has extended well beyond fundraising and has affected staffing levels and activity. Over 30 percent of organizations (31%) have been forced to lay off staff, and 1% of respondents have been personally laid off. In addition, 16% of organizations have cut staff pay.