CanadaHelps annual report card shows donations are up by eight per cent, but need is increasing too

(Photo: Josh Appel)

Small charities continue to see increased demand for services as more Canadians turn to charitable providers for basic necessities like food and housing, according to CanadaHelps’ recently released year-end report card, which also highlighted increased monthly giving through the platform.

As of November 29, CanadaHelps online channels had facilitated $308 million in donations — eight per cent more than in 2021. 

“We are heartened by the generous response from Canadians so far this year, however, with rising inflation and the resulting affordability crisis, charities are facing increased demand for services as well as rising costs of delivering those services,” said Jane Ricciardelli, chief operating officer and acting CEO of CanadaHelps. “With 22 per cent of Canadians expecting to turn to charities in the coming months to meet their basic needs, we are calling on Canadians to give generously and support small, local charities.”

Nearly $19 million was raised in support of relief efforts in Ukraine in the first 40 days of the war, but that number has since declined — in the six months that followed, only $6.7 million was donated to Ukrainian causes through the platform.

The report also found securities donations, such as stocks, bonds and mutual funds, have declined amid a slumping stock market. In 2021, there was a 91 per cent increase in security donations through CanadaHelps. In 2022, those donations fell by seven per cent.

The report attributed the drop to the “overall economy and financial markets, including high inflation and rising interest rates,” but noted securities continue to provide additional tax benefits, making them the most “cost effective way to give.”

But despite the possibility of a looming recession, Giving Tuesday donations on the CanadaHelps platform — which services more than 26,000 charities — broke last year’s record, bringing in more than $13 million, up from $11.4 million in 2021.

“We’ve seen giving Tuesday grow year-after-year at CanadaHelps, which has been really incredible,” said Nicole Danesi, the organization’s senior manager of public relations. “Canadians are still quite generous in terms of donating, so that really showed. But we did really try and add some extra incentives in order to drive those dollars ahead of giving Tuesday and really sort of spread that awareness in advance.”

More Canadians have also shifted to giving monthly contributions, something CanadaHelps has worked to promote with its “Make it Monthly” campaign. Monthly gifts now represent approximately 21.6 per cent of total donations made through the platform, an increase of nine per cent.

“This was really good news for the sector,” Danesi said. “And it also really helps donors plan and budget, especially during these, you know, uncertain economic times.”

Monthly donations also provide charities with more stability and security, allowing them to plan ahead, she added.

Fundraising events organized through the platform, many of which were in-person, although some remained virtual, also saw an uptick of 16 per cent.  

“I think it kind of goes without saying that people have missed connection over the last two-and a-half years,” said Danesi. “There’s a sense of community that individuals feel when they are actually actively participating in a fundraising gala or a fundraising event, so I think we’re sort of seeing that a little bit more, which is really nice.”

Dollars donated through charitable gift cards also increased by 38 per cent over the last 12 months. An Ipsos poll commissioned by the organization earlier this year found that 47 per cent of Canadians preferred charitable gift cards as gifts over material goods.

Danesi tempered the report’s findings by emphasizing they don’t account for the charity sector as a whole, but rather funds donated through CanadaHelps’ platforms. “We are the largest online fundraising donation platform in Canada, but we certainly don’t facilitate every single dollar donated to the sector across the country,” she said.  

A poll commissioned by the organization earlier this year found 22 per cent of Canadians plan to access charitable services over the next six months — up from 14 per cent last January — just to meet basic needs. Another survey found that 41 per cent of small charities have experienced an increased demand for services.

“I think it’s really important that, while it’s great to see that number, that eight per cent increase in donations, that we also keep this in perspective in terms of the demand as well,” Danesi said.

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