Buy Now, Pay Later: What Nonprofits Need to Know
Updated: May 25, 2022
It appears that buy now, pay later has come of age in the U.S.
In many ways, this should be a shock to no one. After all, buy now, pay later (BNPL) checks off the essential boxes that consumers are interested in: quick, easy, convenient, and more.
There is amazing optimism for BNPL’s potential within the world of philanthropy, creating new opportunities for donors to support worthy causes. There is one distinct caveat to this technology when applied to nonprofit fundraising, instead of BNPL, we’re talking about GNPL, give now, pay later.
Considering the fact that online giving has increased 12.1% during the COVID pandemic, it’s not difficult to see why this marriage could help nonprofit fundraisers continue to achieve new heights.
A recent industry survey revealed that the majority of donors would be willing to give more and give more often to organizations if they were able to make their gift in installments.
If you’re new to the idea of buy now, pay later, here’s a quick breakdown of how such platforms will benefit your nonprofit and change the future of your fundraising initiatives:
Increased Giving, and More Often:
Right off the bat, BNPL platforms connect right where fundraisers need them to most: the size and frequency of philanthropic gifts. Through the automated payment process, donors gain the ability to provide financial gifts in incremental payments, easing the upfront financial burden - the cash in their wallets.
As it turns out, it is also likely to change in the trajectory of a donor’s gift giving. A recent industry survey revealed that the majority of donors would be willing to give more and give more often to organizations if they were able to make their gift in installments.
BNPL Represents A Transformative Shift for Donor Preferences: For the younger generations of donors, BNPL offers the type of flexibility and convenience they have come to expect in other walks of life. Generation Z and Millennials seek ease of use no matter the type of transaction. They care deeply about social issues and showcase an impressive willingness to support organizations that support the causes they value most.
It’s A Win-Win for Charitable Organizations and Donors, Alike: By leveraging GNPL, organizations can receive the total donation upfront allowing them to put the charitable gifts to good use immediately. For the donors, they gain the benefit of supporting the organizations that matter most to them, all without the financial stress.
Learn more about Givzey, the first Give Now, Pay Later solution that gives your donors a smarter way to make their gifts.