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"Right now we are seeing a huge gold rush for social networks and not a lot of gold, unfortunately. And it is actually a bit of a distraction when groups have not maximized the tools that can return the highest return when your goal is fundraising," he said.
For example, in 2007, Save Darfur raised $415,000 in 10 days via a three-part e-mail series sent to about 1 million supporters. Yet, in more than a year on Facebook Causes, Save Darfur has raised just $28,000 from its nearly 1 million friends (equal to three cents per friend). According to Perkins, nonprofits raised $3 million on Facebook Causes in 2008, but the cost of Facebook fundraising efforts to the sector in terms of resources in 2008 is estimated to be around $300 million.
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