5 Software Developments That Should Be on Your Nonprofit’s Radar

You typically see articles showcasing the latest developments or trends at the beginning of each new year. But there are so many changes in the software marketplace — many of which impact nonprofits — that it’s worth getting them on your radar now. Being aware of advancements in technology can make it easier to choose the right technology strategy and software for your nonprofit.

So, let’s look at software trends to consider as you plan your nonprofit’s technology mix for today and the future.

1. Artificial Intelligence for Insights Into Donors

Every day, we hear about artificial intelligence (AI) in the news. So, of course, it would be easy to say that AI is a trend that nonprofits should be aware of. But more important is how nonprofits are using AI.

Some nonprofits have started to use AI to improve their fundraising by gaining deeper insights into donors. For example, AI-driven prospect identification tools can help you determine which individuals in your database are potential major or planned donors. You can also use these tools to do things like identify smaller donors who are likely to renew or upgrade their giving and forecast donor contributions.

As you think about using AI for fundraising, keep in mind that many software solutions are rolling out AI capabilities. Consider looking into what AI tools and functionality your current software offers and think about experimenting with them before investing in a separate AI tool.

Also, remember that there are many use cases of AI for fundraising, and more AI tools seem to pop up every month. It can be helpful to start with one challenge or goal to apply an AI tool toward. Then, learn from what worked and what didn’t to make your next AI project better.

2. An Emphasis on Cybersecurity

The focus on cybersecurity has been ongoing, but it’s an important one. As risks of cyberattacks grow, it’s critical to ensure that your software supports best practices for data security. Protecting your nonprofit’s data helps you comply with data security laws and regulations as well as maintain a high level of donor and constituent trust in your organization.

Many software vendors are putting cybersecurity at the top of their priority list. So, as you evaluate your current mix of software and consider purchasing new software, make sure that your solutions include security tools, such as multi-factor authentication and data encryption. Also, set aside time for ongoing staff training on data security best practices to help ensure you’re doing all you can to protect your systems and your data.

3. Process Automation for Administrative Tasks

Nonprofits are seeing the value of automating repetitive tasks to free up staff time for higher touch activities. At the same time, there are increasingly sophisticated tools on the market for everything from sending an automated email series based on audience demographics and behaviors to automating reports.

Take time to review the automation capabilities of your current software. Many software solutions are enhancing their built-in process workflow capabilities, and you just might have some powerful capabilities that you aren’t using. Also, consider investing in a marketing automation solution when you’re ready to build more sophisticated fundraising and marketing campaigns.

4. Analytics Tools for Data-Driven Decision-Making

Another area of software that is seeing an increase in sophistication is data analytics. While there are tools on the market that specifically focus on data analytics, many software solutions now include fairly sophisticated dashboards and reports that can provide useful insights into donors and constituent demographics and trends, marketing and fundraising trends, key performance indicators and overall organizational health.

Make sure you’re using the dashboards and reports that are available in your current software. If you never really learned how to use your dashboards and reports or if you just need a refresher, take advantage of the training available from your software vendor. Also, see if your software includes data visualization and analytics tools, and be sure to understand how to use them. Once you’re clear about what reporting and analytics tools you already own, consider if you need to supplement your current technology stack with a data analytics tool.

When you have the right tools in place and know how to use them, you can start to identify key metrics that your organization should be tracking for each of your departmental and organizational goals. Then, set up regular meetings with key stakeholders in your organization to review your reports and discuss how to put data insights to work for your nonprofit.

5. Mergers, Acquisitions and Software Evolution

The nonprofit technology marketplace is growing and evolving rapidly — with mergers/acquisitions and new platform options available. For example, in the last few years alone, we’ve seen Bonterra acquire DonorDrive, EveryAction and Network for Good. Bloomerang acquired Kindful and Qgiv, among others. In addition, we’ve seen a slew of new solutions for nonprofits from Microsoft and the rollout of the new Salesforce Nonprofit Cloud.

When you’re considering software options for your nonprofit, it’s good to understand what’s available in today’s nonprofit technology marketplace. In addition to knowing your options, consider working with a nonprofit technology consultant to help you articulate your organization’s goals, identify software options that might be a good fit for your organization and find the right software for your nonprofit’s needs.

As we move toward the end of the year, it’s an ideal time to think strategically about how your nonprofit is using technology. Take time to consider software trends and make sure you’re optimizing the use of technology for your nonprofit by using the right mix of software for your needs, getting the most out of the software you already have, and experimenting with new technologies.

The preceding blog was provided by an individual unaffiliated with NonProfit PRO. The views expressed within do not directly reflect the thoughts or opinions of NonProfit PRO.