Business

'IT illiterate' charities miss out on online donations

People still prefer to put money in a tin or send a cheque
People still prefer to put money in a tin or send a cheque People still prefer to put money in a tin or send a cheque

CHARITIES in the north are missing out on tens of thousands of pounds in donations each year - often because they're IT illiterate.

Putting money in tins and envelopes and writing out a cheque is still the preferred way of giving, according to research commissioned by Barclays.

It found that one in five charities in the UK do not have the facility to accept online donations, despite the majority (61 per cent) being of the view that online donations will continue to increase over the next three years.

And as well as potentially missing out on online business, 38 per cent of charities are unable to accept donations via text, the report found.

Adrian Doran, Barclays’ head of corporate banking in Northern Ireland, said the rise of online across all business areas, including the charity sector, was "very hard to ignore".

He added: "Over the past few years, online charitable campaigns like the ‘ice bucket challenge’ for ALS, or the no make-up selfie in aid of Cancer Research, have seen resounding benefits from online engagement.

"So it’s surprising to still see that 20 per cent charities appear resistant, particularly as most are in agreement that online fund-raising is the way forward and that their supporters are more likely to donate online."

He added: “Those charities without the ability to process donations via text or online say it is because not everyone uses the internet or has access to a computer.

"But while this may be the case for some now, more and more people are growing accustomed to online and this will only increase.

"Our research shows that around one in 10 mobile device users are making mobile payments, highlighting how such new technology is already being adopted.

"Enabling donations via text and online can also draw in younger donors who might not have given to charity before as our research also shows that 64 per cent of 25-34 year olds predict that they will use mobile devices more regularly for m-commerce over the coming years."

He added: “The charity sector believes there will always be a place for traditional fund-raising alongside online.

"But organisations which fail to embrace online and mobile payments risk limiting their fund-raising potential and could restrict future growth”.

Charities which function within arts, culture and religious arenas in particular are behind when it comes to accepting donations via text, with just over half equipped to do so, compared to 71 per cent of charities dedicated to health, rehabilitation and disability.

Receiving donations by cheque still dominates across all areas of focus.