Organisations may never prosper from online fundraising

The internet may never become a profitable source of online fundraising for many groups in the voluntary sector, a new survey suggests.

A Henley Management College study of the leading 500 fundraising charities found that each web site on average raised ?xA3;1,250 a year and had an average development cost of ?xA3;4,000.

A few charities, such as the NSPCC, the British Red Cross and Barnardo's, have managed to buck the trend and make money online.

But professor Adrian Sargeant, the college's director of the centre for voluntary-sector management, said: "It may well be that for many charities the internet won't be a useful medium for raising funds, but it will have other purposes such as passing on information to their volunteers and selling services."

The research suggests sites with interesting content were more likely to raise money because they give the user a reason to return.

Leader, p17.

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