Closing the Giving Gap within the Charitable Sector
tl;dr
Charitable donation rates are declining, especially among younger Canadians, widening the giving gap. Meanwhile, the secondhand market is booming, driven by Gen Z and Millennials prioritizing sustainability, affordability, and unique shopping experiences.
GiveRise bridges this gap by connecting nonprofits to the growing secondhand economy. Their platform allows users to sell items and donate proceeds, offering a sustainable, innovative approach to fundraising that benefits communities and the planet.
The Decline in Charitable Donation Rates
It’s been a tumultuous road for charities over the past few years. Economic uncertainty and inflationary pressures have left fewer people with the means to donate, further contributing to the growing giving gap - a notable trend where younger Canadians are donating less than previous generations did at the same age range.
On the other end of the economic spectrum, however, we have the secondhand market which continues to flourish and provides an interesting opportunity for charities looking to be future-ready.
The Rise of the Secondhand Economy
With a growing desire to curb the environmental impact of fast fashion, more people are opting to shop for pre-owned goods. According to ThredUp’s 2023 Resale Report, the global secondhand market is projected to grow by 127% by 2027. Leading the charge on this upward trend are Gen Z and Millennials, who gravitate towards thrifting due to affordability, sustainability, and the uniqueness of each shopping experience. This shift to secondhand shopping is significant for the environment, as every used item that is bought saves energy and resources that would have been spent manufacturing new ones. By shopping secondhand, we are contributing to a more circular economy, thereby reducing the demand for new goods and lessening pollution within our oceans and landfills.
Bridging the Gap
Imagine a world where a fraction of the secondhand market, which is projected to reach $350 billion by 2027 according to Vogue Business, is filtered back into local organizations that move the needle on a variety of issues. Picture the impact this would have on pertinent issues such as the climate crisis, poverty alleviation, animal welfare, disaster relief, the mental health crisis, and so much more. GiveRise, a Toronto-based startup, is working hard to make this dream become reality - connecting charities with the next generation of donors in a new and innovative way. Their online thrift store and peer-to-peer marketplace allows users to sell items online and to donate a minimum of 5% to a nonprofit organization listed on the platform. This not only earns them a higher return than on most other marketplaces, but provides them with the opportunity to turn their creative side hustle into an impactful one.
The Future of Fundraising
The growing popularity of the secondhand economy offers a gleaming opportunity for charities seeking to position themselves for long-term success. A crucial piece of the puzzle in ensuring longevity within the charitable sector is adaptability; the willingness to change existing practices to keep in time with the new patterns and trends of giving. GiveRise is a platform that does exactly that, providing a new format for fundraising that is accessible, impactful and beneficial on multiple fronts—not only for the nonprofits but for the vendors and shoppers alike. This new approach to fundraising has the potential to help build a more resilient charitable sector, one that aligns with the values of younger generations and will continue to flourish for years to come.
For more information visit GiveRise at: www.giverise.ca. For nonprofit partnership inquiries, please contact partners@giverise.ca
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