A significant amount of time, resources, and effort goes into powering social change.

Many of the problems we strive to address today require well-researched and detailed strategies from a variety of actors in the nonprofit sector. To make sense of this process, funders have turned to the model of strategic philanthropy.

With principles that are simple and straightforward to follow, this model guides charitable organizations toward crafting a strategy for contributing the right funds to the right places in order to further their particular missions.

What is strategic philanthropy?

Strategic philanthropy is a philanthropic model that involves allocating funding to charitable work according to a concrete, overarching strategy in pursuit of a definable mission. For individual donors, charitable foundations, corporations, and governments, this model can serve as an effective basis for determining where to direct their financial support.

Some basic elements of strategic philanthropy include:

• Goals. Strategic philanthropy emphasizes the importance of defining clear, achievable goals that can be referenced when determining budgets for grants or other funds.
• Data-Driven Plans. Research plays a crucial role in this strategy-building process. Philanthropic organizations should have well-established data collection procedures in place to record and measure the outcomes of grants and programs.
• Accountability and Roles. With guidance from in-depth research and data, funders should be able to develop a clear hypothesis for approaching the problem associated with their mission. Roles and financial resources can then be assigned accordingly.
• Impact Evaluations. Outcomes are another significant aspect of the strategic philanthropy model. The strategy cultivated by this model is intended to predict and lead to reaching the organization’s established goals. Collecting and communicating data on the impact of these strategized efforts is essential for informing subsequent funding decisions.

In order to foster a healthy funder-funded relationship, remember to prioritize reporting and communication. Whether you’re interfacing with partners and stakeholders during the funding cycle or conducting a social impact assessment for outcome measurement, sharing metrics will allow you to demonstrate the tangible results of financial contributions.

While strategic philanthropy lays out a reliable framework for social-good organizations to determine how best to allocate their funds, applications of this model have led to several notable critiques. Because of this, many funders are adjusting their approach. Strategic philanthropy is evolving, and for the better.

What are other philanthropic models?

In recent years, several other approaches to philanthropy have come to prominence. The limits and perceived inflexibility of strategic philanthropy have become increasingly visible in many contexts, especially for more dynamic challenges that require changes across an entire system. So what are philanthropic organizations turning to instead?

The spotlight has fallen onto collaboration and communication, ensuring that foundations, nonprofits, and their constituents are well-aligned in their missions, financial strategies, and goals. This includes keeping all stakeholders updated on collected data or potential issues. One particular model that has begun to rise in popularity is emergent philanthropy.

What is emergent philanthropy?

Emergent philanthropy is an approach that emphasizes collaborating with multiple organizations and partners to co-create a strategy that will be refined as it’s applied in order to maximize on-the-ground impact. In response to strategic philanthropy’s fixed predictive model, this model is all about flexibility.

Complex problems in the world of social change require strategies that have the ability to adapt to the many moving parts of a given plan or initiative. Emergent philanthropy acknowledges that generating social progress can be messy and, therefore, leans into the need to regularly modify and communicate changes to strategy based on current needs and past results.

Participatory grantmaking is an inclusive process that has sprouted from the ideas of emergent philanthropy. This practice addresses the problematic disconnect that can often develop between philanthropic organizations and nonprofits while pursuing their predefined objectives. By prioritizing real-time communication of funding impact and potential strategy issues, you’ll be able to stay on the same page with your stakeholders and partners to drive the most effective impact.

What are the critiques of strategic philanthropy?

The model of strategic philanthropy has many merits, especially when it comes to tackling simple and even complicated problems in society. However, when organizations attempt to deal with complex problems, with interventions aimed at systemic change, this logic model becomes limiting.

The basis of strategic philanthropy rests upon a single overarching plan, backed by research, that determines how the stakeholders of a charitable mission make decisions and carry out activities to reach their objectives. Adhering strictly to a predetermined plan becomes increasingly difficult as a multitude of unpredictable factors begins to impact stakeholders at all levels.

Whether you’re working with grantmaking organizations such as a corporation’s philanthropic branch or just interacting with others within your nonprofit, the emergent model’s principles of collaboration and communication attempt to address the challenges that emerge from the complexity of social change.

How is strategic philanthropy evolving?

With the help of updated approaches such as participatory grantmaking, real-time communication, and updated technology, the traditional strategic philanthropy model is evolving into a more adaptive, modernized form.

Many philanthropic organizations and nonprofits have come to realize the need for more flexible approaches to their goals. SureImpact walks through the new philanthropic model of the Siemer Institute, a foundation that effectively adapted its approach to philanthropy through improved communication, data reporting, and software training.

As these innovative practices continue to rise to the forefront of philanthropy, organizations and nonprofits alike will be much better equipped to maximize their social impact.

Other Resources to Explore

Nonprofit Basics – Learn more nonprofit management essentials by exploring other expert resources.

Nonprofit Basics: Nonprofit Accounting – Collecting and sharing data is crucial for your nonprofit’s financial strategy and relationships with donors. Read more about fund accounting essentials in this guide.

Nonprofit Basics: The Donor Pyramid – Discover how to optimize your donor communications and engagement by creating a donor pyramid for your nonprofit.

Increasingly, corporate philanthropy is viewed as necessary for businesses that are looking to grow their client base and attract top employees.

Today’s consumers seek out brands that prioritize leaving a positive impact on society. According to the 2022 Edelman Trust Barometer, 58% of consumers would buy or advocate for brands based on their beliefs and values.

Plus, prospective employees seek out companies that offer corporate giving and volunteering opportunities. In fact, 71% of employees surveyed by America’s Charities say it is “imperative” or “very important” to work where the culture is supportive of giving and volunteering.

Cause marketing is a great way for companies to engage in corporate philanthropy by promoting and supporting charitable organizations and causes.

What is cause marketing?

Cause marketing or cause-related marketing is marketing that is carried out by a for-profit business to advance a charitable cause or better society.

Cause marketing campaigns are conducted similarly to how a nonprofit organization would market its mission.

Cause marketing FAQs

You’ve probably heard of corporate philanthropy before, but may not be as familiar with the idea of cause marketing. Let’s review a few common cause marketing questions:

Why do businesses participate in cause marketing?

It may seem counterintuitive for businesses to invest their resources in marketing for a charitable cause. However, cause marketing offers benefits like:

• Improved reputation and increased sales for participating businesses. An Ivalua study gathered input from decision-makers and leaders in industries like finance, technology, and manufacturing. 69% of survey respondents reported that their organizations saw increased sales when they provided corporate social responsibility initiatives.
• Greater awareness of nonprofits and nonprofit causes. Cause marketing brings greater awareness to nonprofit causes, strengthening the local organizations in your community. As a result, this can make your community a more welcoming environment, which an reflect positively on your business.
• Better employee engagement. Aside from being an important factor in recruiting prospective employees, cause marketing also encourages current employees to give back to society and donate to nonprofits they care about. As a result, employees can feel more engaged and fulfilled at work, contributing to higher job satisfaction rates.

Cause marketing and corporate accountability go hand in hand. These campaigns are something extra that corporations can do to bring positive social value and take part in philanthropic causes. And a well-thought-out, engaging cause marketing campaign can be a powerful way to set your business apart from its competitors.

What are some effective examples of cause marketing?

Cause marketing campaigns can take many different forms. Some are focused on marketing a charitable cause while others involve offering corporate giving and volunteering opportunities for employees. Here are a few examples of effective cause marketing campaigns and initiatives:

• Red Nose Day. This annual event is a collaboration between Walgreens, NBC, and the Bill and Melinda Gates Foundation to end the cycle of child poverty. The proceeds from red nose purchases at Walgreens are used to support the cause, and NBC hosts a special TV program and urges viewers to donate.
• Patagonia’s Worn Wear program. This program is intended to encourage reusing and reducing clothing consumption by motivating customers to trade in their used and worn clothing to receive purchasing credits.
• American Eagle’s #AerieReal Foundation. Aerie is American Eagle’s line of intimate wear. The company has taken the opportunity to highlight body positivity, inclusivity in fashion, and authenticity in modeling with its #AerieReal Foundation. The #AerieReal blog covers topics like self-esteem, sustainability in fashion, and social justice.
• Microsoft’s corporate philanthropy program. Offering corporate philanthropy programs like matching gifts or volunteer grant programs can be effective ways to promote cause marketing at a business. Microsoft does just that with its corporate social responsibility program. The program is intended to support economic growth, close the digital divide, and protect human rights.

Looking for more examples? Check out TopNonprofits’ roundup of cause marketing examples for other effective cause marketing ideas.

How to start a cause marketing campaign

Cause marketing campaigns emulate nonprofit marketing campaigns in many ways. Both types of campaigns are meant to further a social cause or bring attention to a charitable mission. Here are the steps to starting a cause marketing campaign:

1. Choose a charitable cause to support. Make sure to pick a cause that aligns with your business’s values and purpose. For example, if your business is a doggy daycare, you might choose to support a local animal shelter.
2. Develop your message. Keep in mind what the goal of your campaign is and why it’s important. You can also come up with a unique slogan or hashtag for your campaign to help promote it on social media.
3. Create branded marketing materials. Your marketing materials should be polished and eye-catching. They should also be branded consistently, from fonts to colors to logos.
4. Track campaign engagement metrics. This includes metrics like social media engagement, email open rates, and click-through rates. Keeping an eye on these data points will help you understand if your campaign resonates with your audience.

Since cause marketing campaigns and nonprofit marketing campaigns are similar, feel free to browse Getting Attention’s ideas for nonprofit marketing to get inspired for your campaign.

Other Resources to Explore

Nonprofit Basics – Learn more about nonprofit management essentials by exploring other expert resources.

A 2021 Guide to Nonprofit Marketing  – Follow these steps to improve your nonprofit’s marketing strategy to meet your goals and deepen relationships with donors.

Corporate Social Responsibility: The Definitive Guide  – Still not completely sold on corporate giving? This article dives even deeper into CSR and the benefits it can bring to your business.

Companies are becoming more aware of their duty to create a positive impact within their communities. By engaging in corporate giving, they support the charitable organizations that matter to their employees and customers. In turn, they can fulfill their obligations to do more good and create a better society.

This quick guide to corporate giving will outline the basics of these programs. Whether you work at a company that wants to start a matching gift program or a nonprofit that wants to raise more through corporate giving initiatives, you’ll learn everything you need to know to get started.

What Is Corporate Giving?

Corporate giving refers to the actions a company takes and the investments it makes to support nonprofits. Also known as “corporate philanthropy,” corporate giving includes all of the ways in which companies create positive social impact through generous financial donations, employee time, or their products and services. Common types of corporate giving programs include matching gifts, volunteerism, and in-kind donations.

Why Does Corporate Giving Exist?

Corporate giving provides nonprofits with the monetary and moral support they need to thrive. Whether they need financial support, in-kind services, or extra volunteers, companies can swoop in to fill the gaps.

Nonprofits aren’t the only ones who can benefit, though. Companies can position their organizations as desirable places to work by creating a culture where employees feel supported. Employees and customers alike are always on the lookout for philanthropic companies. Nonprofits Source’s online giving statistics page shows that:

• 71% of employees indicate that it’s very important to work at a company that partakes in philanthropy.
• 87% of human resource executives believe their employees expect their companies to support causes and issues that matter to those employees.
• 88% of millennials find their job more fulfilling when they have opportunities to make a positive impact on society and the environment.
• Approximately two-thirds of young employees won’t take a job at a company with poor corporate social responsibility (CSR) practices.

In other words, corporate giving contributes significantly to employees, companies, and the nonprofits they support.

Types of Corporate Giving Programs

The best part of corporate philanthropy is that it’s such an expansive space. There’s really no limit to how companies can support the causes in their communities.

Our guide to corporate giving dives into the different types of CSR programs, and we’ll give you a rundown of the most important ones you need to know.

Matching Gifts

As the most popular type of corporate giving, matching gifts have the power to multiply donations at no extra cost to donors. A business that offers this type of corporate giving will match the donations their employees make to charity, most often at a dollar-for-dollar rate.

So, if someone donates $100 to a nonprofit, their company might match that donation and send an additional $100, totaling $200.

Here’s how the process works:

1. An individual donates to a nonprofit.
2. The donor researches their eligibility for their employer’s program using a corporate giving database.
3. If eligible, they visit their company’s giving portal or use the form the matching gift database provides them.
4. After receiving the request, the employer confirms the initial donation with the nonprofit.
5. If everything’s in order, the company will send a check to the nonprofit.

Auto-submission technology takes a few steps out of this process. Instead of having to navigate to an external portal and fill out a request form, donors can automatically submit their requests using Double the Donation. After donating, they’ll be prompted to answer a few additional questions to determine their eligibility for auto-submission. If eligible, our platform will submit the request to their employer for them!

While still somewhat new, auto-submission functionality is projected to yield an incredible 80% increase in matching gift revenue, according to our matching gift research. After all, who would pass up the opportunity to level up their gifts when it won’t cost them any more money or effort?

Volunteer Support

Corporate volunteering simplifies volunteer recruitment for nonprofits. It gives nonprofits the hands-on support they need while allowing employees to gain new skills like problem-solving and customer service outside of the workplace. Corporate volunteerism comes in a few different forms, such as:

• Dollars for Doers. Also called “volunteer grants,” Dollars for Doers programs require companies to donate to nonprofits where their employees regularly volunteer. When someone puts in a certain number of hours at a nonprofit, the company will typically donate a set amount. For instance, a company might donate $500 once someone spends 25 volunteer hours at a nonprofit within a year.
• Team volunteer grants. These are similar to Dollars for Doers programs. The difference is that these require multiple employees to volunteer at a nonprofit together. For example, Walmart offers this type of corporate giving program. When a group of five or more employees accumulates 25 hours at a nonprofit, Walmart will donate $500. The company offers different tiers, all the way up to 50 associates accumulating 250 hours for a grant of $5,000.
• Volunteer days. A company might choose a nearby nonprofit and set aside a day for employees to volunteer there together. These are great team-building opportunities!

There are a few other types of corporate giving through volunteering, but these are the most common examples. Some companies even provide volunteer paid time off (VTO), so employees can volunteer at their favorite organizations during the workday without giving up their paychecks.

Fundraising Matches

Similar to matching gifts, fundraising matches require companies to match donations to nonprofits. The difference is that these are the donations that employees raise on behalf of an organization.

So, if someone raises $2,000 for their favorite charity during a peer-to-peer fundraiser, their employer might match that amount and donate an additional $2,000. Like matching gifts, companies may offer fundraising matches at different ratios and have eligibility guidelines.

Automatic Payroll Deductions

Automatic payroll deductions use a similar process as contributing to a retirement account. Employees can opt into this corporate giving program to allocate part of each paycheck to their favorite charity.

Note that gifts are typically deducted post-tax, so donors should be able to write these donations off on their taxes. By marketing this type of corporate giving to donors, nonprofits can build a reliable pipeline of recurring donations.

In-Kind Donations

Corporate giving isn’t always about monetary donations. Companies might donate goods and services, which are also referred to as “in-kind donations.”

Jitasa’s guide to in-kind donations explains that when a nonprofit receives monetary gifts, it proceeds to invest that funding into its operations and programming. For instance, an organization might plan to spend $10,000 on event space and catering for an upcoming charity auction. When a company donates that space and catering in-kind, the nonprofit skips the extra step of paying for it themselves. Then, that frees up the $10,000 to be reallocated to other aspects of the organization’s mission.

In-kind donations can take several other forms, such as accounting services, graphic design services, and auction items. It all depends on what a nonprofit needs to keep its doors open.

Identifying the Best Corporate Giving Opportunities for Your Cause

Finding the right corporate giving opportunities starts with aligning your nonprofit’s mission with companies that share your values and philanthropic goals. Not every business is the right fit—and that’s okay. The key is to focus on organizations whose corporate social responsibility (CSR) initiatives naturally complement your work.

Start by researching companies that already support causes like yours. Many corporations publish CSR reports or highlight their philanthropic focus areas on their websites. Look for signals such as past nonprofit partnerships, employee volunteer programs, and matching gift initiatives. These clues can indicate a willingness to deepen their impact through sponsorships or larger-scale support.

Using tools like Double the Donation’s updated database can dramatically streamline this process. Their search functionality now includes detailed information on companies’ giving priorities, sponsorship guidelines, and contact information—making it easier than ever to pinpoint businesses that are actively looking to support nonprofits in your sector.

Additionally, analyze your donor database. Are there companies that employ a large portion of your supporters? If so, those businesses may be more inclined to invest in a sponsorship or partnership, especially when they see their employees already engaged with your cause.

Start Your Own Corporate Giving Program

Now that you know what corporate giving is and how it can impact your business, you can create your own program. Here are three tips to help you get started:

• Clearly define your goals and objectives. Before launching your workplace giving program, it’s essential to have a clear understanding of what you hope to achieve. Define specific goals, such as the amount of money you want to raise, the causes you want to support, or the level of employee participation you’re aiming for. Having well-defined objectives will help you stay focused and measure your program’s success.
• Engage employees and seek their input. Employee involvement is key to the success of any workplace giving program. Encourage employees to share their ideas and preferences for the causes or charities they care about. When employees feel a sense of ownership and connection to the program, they are more likely to participate.
• Provide recognition. Incentives like awards, personalized thank-you messages, and public acknowledgment can motivate employees to get involved in your workplace giving program.

As your corporate giving program expands, keep employees informed about the impact of their contributions, share success stories, and be open to suggestions for improvement. Regularly evaluate the program’s effectiveness and make adjustments as needed to ensure you continue to meet your goals.

Other Resources to Explore

Nonprofit Basics – Learn more nonprofit management essentials by exploring other expert resources.

Double the Donation’s Matching Gift Academy – Take a deep dive into corporate matching gifts with our new online learning experience.

Best Corporate Giving Software for Companies (& Trends We’re Seeing) – On the lookout for corporate giving tools to streamline your company’s philanthropic giving? Look no further! This guide walks through some of the best options on the market.

Corporate Sponsorships: The Ultimate Nonprofit Guide – Lining up sponsorships is a great way to build a reliable revenue stream for your nonprofit. Check out our complete guide to this type of corporate giving.

Engaged employees are motivated to work, easy to get along with, more likely to stay with the company, and happy to speak well of their employer to friends and family. For nonprofits, engaging your employees and volunteers will make your organization more efficient and a better place to work. 

Additionally, nonprofits can also appeal to for-profit organizations by emphasizing how employee engagement can be improved through corporate philanthropy. To pitch your organization to these businesses, your team will need to have a strong understanding of what employee engagement is and how it impacts both the for- and nonprofit worlds. 

What is employee engagement?

Employee engagement is how mentally and emotionally connected employees feel with their work. Engaged employees feel a personal investment in completing their day-to-day responsibilities and actively seek to help their organization succeed. 

What are examples of employee engagement?

Employee engagement will look different at different organizations, depending on the industry, size, workplace culture, and engagement opportunities. However, a few common types of employee engagement across workplaces include:

• Participation in work-related events
• Open socialization and camaraderie with co-workers
• Interest in additional opportunities outside of daily responsibilities
• Promotion of your organization to friends and family outside of work hours
• Consistent attendance, performance, and positive attitude 

Employees will show their engagement in various ways based on their personality, interests, and role. For example, more introverted employees working on tasks they can complete independently may not be as social as team members on collaborative projects, but they can still show their engagement by meeting a high performance standard and actively seeking out growth opportunities for their role. 

How can I improve employee engagement?

While employee engagement looks different for everyone, you can boost employee engagement throughout your company with the following tips:

Create an employee satisfaction program.

You can measure how engaged your employees currently are, what is impacting their engagement, and take action to increase their engagement with an employee satisfaction program. 

Employee satisfaction programs primarily rely on information collected from your employees. Surveys are an easy way to centralize all of your workplace feedback. Send out surveys to your employees following key moments in their work at your organization. For example, you might survey new employees who just completed onboarding to understand what materials were helpful for their training and what parts of the process were confusing. Or, you may send out a general survey at the beginning of the year asking employees what types of events they participated in or would look forward to joining in the future. 

Negative surveys can often be even more helpful than positive ones if your organization has a closed feedback loop system in place. The closed feedback loop process follows these steps:

• Employee provides feedback. Survey your employees on a semi-frequent basis to ensure you’re receiving a reliable stream of feedback without overwhelming your staff with surveys. Try surveying random samplings of employees at various intervals to ensure no one employee is over-surveyed. 

• Technology alerts manager if immediate follow-up is needed. Employee satisfaction tools can analyze a survey’s content and elevate it to manager if the feedback is negative. For example, your survey might ask employees to rate their overall satisfaction out of 10 and any surveys with a six or below are automatically elevated. 

• Manager takes action. Upon receiving a survey, a manager will evaluate it and get in touch with the employee who submitted it to address their concerns. 

• Causes of problem are identified. After collecting multiple surveys, analyze their contents to find common trends that could be a sign of persistent problems that impact multiple employees. 
• Organization fixes underlying factors that caused the problem. Consult with employees and management to understand why issues are occurring and create a system that addresses these concerns. 

The cycle then repeats the next time an employee provides feedback. By continuing to act when concerns are raised, you can improve immediate employee engagement and identify and resolve root causes of problems. 

Explore corporate philanthropy. 

Today’s employees want to work for organizations that make a difference in the world. Research shows that 71% of employees expect their employers to support charitable giving and volunteering. Plus, 90% of staff members at socially-minded companies say they’re more inspired, motivated, and loyal.

By participating in corporate philanthropy and providing employees with opportunities to give back, you can boost their engagement and create a workplace culture of generosity. Here are some ideas for getting staff members involved in your company’s philanthropic efforts:

• Start a matching gift program in which your company financially matches staff donations to eligible nonprofits.
• Launch internal employee giving campaigns such as team fundraising challenges, in-kind donation drives, and 24-hour giving day initiatives.
• Promote volunteerism through volunteer grant programs, company-wide volunteer outings, or paid volunteer time off.

Keep track of employee participation in philanthropic activities by leveraging a corporate giving solution. Collecting, storing, and analyzing data on your programs in a streamlined manner will help you determine how engaged your employees are in corporate philanthropy and improve your strategy going forward.

Provide growth opportunities.

Employees will feel more motivated to work if they feel they are advancing professionally. After all, it’s easy to stay engaged when the work is engaging, rewarding, and challenging. 

Have managers meet with their direct reports to discuss the future of their careers and gather ideas about how their roles can be expanded. Then, give employees the opportunity to move into higher roles by allowing them to take on new responsibilities, attend professional courses, or sit in on meetings for positions they’re considering moving into. 

Recognize employees.

Positive reinforcement has been proven to boost morale, motivation, and overall job satisfaction, leading to increased productivity and reduced turnover rates. In fact, 37% of employees report that the best way to improve their engagement is for their superiors to give them recognition.

Here are several ways to recognize employees for their hard work and dedication to your business:

• Verbal recognition: One way to recognize employee achievements is through verbal recognition. This can be as simple as saying “thank you” or acknowledging their efforts during team meetings or one-on-one conversations.
• Awards and incentives: Hand out certificates, trophies, or plaques for outstanding performance or milestones. Incentives like bonuses, gift cards, or additional time off can also be used to recognize exceptional work. These rewards not only show appreciation but also provide motivation for employees to continue performing at a high level.
• Personalized eCards: eCards are a convenient and cost-effective way to recognize employees. With easy-to-use solutions like eCardWidget, you can create and send personalized messages in minutes. The software will also provide a digital record of recognition, making it easy to track and reference employee achievements.
• Public celebrations: Organize celebrations, such as employee of the month/year ceremonies, team outings, and social events. When employees are recognized in a public setting, other team members will likely take notice and feel inspired to put in the same effort.

It’s important to tailor recognition efforts to the specific needs and preferences of your workforce, as what works for one employee may not work for another. Regularly evaluate and adjust recognition strategies based on employee feedback to ensure they are effective at engaging and motivating employees.

Other Resources to Explore

Nonprofit Basics – Learn more nonprofit management essentials by exploring other expert resources.

Top Corporate Giving Software to Drive Employee Engagement – Get more information on corporate giving tools and how they can directly improve employee engagement. 

Getting Employees to Care: Employee Engagement and Culture – Explore how employee engagement, workplace culture, and motivation are tied together and can be improved by making strategic changes at your organization.