Should We Keep Running Events or Explore Other Fundraising Avenues?

Another question I get asked regularly and my response

One of the most common questions I get from nonprofit leaders is whether their fundraising events are worth the time, effort, and resources they consume. If you’ve been grappling with this question, you’re not alone.

My rule of thumb is simple: compare your event’s return on investment (ROI) to the big four market segments in fundraising:

1. Trusts & Foundations and Government Funding

2. Major Donors

3. Gifts in Wills

4. Corporate Partnerships

Each of these tends to yield a 4-6 times return on investment—meaning for every dollar spent, they generate four to six dollars back. Now, take a hard look at your event program: does it meet or exceed that ROI when factoring in direct costs plus staff time and effort?

Events Aren’t Just About Fundraising Dollars

While fundraising revenue is often the primary goal, events serve other important purposes as well. They can:

• Boost brand awareness and position your organization in the minds of key stakeholders.

• Educate prospective donors about your work, impact, and funding needs.

• Strengthen board and volunteer engagement, offering them a hands-on role in your mission.

• Create new partnerships and networking opportunities with potential corporate sponsors and major donors.

I personally love events—I love attending them, learning about charities, meeting their leadership teams, and getting a real sense of their work. There’s something powerful about being in the room, feeling the energy, and connecting emotionally to a cause in a way that just doesn’t happen through an email or phone call.

Also, for some donor segments, events are a necessity. Many mid-to-major donors won’t give at all unless they are specifically asked in a room where they feel inspired, see social proof of others giving, and have opportunities like attractive auction items to engage with. If these donors are a key part of your fundraising mix, well-executed events can be the critical tool to unlock their giving potential.

The True Cost of Events

Events are often deceptively expensive. Beyond venue hire, catering, and marketing, you also have to account for:

• Staff time spent planning, coordinating, and executing the event

• Opportunity cost—what else could your team have achieved with that same energy?

• Long-term donor value—are events building meaningful, ongoing relationships with supporters, or is it more of a one-off transactional experience?

If Your Events Aren’t Hitting the ROI Benchmark, Ask Yourself:

• Do we have enough board and leadership support to make the event a major donor engagement opportunity?

• Are we leveraging the event to build stronger relationships with potential high-value donors?

• Is there an authentic corporate partnership opportunity that could boost revenue?

• Would we be better off reallocating our resources to one of the big four fundraising avenues instead?

Exploring Other Fundraising Avenues

If your event program isn’t yielding the ROI you need, it might be time to reconsider your strategy. Could you shift your efforts toward securing multi-year grants, deepening relationships with major donors, or launching a gifts in wills campaign? These approaches often offer higher returns with lower administrative burden over time.

Final Thought: Strategic Decision-Making

Events can be incredibly valuable, but only if they fit into a broader fundraising strategy and contribute to long-term financial sustainability. If your event program isn’t delivering at least a 4-6 ROI, take a step back and assess where your team’s energy is best spent.

Have you shifted away from events to focus on another fundraising strategy? OR are you in the midst of event season in the lead up to EOFY? I’d love to hear about your experience—let’s discuss in the comments!