Peer to Peer Fundraising     |     27 November 2024

What is Peer-to-Peer Fundraising? Our Comprehensive Guide

Everything you need to know to get started with peer-to-peer fundraising for your next successful campaign

20 minute read

Fundraising can be tough, but peer-to-peer fundraising (P2P) offers a fresh, community-driven approach that feels personal and powerful. In this strategy, your biggest supporters step up to raise money on your behalf, reaching out to their friends, family, and networks.

Unsurprisingly, P2P fundraising has taken off in the nonprofit world. It allows people to make meaningful contributions without feeling like they’re just writing another check. By getting involved in fundraising, your community becomes more connected to your cause, which helps build long-term support.

Let’s explore peer-to-peer fundraising, how it works, and how you can use it to increase donations and engage your community deeper. No matter if you're new to this concept or you’re looking to refresh your strategy, we've got you covered.

What is peer-to-peer fundraising?

Peer-to-peer fundraising (P2P) is a strategy in which supporters actively raise money for your organization by creating personal campaigns. Rather than the nonprofit running a single donation drive, P2P allows individuals to set up their pages, tell their stories, and rally their networks to contribute.

Think of it as a ripple effect—each supporter expands your reach by tapping into their personal connections. This approach makes it more likely that new donors will engage because they hear about your cause from someone they trust. With the rise of social media, it's easier than ever for people to share their fundraising efforts with a larger audience.

How is it different from crowdfunding?

While both peer-to-peer fundraising and crowdfunding rely on individuals for donations, the key difference lies in the setup. Crowdfunding typically involves a single campaign page that everyone shares. With peer-to-peer fundraising, each supporter creates their own personalized page. This step adds a personal touch, allowing fundraisers to explain why your cause matters to them specifically, making their ask more powerful. 

How does peer-to-peer fundraising work?

Breaking down the steps to a successful peer-to-peer fundraising campaign is simpler than you might think. Here’s how it typically works:

1. Recruit fundraisers. The first step is finding people willing to raise money for your cause. These could be longtime supporters, volunteers, or anyone passionate about your cause. The key is making the process as simple as possible and offering clear incentives or goals to motivate participation.
2. Set up personal fundraising pages. Once you have your fundraisers, they’ll need their own campaign pages. Many P2P platforms allow users to personalize these pages with their own stories, photos, and reasons for supporting the cause. This is where the magic happens—donors are more likely to give when they feel a personal connection to the fundraiser.
3. Reach out to personal networks. After their pages are live, fundraisers start sharing them with their network. Through email, social media, or even text messages, they’ll spread the word and encourage people to donate. The beauty of P2P is that fundraisers can tap into networks that you, as a nonprofit, may never have reached on your own.
4. Collect donations. As people donate through these individual pages, your organization typically processes the funds directly. The donations get tracked both on the personal fundraiser’s page and in the overall campaign tally, giving everyone a clear picture of how much has been raised.
5. Track progress and celebrate milestones. To keep the momentum going, it's important to track progress and celebrate key milestones along the way. Whatever your aim (hitting 50% of your goal or reaching a certain number of donors), these milestones are great opportunities to thank your fundraisers and donors. Plus, they can inspire others to get involved.

Types of peer-to-peer fundraising campaigns

There are several ways to run a peer-to-peer fundraising campaign, each offering unique opportunities to engage your community. Let’s break down the three main types of campaigns: rolling, time-based, and giving days.

Rolling campaigns

Rolling campaigns don’t have a set end date, making them perfect for year-round fundraising. Supporters can start raising funds whenever they want, and the donations can contribute to your general fund or specific projects. These campaigns are great for people who might not be available during a specific event but want to contribute.

Time-based campaigns

Time-based campaigns are tied to specific events or deadlines, such as a charity run or a gala. Fundraisers have a set amount of time to reach their goals, which creates a sense of urgency and excitement. Because these campaigns are often linked to events, participants can rally their networks to donate before or during the occasion.

For example, a nonprofit might launch a peer-to-peer campaign leading to its annual walkathon. Participants would ask their friends and family to donate to support their participation, with all the funds contributing to the larger goal.

Giving days

Giving days are high-energy, short-duration campaigns, often lasting just 24 hours. They're designed to create a buzz and drive immediate action. Giving days are usually tied to national or local giving events, such as Giving Tuesday, but nonprofits can also create their own.

The urgency of a giving day can encourage people to act quickly, making it an effective way to raise significant funds quickly. Since giving days are brief, they’re ideal for nonprofits that want to make a big impact without a long-term commitment.

Why peer-to-peer fundraising is effective

Peer-to-peer fundraising has become a popular method for nonprofits because it works. This strategy is so effective in raising funds and engaging supporters.

Social proof and trust

One of the biggest reasons peer-to-peer fundraising succeeds is because it taps into social proof. When someone donates because a friend or family member asked, they’re more likely to trust the cause and feel good about their contribution. In fact, studies show that people are significantly more likely to give when a request comes from someone they know rather than from an organization. It’s the power of relationships at work.

Leveraging personal networks

Your core supporters might already be familiar with your nonprofit, but peer-to-peer fundraising helps you reach beyond that circle. Each fundraiser expands your donor pool by introducing your cause to their friends, family, and colleagues. This ripple effect can bring in donations from people who may not have heard of your organization otherwise.

Lowering fundraising costs

Fundraising can be expensive, but peer-to-peer campaigns help reduce some costs. Since volunteers are doing most of the outreach and promotion, your organization can focus on other aspects of the campaign. That means you can raise more money without a huge increase in expenses.

Year-round fundraising potential

With peer-to-peer fundraising, the possibilities aren’t limited to a single event or campaign. Rolling campaigns and ongoing support mean your nonprofit can receive donations throughout the year. This approach creates a sustainable flow of contributions and keeps your supporters engaged over the long term.

Peer-to-peer fundraising ideas

Looking for inspiration? There are plenty of creative ways to run a peer-to-peer campaign that will energize your supporters. Here are a few popular ideas to get you started.

5Ks, walkathons, and races

Physical events like 5Ks or walkathons are classics for peer-to-peer fundraising. Participants create personal fundraising pages and ask for donations based on their involvement. Whether they’re running a marathon or walking a few miles, supporters are motivated to help them hit their goals.

Read-a-thons or other “-a-thon” formats

Read-a-thons are perfect for schools or organizations that want to engage children and families. Participants set a goal for how many books or pages they’ll read, and donors pledge based on their progress. You can adapt this idea to other activities—anything from dance-a-thons to hike-a-thons can work.

Team sports tournaments

Host a local sports tournament where teams can sign up and raise money for your cause. Each team member sets up their own fundraising page, and people donate to support their favorite team. Adding a bit of friendly competition is a great way to get more people involved.

Holiday parties or themed events

Holiday fundraisers bring people together for a good cause during the festive season. From a holiday party to a themed event like a costume contest, these events give people an excuse to celebrate while raising money for your nonprofit.

Merchandise campaigns

Merchandise campaigns allow supporters to donate in exchange for branded items like T-shirts, mugs, or tote bags. Fundraisers can set up pages where their networks can buy merchandise, with proceeds going to their cause. This approach is a win-win situation—supporters get something tangible, and your nonprofit raises money.

Virtual events

In today’s digital world, virtual events are more popular than ever. Host an online auction, trivia night, or even a virtual concert, and let your fundraisers spread the word. Virtual events are flexible and accessible, making them an excellent option for engaging supporters who can’t attend in person.

How to encourage peer-to-peer fundraising participation

Getting people excited about peer-to-peer fundraising starts with making the process as easy and motivating as possible. Here are some practical tips for getting volunteers involved and keeping them engaged throughout your campaign.

Make participation simple and accessible

People are more likely to join a fundraising campaign if it doesn’t feel overwhelming. Provide clear, step-by-step instructions on how to set up personal fundraising pages and share them with friends. The easier for volunteers to get started, the more likely they will participate and stick with it.

Offer incentives for top fundraisers

Everyone loves a little friendly competition, and offering incentives can go a long way in motivating your fundraisers. Whether it’s a shout-out on social media, exclusive merchandise, or tickets to an event, having rewards for top fundraisers keeps people motivated to hit their goals. Make sure the rewards are fun and accessible—things that your community would enjoy.

Provide templates and resources

Give your fundraisers pre-made templates and resources they can use. These could be sample social media posts, email drafts, or even images they can share. Giving them these tools reduces the effort they need and ensures a more unified message across all their communications. Plus, it takes away some of the guesswork and makes fundraising feel less of a chore.

Share inspiring stories

People love to see how their efforts are making a difference. Sharing success stories from past peer-to-peer fundraisers can inspire others to get involved. Highlight stories where individual fundraisers have gone above and beyond or where the campaign led to a meaningful impact. These stories remind people of the bigger picture and can be a powerful motivator.

Keep the momentum going

Once your campaign is underway, keep the energy up. Regularly check in with your fundraisers, offer encouragement, and share progress updates. You can even spotlight fundraisers who are doing particularly well to inspire others. Small actions, like sending a thank-you note when someone reaches a milestone, can keep the motivation alive and encourage everyone to stay involved until the campaign wraps up.

Adding a competitive edge

Gamification is a great way to inject some fun and competition into your peer-to-peer fundraising campaign. Adding leaderboards, badges, or rewards for fundraisers who hit specific milestones can motivate them to keep going. Leaderboards showing the top fundraisers can create a sense of healthy competition, while badges or rewards offer recognition for smaller achievements. This approach turns fundraising into a game, making it more engaging and encouraging people to push themselves further.

Peer-to-peer fundraising best practices

To maximize peer-to-peer fundraising, follow some best practices to maximize your success and create a smooth experience for your nonprofit and your fundraisers.

Personalize campaign pages

One-size-fits-all doesn’t work when it comes to fundraising. Encourage your fundraisers to personalize their campaign pages with their stories, photos, and reasons for supporting the cause. When donors see a personal connection, they’re more likely to contribute. People donate to people, not just organizations, so a personalized touch makes all the difference.

Encourage fundraisers to share their connection

Personal stories are powerful. Why the cause matters to them or how they’ve been personally affected are great stories for fundraisers to help make a campaign more relatable and impactful. This approach can also help them feel more connected to the cause and motivated to reach their fundraising goals.

Use visuals and stories

Fundraising pages with strong visuals—photos or videos—are far more likely to catch people’s attention. A picture or short video that tells a story about your organization’s impact can be a powerful motivator. Provide fundraisers with images and stories that highlight the tangible difference their efforts are making and encourage them to include their own pictures or videos.

Time your campaign for success

The timing of your campaign can be a huge contributor to its success. Consider running your peer-to-peer campaign during key times of the year when people are more likely to feel generous—such as the holiday season, back-to-school season, or nationally recognized days like Giving Tuesday. Timing your campaign well can increase participation and donations.

Set clear goals for fundraisers

You need to set clear, realistic fundraising goals for each volunteer. This gives them something to strive for and helps keep them motivated. Break the larger goal into manageable milestones, and encourage fundraisers to celebrate those smaller wins as they move closer to the final target.

Leverage social media

Social media is a game changer for peer-to-peer fundraising. Encourage your fundraisers to share their campaign pages regularly and offer tips on how to get creative with their posts. Use hashtags, shareable graphics, and personal stories to grab attention. The more visible your campaign is on social platforms, the more donations it will bring in.

Common challenges in peer-to-peer fundraising and how to overcome them

While peer-to-peer fundraising can be highly effective, it has challenges. Being prepared for these hurdles can help you navigate them more smoothly.

Low volunteer participation

Getting people excited to fundraise can be difficult, especially if they’ve never done it before. To tackle this:

1. Make sure your campaign is easy to join and understand.
2. Provide clear instructions, resources, and plenty of encouragement.
3. Recognize and celebrate early sign-ups to motivate others to join in.

Donor fatigue

If your community has been repeatedly asked for donations, it may experience donor fatigue. One way to combat this is by mixing up your approach. Instead of only asking for financial contributions, offer other ways to get involved, such as volunteering or spreading the word about your campaign. Keep your messaging fresh and focus on the impact their donations make.

Difficulty reaching new audiences

Sometimes, your campaign might feel like it’s only reaching the same circle of people. To broaden your reach, encourage fundraisers to leverage social media and email to tap into new networks. Consider offering incentives for fundraisers who bring in first-time donors, and use creative marketing techniques like videos or influencer shout-outs to get more eyes on your campaign.

Peer-to-peer fundraising is the future of nonprofit fundraising

Peer-to-peer fundraising has repeatedly proven to be a powerful tool for nonprofits looking to expand their reach and increase donations. Engaging your supporters and empowering them to raise money on your behalf will raise money and strengthen relationships with your community.

Peer-to-peer fundraising opens new doors for nonprofits by allowing them to tap into personal networks and leverage the power of social proof. It’s a versatile strategy that allows them to reach new audiences, lower costs, and keep donations flowing throughout the year.

While Silent Auction Pro may not offer peer-to-peer fundraising options, we’re here to help you with all your other fundraising needs. Keep an eye on our blog or attend one of our webinars to find inspiration and tips and tricks focused on getting the most out of your fundraising efforts. Request a free demo to see how SIlent Auction Pro and help your organization make a real difference.