Clinicians have long credited a growing awareness of how to save money particularly in the medical sphere among professionals and entrepreneurs. But one study suggests that investing in an organization that supports research and learning can result in 5 billion in additional spending by private health care teams. Author Nicola Strahlman and colleagues report these findings in the journal JAMA Network Open.
Prior research has shown that several charities have raised 15 million to sustain programs focused on expanding access to high-quality pediatric health care. Another 12 million has been raised to help support programs that advance breast cancer endometriosis and human papillomavirus screening. And another 5 million for preventing type 2 diabetes has helped fund more than 1200 programs for older adults. All told 12 billion in philanthropic dollars in pledge funding has been raised through these efforts.
Strahlman and colleagues evaluated public funding of eight healthcare organizations that had raised the minimum allowable amount of money for a program and were on the brink of becoming financially unsustainable. An analysis of donor disclosures showed that some of these organizations reside in New York City and Washington D. C. where philanthropic health funds have raised over 100 million or up until some 147 million had been raised.
For this study 153 million in private funds was raised through a combination of public and private asks for matching funds (2014-2019) and corporate and government contributions (2017-2019). After factoring in donations raised for data analysis and reporting the researchers calculated the total 5 billion raised by the organizations.
Throughout the five-year follow-up period 107 million from private and public funds was raised via a range of fundraisers. The researchers calculated lost revenue difference in revenue and monetary impact that they found associated with these fundraisers. There were approximately 17 additional sources of funding totalling 561 million in fundraising.
Without funding the number of fundraisers that raised 35 million or more would amount to almost 9. 7 million. Without philanthropic funding the number of fundraising events from 39 million to 69 million would amount to 44 million. With philanthropic help the number of events from 81 million to 101 million would amount to 155 million. With donor support the researchers estimated the impact on the organizations from 3. 5 billion to 5. 5 million.
Of the eight organizations prioritized three participated in the first half of the period one in the second half and one in the second half of the study.
The gap between the number of donated funds in the two groups remained significant after accounting for fundraising activity between 2014 and 2017. The most significant fundraising difference was between 59 million at two organizations in the first half versus 107 million at the end of the study.
These findings align with previous research suggesting that fundraising efforts are not sufficient to spur philanthropic activity Strahlman explained. There have been several studies all of which we have seen that show there is no trickle-down effect in philanthropic activity or any uplifting effect for organizations trying to engage their donors said Strahlman an associate professor of communications at Mount Holyoke College. This paper shows that in fact our media molecules can decrease the amount of funding needed for an organization to engage its members in philanthropic activity. And we believe only by having more donors will it reduce the number of organizations that did not make the cut.