The Loneliness Crisis and Fundraising: Why Disconnection Is a Risk to Your Mission

At M&M International, we help organizations advance their missions through effective, community-rooted fundraising. But what happens when community itself begins to fray?

New research shows that Canada is facing a deepening “social recession.” People are more isolated, less engaged—and it’s showing up in their giving. Understanding this shift is critical for anyone who wants to build a strong fundraising strategy.

Connection Declines, Generosity Declines

CanadaHelps data from 2024 paints a stark picture:

  • People with 0–1 close friends had a 53% donation rate.
  • People with 7–10 close friends donated at a rate of 84%.
  • Fewer connections also meant lower rates of volunteering, event participation, and donating goods.

At the same time, StatsCan shows nearly half of Canadians feel lonely at least sometimes. This growing isolation affects how willing—and able—people are to give their time, money, and trust.

Religiosity and the Giving Decline

One overlooked but powerful factor? The decline in religious affiliation and participation.

According to the Generosity in Canada study cited in the Giving Report:

  • Religious service attendance is tightly correlated with higher donation rates.
  • People who don’t attend are 14% less likely to give.
  • Among younger generations, fewer feel a moral or social obligation to give, instead believing “that’s government’s job.”

This signals a broader cultural shift: giving used to be reinforced by community norms, many of which were tied to religious institutions. Without them, fewer people see giving as a core part of civic life.

Donor Trends Confirm the Crisis

The AFP Fundraising Effectiveness Report adds urgency:

  • Donor counts are down 5.3% year-over-year.
  • New donor retention sits at just 13.8%—a record low.
  • Micro donors (under $100) saw a 12.4% decline, contributing to two-thirds of total donor losses.

It’s not just disconnection—it’s disengagement. When people don’t feel connected to each other or to institutions, they don’t give—and they don’t come back.

What Fundraisers Can Do

If you’re a fundraiser or nonprofit leader, here’s how to respond:

  1. Design for Reconnection

Host events, campaigns, or volunteer opportunities that get people off screens and into real spaces with others. Fundraising should be a tool for rebuilding community, not just revenue.

  1. Focus on Belonging

Don’t just ask for support—invite people into something bigger than themselves. Fundraising communications should focus less on urgency and more on shared values, purpose, and community.

  1. Rebuild Trust

People with fewer friends have lower trust in nonprofits. Use testimonials, transparent impact reports, and face-to-face outreach to close that trust gap.

  1. Acknowledge the Role of Faith and Identity

As we shift away from traditional institutions like churches, we need new places to root generosity. That means centering your mission in shared purpose, local action, and emotional resonance.

Fundraising isn’t just about what we ask for—it’s about who we invite in. And in a time of shrinking networks, rising loneliness, and institutional distrust, rebuilding human connection might be the most powerful strategy you have.