How to Connect with Donors, a report published by the Charities Aid Foundation (CAF) found that sophisticated donors want charities to demonstrate their effectiveness and to adopt new forms of communication.

The online survey of over 200 CAF and non-CAF donors asked them for their views on how the recession affects charities and what they thought charities could do to alleviate the effects of the recession.

A key recommendation is in the use of new forms of communication: over three quarters (77%) said that charities should change how they communicate with donors.

New media such as social networking (70%) and email (65%) were recommended as tools which charities should use more of in the recession.

One of the most popular recommendations from donors to charities was for them to forge closer links with each other.

Over four fifths of donors (85%) think charities should be partnering with other charities.

Charities are also being urged by donors to increase their efficiency and effectiveness and to demonstrate this.

Nearly all donors (94%) stated that charities should demonstrate their efficiency to weather the recession.

Nearly the same amount (92%) stated that charities need to ensure that they are showing the impact of their work to donors.

Over four fifths stated that charities should review their finances (86%) and demonstrate their transparency (85%).

Donors also recommended ideas which would help charities secure new sources of income, with over four fifths (82%) suggesting an increase in the use of volunteers, three quarters (75%) suggesting applying for more grants, 69% asking for a donation of goods, and just over a half (53%) suggesting dedicating more resources to fundraising.

Commenting on the research, Liz Goodey, CAF head of research and author of the report, said: "This report confirms that donors are concerned about charities in the current economic climate, and have a view on how charities could change the way that they operate. This is an opportunity for charities to hear donor suggestions on what they can do to keep their operations running whilst keeping donors happy."

"The report reinforces what many charities are already doing, but shows that the recession has put the spotlight on these issues in the minds of donors and charities need to respond to dissipate any concerns that they may have."

The CAF report, 'How to Connect with Donors' is available to download in full from http://www.cafonline.org/connectdonors

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