Chapter 4: Theory in Fundraising

This chapter complements the philosophical and conceptual foundations of this volume by discussing how theory can help us better understand how and why fundraising happens. It introduces four theoretical frameworks used to explain aspects of fundraising, especially relating to donor relations and engagement. Fundraisers function as boundary spanners within open systems to acquire and maintain resources for their charities. Donated gifts often contain social elements of reciprocity, which must be negotiated. Donors often make gifts that are consistent with their own values and identities. By understanding donors’ expectations, fundraisers can increase the nonprofit’s perceived salience, legitimacy, and trustworthiness. Readers are encouraged to apply different theoretical lenses to their own practice to generate further insights.

Ruth Hansen

Ruth K. Hansen, Ph.D., is an Assistant Professor of Management at the University of Wisconsin-Whitewater, where she teaches about the nonprofit sector, fundraising, and organizational behavior. Her research primarily focuses on the theory and practice of fundraising. Ruth has more than 20 years’ professional experience as a fundraiser, during which she was recognized as a Certified Fund Raising Executive (CFRE). She earned her Ph.D. in 2018 from the Indiana University Lilly Family School of Philanthropy.

Chapter author Ruth Hansen interviewed by Bill Stanczykiewicz for The Fund Raising School First Day Podcast.