Keeps on giving: Increases in the S&P 500 index and corporate profit will fuel industry growth

Revenue for the Donations, Grants and Endowment industry consistently grew over the five years to 2018. Driven by improving financial market performance and lower unemployment, more businesses and individuals increased their giving to grantmaking foundations. Moving forward, demand for industry services is expected to remain stable, with educational and health-related programs benefiting from the largest share of grant dollars. Furthermore, corporations and other for-profit groups will continue to open trusts and foundations to promote their organizational image...purchase to read more.

Industry Statistics & Market Size
Revenue
$139bn
Annual Growth 13-18
5.0%
Forecast Growth 18-23
Profit
Employment
235,554
Businesses
37,693
Market Share of Companies

Industry Threats & Opportunities

  • Educational and health-related programs will benefit from the largest share of grant dollars
  • Private contributions, gifts and grants make up the largest source of industry revenue
  • Industry revenue increases in tandem with corporate profit and individual wealth
  • Industry Report - Starting a New Business Chapter

    The Donations, Grants and Endowment industry has medium barriers to entry. One of the largest barriers for potential entrants to overcome is the typical means with which operators generate funds for donations. A significant portion of grantmaking organizations donate money from the interest and dividends earned on their capital holdings; for example, the Bill & Melinda Gates Foundation had $33.2 billion in assets in 2016 (latest available data). Industry operators invest capital in a variety of interest bearing assets; interest and dividends are earned on these investments (effectively revenue) and passed on to charitable organizations or used to fund specific organization-run programs. Hol...purchase to read more.

    Additional Insights for the Donations, Grants & Endowment Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Donations, Grants & Endowment Industry are

  • Ability to attract local support/patronage
  • Ability to educate the wider community
  • Effective quality control
  • IBISWorld analysts also discuss how external factors such as S&P 500 and Corporate profit in the Donations, Grants & Endowment industry impact industry performance..

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    What's in this report

    What is the Donations, Grants & Endowment Industry?

    This industry comprises organizations known as grantmaking foundations or charitable trusts. Operators award grants from trust funds based on a competitive selection process or by the preferences of the foundation managers and grantors. Industry operators may also fund a single entity, such as a museum or university. Due to the unique structure of this industry, revenue is calculated by adding contributions, grants, investment income and realized gains.

    Industry Products
  • Private contributions, gifts and grants
  • Investment income
  • Gains (losses) from assets sold
  • Government contributions, gifts and grants
  • Industry Activities
  • Awarding education-related scholarships and grants
  • Awarding health-related grants and donations
  • Awarding grants related to human services
  • Awarding grants related to public affairs
  • Awarding grants and donations for art initiatives
  • Awarding grants and donations for environmental projects
  • Awarding grants related to international affairs
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • S&P 500
  • Corporate profit
  • Per capita disposable income
  • Yield on 10-year Treasury note
  • Natural disaster index

  • Current Performance
  • Investment return instability
  • Contributions and grants rebound
  • Back on track despite regulation
  • Chart: Revenue Growth

  • Industry Outlook
  • Contribution levels and investment returns improve
  • Foundation giving keeps climbing
  • Regulatory environment
  • Table: Donations, Grants & Endowment Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Donations, Grants & Endowment Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Conservation & Human Rights Organizations
  • Civic, Social & Youth Organizations
  • Consumers

  • Key Selling Industries
  • Advertising Agencies
  • Commercial Banking
  • Copier & Office Equipment Wholesaling
  • Land Leasing
  • Portfolio Management

  • Products & Services
  • Private contributions, gifts and grants
  • Investment income
  • Gains (losses) from assets sold
  • Other
  • Government contributions, gifts and grants
  • Chart: Donations, Grants & Endowment Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Education
  • Health
  • Human services
  • Public affairs and society benefit
  • Arts and culture
  • Environment and animals
  • Other
  • International affairs
  • Chart: Major Market Segmentation for the Donations, Grants & Endowment Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitGrants, gifts and donationsWages and depreciationFund management fees and other costs
  • Chart: Cost Structure Benchmarking – Sector vs Donations, Grants & Endowment

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Donations, Grants & Endowment Industry

  • Industry Globalization
    Bill & Melinda Gates Foundation,
  • Table: Bill & Melinda Gates Foundation - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Donations, Grants & Endowment Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Donations, Grants & Endowment Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Corporate Profit (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Charity
  • A foundation created to promote the public good.
  • Community Foundation
  • A publicly supported foundation that is operated by, and for the benefit of, a specific community or geographic region. These foundations receive funding from a variety of individual donors.
  • Corporate Foundation
  • A foundation that is created and funded by a company as a separate legal entity and operated by a board of directors that is usually comprised of company officials.
  • Grantmaking
  • The discretionary awarding of grants, especially by a large foundation or other organization, as a form of organized philanthropy.
  • Independent Foundation
  • A foundation that is generally founded by an individual, a family or a group of individuals and operated by the donor or members of the donor's family.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s industry research report on Donations, Grants & Endowment can be used to help you understand the industry’s market size, growth potential and major companies. Five-year forecasts provide insight into the industry’s prospects, so you can make decisions with confidence. This information is perfectly suited to informing your business plans, pitch books, benchmarking and SWOT analysis.

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    • Find out about key industry trends
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    This report on Donations, Grants & Endowment:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Donations, Grants & Endowment market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Donations, Grants & Endowment, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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