Changing the narrative: Who benefits from nonprofits?

Most Americans use nonprofit services on a regular basis, yet they don’t realize they’re benefiting from nonprofits. According to a 2023 report from the Indiana University Lilly Family School of Philanthropy at IUPUI, only 5.4% of Americans said they or a family member had used nonprofit services over the last year.

And this misconception is hurting the sector. If the public doesn’t know they benefit from nonprofits every day, how will they understand the real impact of cuts to government funding to these organizations?

From parks to zoos to colleges, most of us use nonprofits

Every day, Americans enjoy parks, visit museums, watch public television, and adopt pets from animal shelters. All of these institutions and services are maintained or run by nonprofits.

About four out of five people visited a local park or recreation facility in the past year or went to an arts or cultural institution or event, which include museums, the performing arts, historical sites, zoos, aquariums, and botanical gardens. Nearly half, or 160 million people, watch public television every year. And more than 142 million Americans belong to credit unions, which many may not realize are nonprofits.

In addition, 58% of all U.S. hospitals are nonprofits, as are more than 1,700 private colleges and universities, enrolling more than 5.2 million students a year.

Many assume nonprofits serve only the ‘less fortunate’

Americans regularly visit, use, and even enjoy nonprofit services, yet many assume that nonprofits—or “charities”—serve only the poor or other “less fortunate” people who need help from food pantries. Or they give generously to help those affected by a wildfire or earthquake, but they don’t think of their local Little League teams or senior centers as nonprofits. Even though nonprofit services benefit everyone, many remain “invisible” to the public.

Common organizations people may not realize are nonprofits include churches and other religious institutions, community centers, farm cooperatives, hospitals, PTAs, research organizations, sports organizations, theaters and orchestras, and thrift stores. Nonprofits also provide services such as veterans services and senior care.

How can organizations change the narrative on nonprofits?

To ensure organizations get the recognition they deserve and the support they need, nonprofits, like yours and ours, need to change the narrative to highlight the work nonprofits do. Your organization can help correct the misperception around nonprofits, raise awareness by telling the story of their value and impact, and build public trust and understanding. Here are a few tips:

• Make sure your audience knows your organization is a nonprofit and understands what being a nonprofit means (the data shows they don’t).
• Celebrate other local nonprofits in your area and the work they do to show the full range of causes.
• Be transparent about your work and impact. One way to do this is by making sure your organization’s Candid profile is up to date and highlights stories about your mission-driven work.

The National Council of Nonprofits’ Nonprofits Get It Done campaign also showcases how best to tell your nonprofit story through facts, real stories, and a values-driven message. They highlight other ways you can explain via the media how essential nonprofits are to society.

Highlighting nonprofit impact helps secure support

Steps like this can help the public, as well as elected officials, better understand the role nonprofits play. One takeaway from a gathering of food security nonprofits Candid hosted last year was that strengthening the ability of nonprofits to tell these stories would help protect and expand public investment in food security, even in a polarized environment.

When nonprofits talk about their mission and their nonprofit status, they’re not just raising awareness; they’re helping the public understand that nonprofits are essential to our communities—today and into the future.

This is part of our “Mission over myth” series seeking to break down myths and misconceptions about the nonprofit sector.