Key Term

What is Strategic Philanthropy?

Definition

Strategic philanthropy is a systematic and deliberate approach to charitable giving that emphasizes clearly defined goals, measurable outcomes, and evidence-based decision-making. It involves careful planning, research, and evaluation to maximize the social impact of philanthropic investments, often incorporating business principles and practices to achieve sustainable, long-term results in addressing social issues.

Significance

Strategic philanthropy represents a pivotal shift from traditional charitable giving to a more impact-focused approach that has transformed how donors engage with social causes. This methodology has become increasingly important as donors seek to create lasting change rather than simply providing short-term relief. By applying strategic principles, donors can better align their resources with their values, leverage partnerships, scale successful interventions, and ultimately achieve greater social return on their philanthropic investments. This approach has influenced both individual donors and foundations to become more intentional and results-oriented in their giving practices, leading to more effective solutions to complex social problems.