Democratic fundraising has seen a significant dip in 2023, with small-dollar donations at the federal level totaling $312 million in the first half of the year, a decrease of over $30 million compared to the same period in the 2020 cycle, according to an analysis of ActBlue data reported by POLITICO.
The number of donors in the second quarter of 2023 also fell by 32% compared to four years ago, despite a slight increase in total fundraising due to factors such as more recurring donors and increased donations to non-federal groups.
Ari Rabin-Havt, former deputy campaign manager for Sen. Bernie Sanders’ 2020 presidential campaign, warned, “Because small donors are a proxy for enthusiasm, if people aren’t concerned about the drop-off in contributions, then they just aren’t paying attention or whistling past the graveyard.”
He emphasized the need for Democrats to understand the cause of this “enthusiasm gap.”
The dwindling grassroots support could spell trouble for President Biden, who at 80, is facing a challenging election cycle.
The data also indicates that the threat of Donald Trump, once a significant driver of Democratic fundraising, is no longer as effective in motivating donors.
Despite the decline, Democrats still managed to outperform Republicans in fundraising on the corresponding WinRed platform.
However, the decrease in grassroots activity could force Democratic candidates to spend more time fundraising, rely more heavily on big donors, or operate with less funding.
The fundraising slump has already led some progressive groups to lay off staff.
Party committees such as the Democratic Congressional Campaign Committee and Democratic Senatorial Campaign Committee have also seen over a third drop in their total cash raised from small-dollar donors in the first half of the year compared to the previous cycle.
Mike Nellis, founder and CEO of Authentic, a top digital fundraising agency for the party, acknowledged the summer slump but expressed concern about the current situation.
“That said, this is a particularly bad summer slump. If you’re not running with a particularly compelling headwind, it is hard to fundraise right now. If you’re not Adam Schiff and Jon Tester, who are two of my clients doing well right now, you’re sort of in a bind.”
Nellis also attributed part of the decline to the crackdown on political spam by major email providers and the difficulty campaigns face in targeting donors on social media.
