Installed vs. ASP (Online) Software

Traditionally, people have purchased their software, and then installed it onto their computer or computer network. This is the prevalent method used today, and remains ideal for certain nonprofits. Your data resides on your own computer (or network), and you are responsible for its infrastructure, backups and maintenance. A one-time investment provides a perpetual license, and a support plan provides essential product updates and enhancements.

Thanks to the Web, your choices have expanded to include not only different software products, but different methods of accessing your donor data. Now, some software vendors are ASPs (application service providers), which means they host the software, and your data, on a secure server that is connected to the Internet. These products are sometimes called Software as a Service or SaaS as well. This way the information can be accessed anywhere, by any authorized person, using web browsers like Internet Explorer. This is not to be confused with online access to software installed on your PC, which may not offer the speed, hyperlinks, and other unique capabilities associated with a solution developed on a Web platform.

The other unique aspect is the way most ASPs sell their solution: as a subscription. You typically pay a volume-based monthly fee, instead of a one-time inclusive payment. As a subscriber, you don't have to worry about infrastructure issues, such as installing or maintaining software and hardware. Even backups of your data are handled by the ASP.

The range of offerings has grown dramatically. Some vendors offer both installed and online versions of their fundraising products. And if your nonprofit is large enough, you may be interested in hosting the online version yourself, which some providers now offer as an enterprise-type solution.

Every nonprofit has unique requirements. Check out vendors that offer installed, online, or both fundraising solutions to see which best matches your particular needs. You should also note that not all Web-based systems provide the same robust speed and features. Make sure you do a thorough comparison of vendors, and that the vendor you choose has an established history in the nonprofit market and financial stability (many Internet companies come and go these days.)