Why Data Literacy Matters More Than Ever for Canada’s Charitable Sector
Data literacy has become a necessary skill across the charitable sector because organizations are being asked to make decisions more quickly, demonstrate impact more clearly, and navigate complex digital environments more efficiently. The Charity Insights Canada Project’s survey on technology adoption indicates that charities recognize the importance of using data well, yet some struggle to access the skills and tools. Although digital tools are now part of everyday nonprofit work, gaps in resources, training, and confidence prevent organizations from fully benefiting from them. The insights shared by survey participants help explain why these gaps persist and why building data literacy is a priority for the sector.
Data Literacy begins with digital tools
Using digital tools regularly, like spreadsheets and surveys, is an important part of digital literacy. In October 2025, hundreds of charities across Canada shared how they use digital tools, where they face barriers, and what training they need to strengthen their digital readiness.
Charities are using digital tools, but they have little time and budget to become proficient.
Most organizations report using digital technologies to some extent, but few feel they are using them to their full potential.
- 63% say they moderately use technologies and digital tools, with room for improvement
- Only 13% report fully utilizing available digital tools
- 16% say they are exploring the use of tools
This reflects a sector in transition, willing to adopt technologies and digital tools but needing to spend time to improve their skills.
Digital and data skills are rising priorities
A large majority of charities (68%) told us that digital skills are becoming a higher priority for their organizations. This shift highlights the essential role of technical capacity in operational sustainability and service delivery.
Data literacy is the top digital skill needed
Which digital skills are most important for charities to develop? When asked, the top answer, selected by 69% of respondents, was collecting, managing, and analyzing data. Another 53% named using data to inform decision-making and strategy. These responses reinforce a clear message: many charities want to make data-informed decisions but need the foundational skills to get there.
Sector-wide barriers: staffing and funding
Charities want to strengthen their digital capacity, yet many respondents pointed to limited financial and staffing capacity as a major barrier:
- 72% agree that financial constraints impede their ability to improve digital tools
- 70% agree that limited human resources is a barrier to improving digital skills.
In comments, panellists shared that even when the benefits of digital tools are clear, the cost of purchasing software, maintaining licenses, or hiring technical help often prevents them from moving forward. The financial pressures limit an organization’s ability to invest in data systems, adopt new technologies, or train staff to use the tools they already have. In the words of one panellist: “We don’t have the money to invest in digital tools and infrastructure, or in the additional staff we would need to develop it.” The sector sees the value of digital skills, but budgets and capacity are still significant barriers.
CICP Efforts to Build Sector Capacity
To help address these gaps, the CICP is be providing free data literacy webinars through our Community Education Centre, designed specifically for nonprofit and charitable workers. Our webinars introduce sector workers to the basics of collecting, storing and interpreting data, asking effective questions of their data, and using information ethically and confidently. These sessions are built for people who may be new to data.
These webinars focus on tools organizations already have, such as Google and Excel spreadsheets. The webinars are designed to give staff practical techniques they can apply immediately, even in resource-constrained environments.
Why Strengthening Data Literacy Matters
Stronger data literacy supports organizations in:
- making clearer, more evidence-based decisions
- allocating resources where they will have the biggest impact
- communicating results to funders, boards, and communities
- identifying service gaps and equity issues
- navigating an increasingly digital funding and policy environment
The findings from our technology adoption research show that charities across Canada want to work with data more confidently and effectively, yet many face ongoing challenges that limit what is possible in their day-to-day operations. The CICP Community Education Centre webinars are designed to help participants build confidence with data in manageable ways that align with the realities of their workload. By creating space for practical learning within reach for many organizations, we hope to contribute to the larger ongoing efforts to improve data literacy across the sector.
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