donor retention

How to Personalize Communications With Nonprofit CRM Data

Ann Green Communications, database, donation page, donor engagement, donor relations, donor retention , , , , ,

Personalization allows nonprofits to deepen donor relationships and boost retention. Learn how to personalize nonprofit communications using data from your CRM.

By Philip Schmitz

In an age where technology has tailored our online experiences based on our interests and behaviors, today’s donors expect personalized communications before engaging with an organization. 

However, nonprofits that want to build strong, lasting relationships with their donors often struggle to connect with individual donors. This is especially true when communicating on a massive scale without expending resources and stretching their teams thin.

Fortunately, the right data and technology can streamline (and enhance) communication for you. That’s where your constituent relationship management (CRM) system comes in! Along with standard demographic and contact information, a good nonprofit CRM will accurately capture behavioral and engagement information that can help tailor communications. 

Let’s review what your nonprofit needs to do to tap into the benefits this powerful tool can bring.

1. Understand What Your CRM Can Do

Understanding the functionality of your CRM will allow you to make the most use of it to properly collect and analyze data. Many nonprofit CRMs offer robust functionalities and tools built to help scale your donor outreach, but their value is lost if you don’t make the most of the platform.

According to CharityEngine’s roundup of top CRMs, the key features to look for in this software include:

  • Payment processing: A built-in payment processor ensures your nonprofit is equipped to accept payments when donors respond to your communications. 
  • Marketing automation: The right CRM can automatically segment donors and communicate with them through several channels, like email and direct mail. Since your CRM has a full view of each donor’s engagement history, it’s well-equipped to send out timely and relevant messages.
  • Major gift management: The best CRMs integrate with prospect research databases, helping your nonprofit identify and steward relationships with potential major donors. Effective donor cultivation strategies are rooted in a personal touch, and your CRM provides the data needed for that.
  • Online forms: Accessible (and eye-catching!) online forms make things easy for you and your supporters. Your CRM should be able to create and manage these forms for you.
  • Reporting and analytics: Out-of-the-box reports and dashboards provide a comprehensive view of donor behaviors and your nonprofit’s growth. When you can easily analyze this data, your communications will become more accurately targeted.

Evaluating a CRM solution is critical to finding the one that best fits your organization’s needs. Take advantage of resources such as demo calls to ask specific questions and see what the platform looks like in action. Blog articles, review platforms, and help communities are great ways to engage with current users of the platform, understand how they’re faring with the platform, and identify any issues you may need to be aware of before moving forward.

2. Segment Supporters for Smarter Messaging

Audience segmentation refers to the process of dividing a broader group into smaller, more defined groups based on shared behaviors and characteristics. Instead of sending the same message to all audiences, this process allows for more effective outreach by sending the right message to the right people at the right time. 

Your CRM tracks data that’s critical to grouping donors, such as:

  • Engagement: By tracking donors’ involvement and engagement with your organization, you can speak directly to their interests and motivations. For example, a volunteer may enjoy an impact report detailing the results of their hard work, while an auction attendee would enjoy receiving a recap of the event, including the amount it raised for your organization’s work. 
  • Giving frequency: Recurring donors are more likely to appreciate impact metrics and recognition for their continued gift, while one-time donors may be less engaged and could need more background information about your mission. For example, you might share your appreciation with a recurring donor for the total amount they’ve contributed over the years, while a reminder that your nonprofit still needs help would be more appropriate for someone who gave once a few months ago.
  • Lapsed donors: Disengaged donors will likely require messaging that conveys urgency, such as a reminder about your year-end campaign or a time-sensitive beneficiary need. When communicating with donors who have paused their gifts, be sure to use language that encourages them to reconnect with your organization. 

According to Getting Attention’s marketing statistics, segmenting digital campaigns produces up to 760% more revenue compared to non-segmented campaigns! If you’re not already segmenting your campaigns, it’s a step you should take immediately—and your CRM may even automate it.

3. Test and Optimize Your Messaging Strategy

With such large amounts of donor data, you may have conflicting ideas about how to approach messaging for certain segments. A/B testing is the process of comparing two versions of a strategy to determine which performs better and achieves a desired outcome, such as higher conversion rates or engagement.

When trying out different communication strategies with your donors, consider running an A/B test to see which resonates the most with them. Adopting a test-and-learn approach will help you find the most effective communication strategy and messaging. 

Your CRM can help you A/B test the following elements: 

  • Email subject line: Test subject lines with different tones and messages to see which resonates the most with users by measuring metrics such as open rates. You may find that emotionally compelling subject lines work better with some audiences, while subject lines that convey urgency perform better with other audiences. 
  • Call to action: Try different messages in your CTAs, such as action-oriented language, to encourage readers to follow through on the ask. Remember to tailor the opportunity to recipients’ interests. For example, a long-time donor looking for new ways to get involved may be interested in volunteer opportunities.
  • Send time and day: Test different times and dates of your email sends to observe the highest open and engagement rates. For example, donors of one age demographic may be more likely to read your emails in the morning, compared to another demographic that is more responsive in the afternoon. 

Be sure to take a step back and review past campaigns to determine which messages garnered the most attention from your donors. Based on this information, adjust your messaging according to what performs best and is most likely to appeal to your donors. 

4. Empower Your Team to Use Data Confidently

Every member of your team must be able to handle and interpret data effectively to receive the most value from your system. When decisions across all teams are backed by data and evidence, you’ll be confident that your nonprofit is represented well and consistently in all its communications. 

The process of ensuring your team can use data effectively is two-fold. First, you must ensure that the data in your CRM is accurate, as accurate data informs better decisions, engages more donors, and guarantees that nothing falls through the cracks. Also referred to as data hygiene, this process may involve removing outdated or duplicate records, appending missing data, and updating information to be more accurate.

Secondly, you must build internal data fluency within your team. This could include:

  • CRM walkthroughs: Host short, role-specific training of your CRM for members of your team, focusing on the functionality that is most important to their day-to-day tasks. For example, you may focus only on data analysis with one team while another team needs to be familiar with the platform’s event management capabilities.
  • Lunch & Learns: Consider hosting 15- to 30-minute sessions focused on specific topics, such as building donor reports and segmenting audiences. You can also open these opportunities to team members, encouraging them to take ownership of exploring the CRM’s capabilities and sharing best practices with their colleagues.
  • Internal glossary: Create an internal document that defines commonly used terms like average gift size and return on investment (ROI). Clearly map out how to find this information in your CRM, and outline troubleshooting steps to take if team members encounter any problems.

Technology is the key to successfully running a nonprofit, but its power is only fully utilized if people know how to use it. The power of a robust CRM can help even the smallest of teams achieve big results with the right tools and habits to run the most effective campaigns and achieve your mission.

Phil Schmitz is the founder and CEO of CharityEngine, a complete fundraising platform powering some of the nation’s largest nonprofits and associations. Phil has developed patent-pending anti-fraud tools and industry-leading recurring payment technology that allows nonprofits to retain more sustainer revenue than the industry average; clients have raised nearly $5 billion using these tools. Phil’s passion for leveraging technology to empower nonprofits is supported by more than 20 years of experience in building successful technology and e-commerce companies.

Put Gratitude Front and Center by Creating a Thank You Plan

Ann Green direct mail, donor engagement, donor relations, donor retention, gratitude, planning, thank you letters, writing , , , , , ,

Thanking your donors is just as important, if not more important than fundraising. Yet many nonprofits spend a lot of time putting together a fundraising campaign and then treat thanking their donors as an afterthought.

Donor retention continues to be a problem. One of the many reasons is because people don’t feel appreciated. Prioritizing gratitude and donor relations will help. If you don’t do a good job of thanking your donors, as well as building relationships throughout the year, you’ll have a hard time getting people to donate again.

This is why having a thank you plan is crucial. It’s not only important when you’re running a fundraising campaign, but also during the “between times.”

Many organizations just thank their donors after they receive a gift and then disappear until the next fundraising appeal. Plus, when they do thank their donors, they do a poor job of it. Your donors deserve better than that. 

Thanking your donors is something you need to do throughout the year – at least once a month, if you can. A thank you plan will help you stay focused on gratitude all year round.  

Here’s what you need to include in your thank you plan.

Plan to make a good first impression with your thank you landing page

Your landing page is your first chance to say thank you and it shouldn’t resemble Amazon checkout. It should make a person feel good about donating.

Open with Thank you, Brenda! or You’re amazing! Using a person’s name is always good. Include an engaging photo or video and a short, easy-to-understand description of how the donation will help your clients/community.

If you use a third-party giving site, you might be able to customize the landing page. If not, follow up with a personal thank you email message within 48 hours.

Plan to write a warm and personal automatic thank you email

Set up an automatic thank you email to go out after someone donates online. This email thank you is more of a reassurance to let your donor know you received her donation. You still need to thank her by mail or phone.

Even before AI came into the mix, many thank you emails sounded downright robotic. Make sure you sound like a human and write something warm and personal. Remember to address your donor by name.

Give some thought to the email subject line, too. At the very least, make sure it says Thank You or You did something great today and not anything boring like Your Donation Tax Receipt or Donation Received. And please stop using words like transaction and processed. A donation is not a transaction. It’s the start or continuation of a relationship. 

I could write a whole post on subject lines, but right now I do want to emphasize how important it is to write a good one. I’ll share one more – This is why I’m grateful for you. This was sent from an organization that shared a success story and thanked me for helping to make that happen. 

Put all the tax-deductible information at the end of your email, after you pour on the appreciation.

One way to increase your personalization is to blind copy someone on the development staff each time the initial email acknowledgment goes out. Then send an additional email with a more personal note, acknowledging whether that person is a new donor, repeat donor, etc. You should still send something by mail or make a phone call (more on that below), since donors often miss email messages, especially if there’s not an enticing reason to open them.

Plan to thank your donors by mail or phone

I’m a firm believer that every donor, no matter how much she’s given or whether she donated online, gets a thank you card or letter mailed to her or receives a phone call.

Try to thank your donors within 48 hours or within a week at the latest. That might sound hard to do, but it will be easier if you plan to carve out some time to thank your donors each day you get a donation. Remember, thanking your donors should be a priority. If you wait too long, you’re not making a good impression.

Instead of sending the usual generic thank you letter, mail a handwritten card or call your donors. Find board members, staff, and volunteers to help you with this. Make sure to get your team together well before your next fundraising campaign so you’re ready to roll when the donations come in. 

I’m a big fan of handwritten thank you cards and you’ll stand out if you can send one. I get a few of them a year and they tend to come from the same organizations, which shows you what they prioritize! These may be more feasible than making phone calls. Not everyone likes to get phone calls, but some people do. This is why it’s important to know your donors’ communication preferences (more on that below).

Here’s a sample thank you note that could also be used as a phone script.

Dear Scott,

You’re amazing! Thanks to your generous donation of $50, we can continue to provide neighborhood families with healthy food. This is great. We’re seeing more people come in right now because of rising food costs and cuts in benefits.

We really appreciate your support over the last five years.

Sincerely,

Andrea Kramer

Board Member, Eastside Community Food Pantry

If you can’t send handwritten cards or call all your donors, send them a personal and heartfelt letter. If you’ve been using the same letter template for a while, take time to freshen it up. Don’t start your letter with On behalf of X organization, we thank you for your donation of…. 

Open your letter with You’re incredible or Because of you, the Baker family can finally move into their own home. Create separate letters for new donors (new donors should also get a welcome package), renewing donors, and monthly donors. Be sure it’s personalized and include at least one photo.

It doesn’t need to look like a form letter. You could use a different format, such as a postcard. For a thank you right after a gift, I would put a postcard in an envelope. You can send stand-alone postcards at other times of the year.

Your thank you letter should be all about thanking the donor – no bragging, no explaining what you do, no asking – just thanking.

You can add a personal handwritten note to the letter, preferably something that pertains to that particular donor. For example, if the donor has given before, mention that. Hand sign the letters, if you can.

Just like with fundraising appeals, your envelope matters. Use something besides a white #10 envelope. Maybe a colored or oversized envelope. It shouldn’t look like a bill or junk mail. Go all out to make it personal. Hand address the envelopes if possible or print directly on them. Use stamps, if you can. I recommend investing in Thank You stamps.

In addition, write your thank you letter at the same time you write your appeal letter. Make sure they’re ready to go as soon as the donations come in. Don’t wait three weeks. Timeliness is important, and so is quality.

Plan to keep thanking your donors all year round

This is where having a thank you plan makes a difference because as I mentioned before – thanking your donors is something you must do all year round. 

You can use your communications calendar to incorporate ways to thank your donors, but why not go one step further and create a specific thank you calendar?

Remember to try to say thank you at least once a month. Here are some ways to do that. 

  • Send cards or email messages at Thanksgiving, during the holidays, on Valentine’s Day, or mix it up a little and send a note of gratitude in June or September when your donors may not be expecting it. Try to send at least one or two gratitude messages a year by mail, since your donors will be more likely to see those. And you don’t need a holiday or special occasion to thank your donors. Thank them just because….
  • Invite your donors to connect with you via email and social media. Keep them updated on your success and challenges. Making all your communications donor-centered will help convey an attitude of gratitude. Be sure to keep thanking your donors in your newsletter and other updates. Emphasize that you wouldn’t be able to do the work you do without their generous support.
  • Create a thank you video and share it on your thank you landing page, by email, and on social media. Go one step further and personalize it. 
  • Reach out to your donors on the anniversary of their giving (not your organization’s anniversary). Don’t overlook your dedicated, long-time donors.
  • Send a warm-up letter or email about a month before your next campaign (no ask). This is a great way to show appreciation BEFORE you send your appeals.
  • Hold an open house or offer tours. You could also create a virtual tour or a behind-the-scenes look at your organization.
  • Keep thinking of other ways to thank your donors. You can repeat some of the ones listed above over the year.

The tactics that work best are going to differ for each organization. I would definitely send something by mail a few times a year. Email and social media may not be as successful, especially if your donors don’t use electronic communication very much. Plus, people get an enormous amount of email and social media messages, sometimes too much.

I recommend surveying your donors to find out their communication preferences. What do they like – mail, email, phone, text, social media, video, or a combination of those?  Find out their interests, too. This will help with your engagement.

Creating a thank you plan will make it easier to keep showing appreciation to your donors all year round. You need your donors, so remember to put gratitude front and center.

How to Use Your Website to Promote Your Nonprofit Online

Ann Green donor engagement, donor retention, marketing, planning, website , , , ,

Whether you’re setting up your website or improving an existing one, explore best practices for promoting your nonprofit online effectively in this guide.

By Carl Diesing

Your website is an essential tool in your online marketing kit. It serves as the foundation of your digital strategy by providing a place for any individual to find the information they seek about your nonprofit, whether that’s your mission statement, impact on beneficiaries, how to donate, or volunteer sign-up forms.

As a small nonprofit, you may have created a website but not had the bandwidth to flesh it out and optimize it fully. Or, you may not have dedicated marketing professionals on your staff, leading to confusion over how best to handle your website marketing efforts.

Whether you’re just setting up your website or wanting to improve your existing one, here are four best practices to implement on your website to effectively promote your nonprofit online.

1. Create all the important pages you need.

If you’re just starting your website, you might feel overwhelmed with how many pages you need to set up. However, it all boils down to the essential information that web visitors might want when they land on your website.

To meet those needs, start with these key pages:

  • About
  • Mission/Values
  • Donate
  • Volunteer

If you’ve already created these pages, start your website refresh with some spring cleaning. Look through your existing website and check that all your pages are updated and accurate. As nonprofits grow and change, their missions and audiences evolve, requiring adjustments to marketing materials like your website to ensure you deliver a consistent message to your supporters.

Later on, when your nonprofit has the time and resources, you can expand your website by adding other important pages like the ones below:

  • History
  • Our Team
  • Financials
  • Events/Calendar
  • Resources/Blog
  • Online Shop

Your cause may also impact the additional pages you should add or build. For example, a food bank might create a dedicated in-kind donation page listing all the specific food items they’re running low on and what they would like donated. Or, a nonprofit aquarium might have a page highlighting its standout exhibits and animals.

2. Make navigation simple and intuitive.

It’s not enough to simply create the pages web visitors are looking for—you must make it easy for supporters to explore those pages. To do that, prioritize simple and intuitive navigation that boosts the user experience. You can achieve that with the following strategies:

  • Keep menu structure simple: Limit the items in your navigation menu by only adding essential pages. Make sure that each page is labeled in an easy-to-understand and concise way.
  • Organize information logically: If your navigation menu has many items in it, you may benefit from grouping pages into subcategories to minimize the number of clicks needed to find information. For example, you might create a “Support” category for your donation, volunteer, and events pages.
  • Implement a sticky navigation bar: Ideally, web visitors should be able to access your menu on every page through a navigation header or footer. Take that principle a step further by adding a sticky navigation bar, which keeps your menu visible as users scroll down your pages.
  • Incorporate clear calls-to-action (CTAs): Encourage visitors to take the desired next action by adding clear CTAs in strategic areas of your site. Nonprofits usually add a large button-style CTA to their navigation bar leading to their donation page, but you can also add buttons to other pages in other relevant areas.
  • Add a search feature: At times, visitors may be looking for a page or piece of content that’s not readily available through your navigation headers. In those cases, having a dedicated search feature is extremely helpful and enhances the overall user experience.

Generally, the first few versions of any website, nonprofit or not, leave much to be desired. That’s completely normal—after all, when you first launch your website, you’re also busy with plenty of other responsibilities associated with starting a nonprofit.

Once your organization has achieved some stability and is ready to reinvent its website to supercharge its marketing potential, implement an accessible design and incorporate your nonprofit’s branding for better user experience and brand visibility.

3. Implement SEO best practices.

Part of what makes a website such a useful tool for nonprofit marketing is its ability to be discovered organically through search engines. However, you can’t rely on people Googling your nonprofit’s name to discover your website. Ideally, it should be discoverable through other relevant keywords.

That’s where search engine optimization (SEO) comes in. To ensure your nonprofit gets noticed online, leverage the following SEO best practices:

  • Use clean URLs: Short and concise URLs help search engine crawlers index your page and easily understand what it’s about, resulting in better search engine results.
  • Incorporate keywords naturally in content: Gone are the days of adding SEO keywords to web content as many times as possible. Now, search engines prioritize authoritative, comprehensive content. Create high-quality content with natural keyword incorporation to provide value to readers and signal to search engines what your content is about.
  • Add alt text to visual elements: Not only is this a great accessibility practice, but this also helps search engines understand what your visuals are about. Since search engines have dedicated image and video search sections, adding alt text enables your images and videos to show up for related queries.

Use analytics from Google Search Console and other SEO tools to assess whether your new practices are working. Taking a data-driven approach ensures that you know which changes are most impactful for your nonprofit’s visibility, allowing you to refine your SEO strategy for the future.

4. Create engaging content.

To maximize your nonprofit’s chances of leading web visitors to a desired action, you want visitors to stay on your site for as long as possible. Once your nonprofit can dedicate the time to do so, create a resource hub and blog and populate these pages with engaging content that captivates your audiences and keeps them on your site.

Here are a few tips for boosting engagement with content:

  • Create content regularly: When your community knows they can expect content from your organization regularly, they’ll be more likely to visit your site and see what new resources or insights you’ve posted. Increased interaction with your site may lead them to make a donation, sign up to volunteer, or register to attend one of your events.
  • Add visual elements: Visual elements help visitors digest your content by breaking up large blocks of text. Plus, they can be used to summarize key information. For example, if you publish a quick summary of your nonprofit’s annual impact report, you might also create an image that summarizes your key accomplishments.
  • Incorporate interactive content: Interactive content is generally more engaging to web visitors than content that they simply read or watch. Polls, quizzes, slideshows, social media feeds, and other elements can draw visitors’ attention and keep them on your website.

To ensure your content is truly engaging, ask yourself one core question: what would your audience be interested in? For instance, if you run a community church and you want to attract new congregants, you might highlight ministry games played at Sunday School, reflections on scripture, and practical guidance on how faith relates to daily life.

Depending on your audience, you can get creative or playful with your content. For example, the Atlanta Humane Society, an animal shelter that helps homeless animals find loving homes, posted a fun blog post from the perspective of a cat holding the website hostage.

Getting your nonprofit noticed through your website is only the first step to a robust marketing strategy. Afterward, focus on how your website delivers an experience that leads visitors to interact further with your mission and get involved in the long term. Then, consider how your marketing channels support donor retention to nurture relationships and build a base of loyal supporters who are passionate about your cause.

Carl Diesing is the Managing Director of DNL OmniMedia, which he co-founded in 2006, and has grown the team to accommodate clients with ongoing web development projects. Together, DNL OmniMedia has worked with over 100 organizations to assist them with accomplishing their online goals. As Managing Director of DNL OmniMedia, Carl works with nonprofits and their technology to foster fundraising, create awareness, cure disease, and solve social issues. Carl lives in the Hudson Valley with his wife Sarah and their two children, Charlie and Evelyn.


Why Your Nonprofit Needs to Make the Right Investments

Ann Green Communications, direct mail, donation page, donor engagement, donor retention, monthly donors, planning , , , , ,

With all the economic uncertainty right now, you may be worried about your nonprofit’s finances.

Maybe your giving has gone down and you’ve cut back on some expenses. While that’s understandable on one level, you need to be careful before you nix something you think you can’t afford. It may be something you should be investing in.

Instead of going on autopilot and saying “We can’t afford this,” think about how you can make the right investments. Stay away from the scarcity mindset. It’s often not helpful.

Here are a few areas you should invest more money in, even in a down economy. The good news is that if you do it well, these investments can help you raise more money.

Invest in a good CRM/database

Plain and simple, a good CRM (customer relationship management)/database can help you raise more money. You can segment your donors by giving amount and politely ask them to give a little more in your next appeal – $35 or $50 instead of $25. Many organizations don’t ask their donors to upgrade their gifts and you’re leaving money on the table when you don’t do this.

A good database can help you with retention, which will save you money since it costs less to keep donors than to acquire new ones. Donor retention continues to be a huge problem. Having a good database also helps with donor engagement.

Many CRMs have built-in payment processors. If not, invest in a good one. 

Your CRM will let you personalize your letters and email messages. Make sure to invest in a good email service provider, too. Personalized letters and messages mean you can address your donors by name and not Dear Friend. You can welcome new donors and thank current donors for their previous support. You can send targeted mailings to lapsed donors to try to woo them back. You can send special mailings to your monthly donors. You can record any personal information, such as conversations you had with a donor and their areas of interest.

In short, you can do a lot with a good CRM/database. Invest in the best one you can afford, and Excel is not a database.

If you’re worried about spending $50 to $100 a month on a CRM/database, you may be able to recoup that expense if you can ask for an upgrade and personalize your communication.

Invest in direct mail

You may not use direct mail that much. If that’s the case for you, you’re missing out on an effective and more personal way to communicate with your donors. Think of the enormous amount of email and social media posts you receive as opposed to postal mail. Your donors will be more likely to see your messages if you send them by mail.

Yes, direct mail is more expensive, but you don’t have to mail that often. Quality is more important than quantity, but aim for at least three or four times a year, and don’t just send fundraising appeals.

Give some thought to what you send. Some ideas, besides appeal letters, include thank you letters/cards; Thanksgiving, holiday, and/or Valentine’s Day cards; infographic postcards; two-to-four-page newsletters; and impact reports. You could put a donation envelope in your newsletter to raise some additional revenue, but do not put one in a thank you or holiday card. I wouldn’t recommend putting one in an impact report either, especially if you only do one a year.

Shorter is better. Lengthy communication will cost more and your donors are less likely to read it. 

A few ways you can use direct mail without breaking your budget are to clean up your mailing lists to avoid costly duplicate mailings, spread thank you mailings throughout the year – perhaps sending something to a small number of donors each month, and look into special nonprofit mailing rates. You may also be able to get print materials done pro bono or do them in-house, as long as they look professional.

Of course, you can use email, but your primary reason for communicating that way shouldn’t be because it’s cheaper. Both direct mail and email have their place, but in many cases, direct mail is more effective. They also work well when you use them together.

Invest in monthly giving

If you don’t have a robust monthly giving program, you’re missing out on a great way to raise more money. Monthly giving is one of the few types of fundraising that has increased over the last few years. It’s good for all nonprofit organizations, but it’s especially beneficial for small nonprofits.

Monthly giving will provide you with a steady stream of revenue throughout the year. This is important during this time of economic uncertainty and funding cuts. It can also be a more feasible option for donors if they can spread out their gifts over the year.

All it takes is for someone to start giving $5.00 or $10.00 a month (hopefully more). These small gifts add up. Also, the retention rate for monthly donors is around 90%. Plus, they’re more likely to become mid-level, major, and legacy donors.

This is why having a good CRM is so important. It will help you find potential monthly donors and segment your current monthly donors so you can send them specialized donor communications. 

Don’t wait any longer to invest in this proven way to raise more money. If you already have a strong monthly giving program (kudos to you), take the next step and invest in mid-level donors and so on.

Invest in donor communications

By donor communications I mean thank you letters/notes, newsletters, and other updates. Some organizations don’t prioritize these and want to spend their time “raising money.” They don’t seem to realize they can raise more money with better donor communications. Remember this formula – ask, thank, report, repeat.

Don’t skimp on your communications budget. Creating thank you cards and infographic postcards is a good investment and a necessity, not a luxury. Thank you cards are a much better investment than mailing labels and other useless swag.

Maybe you need to reallocate your budget to cover some of these expenses. You could also look into additional sources of unrestricted funding. 

Of course, you can also use email and social media to communicate with donors. This reiterates the need for a good email service provider with professional looking templates for your email newsletter and other updates.

Invest in infrastrucure

We need to stop treating overhead or infrastructure as something negative. Most individual donors don’t care about overhead, anyway. However, some funders want us to spend our budget on programs, but how can we successfully run our programs if we don’t have enough staff and can barely afford to pay the people we do have? A rotating door of development staff makes it hard to maintain those important relationships. We also have to pay rent and other expenses (including a CRM, direct mail communication, etc.).

Until these funders stop worrying so much about overhead, you may want to invest some time in finding unrestricted funding sources – often those important individual gifts, such as monthly donations and mid-level/major gifts. Plus, weaning yourself off grant funding isn’t a bad idea.

Don’t limit yourself by saying you can’t afford certain expenses. If you make the right investments, you should be able to raise more money.

It’s Time to Say Goodbye to Boring Nonprofit Newsletters

Ann Green Communications, direct mail, donor engagement, donor relations, donor retention, donor-centered, email, newsletter, writing , , , , , , ,

In an ideal world, a newsletter can be a great way to engage with your donors. In the real world, that doesn’t often happen because most donor newsletters can be used as a cure for insomnia. They’re too long and filled with boring articles that brag about how wonderful the organization is.

A newsletter is a vital part of the ask, thank report, repeat formula and you can’t just go on autopilot. The good news is that it’s possible to create a better, engaging newsletter your donors will want to read and won’t put them to sleep. Here’s what you need to do.

Think about what your donors want

You need to include content that will interest your donors. Do you think your donors would rather read an article about your CEO receiving an award or one about Tina, a single mother who is having trouble making ends meet but is grateful because, thanks to your generous donors, she can get healthy food for her family at the Westside Community food pantry? 

The answer should be obvious. Your donors want to hear about how they’re helping you make a difference for your clients/community. Before choosing content, think carefully about whether or not your donors would be interested in it. 

If you’re a larger organization, you could create different newsletters for different programs or one specifically for monthly donors.

You need a print newsletter

You may opt not to do a print newsletter because it’s more expensive and takes too much time, but you’re making a mistake if many of your donors prefer print.

I think you’ll have more success if you can do both print and email newsletters. I recommend a short email newsletter once or twice a month and one to four print newsletters a year.

Donors are more likely to see any communication that comes in the mail, as opposed to the enormous volume of email most of us get.

Follow the Domain Formula, which was developed by the Domain fundraising group. A couple of things they recommend are sending your print newsletter only to donors and putting it in an envelope, not sending it as a self-mailer.

They also recommend putting a donation envelope in your print newsletter. This is a proven way to raise additional revenue and you may be able to recoup your expenses. Print newsletters are a great way to boost your retention rate, too.

You can also save money by creating a shorter print newsletter (maybe two pages instead of four) or only mailing it once or twice a year. You can print them in-house, as long as it looks professional.

Be sure you have a clean mailing list. If you can get rid of duplicate and undeliverable addresses, that’s another way to save a little money.

Remember, donors are more likely to read a print newsletter. But ask them what they like, and listen to what they say. If a majority of them prefer print, then you need to find a way to accommodate them.

Give some thought to your email newsletter

Your print and email newsletters are separate entities. Therefore, you shouldn’t email people a PDF of your print newsletter. Use an email service provider and a newsletter template to create the best experience for your readers.

Send your email newsletter to anyone who signed up for it and only to people who signed up to receive it. This can be both donors and non-donors. It could be a good cultivation tool for future donors. Give people ample opportunities to sign up for your e-newsletter, but understand that not everyone will want to receive it.

Use an engaging subject line (something like Learn how you’re helping families find a home of their own and not April newsletter) so you can stand out in your donor’s inbox. And be sure people can read it on a mobile device. Get a little creative with your e-newsletter by including a short poll or quiz.

Share your stories

Stories are the most important part of a nonprofit newsletter (print and email). Each newsletter needs to begin with a compelling story. If you’re making a difference, you have stories to tell.

Client stories are best, but you could also do profiles of volunteers, board members, and donors. Focus on what drew them to your mission (more on that below).

Create a story bank that includes at least four client stories to use every year.

Don’t stray from your mission

A common article I see in many nonprofit newsletters is one about a foundation or major donor giving a large gift. This may be accompanied by a picture of someone holding a giant check. Of course, you should recognize these donors (and all donors), but why is this gift important? How will it help your clients/community?

For example – This generous $50,000 grant from the Westside Community Foundation will help us serve more students in our tutoring program. Many students fell behind during remote learning and are still struggling to catch up.

Something else I see a lot is a profile of a new board member. Instead of focusing so much on their professional background, let your donors know what drew them to your organization. We welcome Kathy Stevens, Vice President of First National Bank, to our board. Kathy has a brother with autism and is very passionate about finding ways for people with autism to live independent lives. 

Write to your donors

Write your newsletter in the second person, emphasizing you much more than we. Be personal and conversational. Say – You helped Tina feed her family or Because of donors like you, X number of families have been able to get healthy food every week. This is important because so many families are struggling to make ends meet right now.

Leave out jargon and other language your donors won’t understand. Write as if you’re having a conversation with a friend.

I’m not a fan of the letter from the CEO because those tend to be organization-centered instead of donor-centered. If you feel you must include one of these, be sure to thank your donors. And if you’re mailing your newsletter in an envelope (recommended), do a separate letter and don’t make it part of your newsletter. 

Pour on the appreciation

Never miss an opportunity to thank your donors. You couldn’t do your work without them. Every one of your newsletters needs to show gratitude and emphasize how much you appreciate your donors.

Make it easy to read (and scan)

Most of your donors aren’t going to read your newsletter word for word, especially your e-newsletter. Include enticing headlines and email subject lines (if you don’t, your donors may not read it at all), at least a 12-point font, and lots of white space so your donors can easily scan your newsletter.

Stick to black type on a white background as much as possible. Colors are pretty, but not if they’re hindering your donor’s ability to read your newsletter. Photos can be a great way to add some color, as well as tell a story in an instant.

Use the inverted pyramid and put the most important story first (client story or profile), keeping in mind that your donors may not get to all the articles.

Short and sweet

Your print newsletter should be no more than four pages. Limit your monthly email newsletter to three articles. Some organizations send an e-newsletter twice a month. Those should be even shorter – maybe just two articles. There’s a lot going on right now and people don’t want to be bombarded with too much information.

Shorter, more frequent updates are often better.

Other ways to update your donors

For some of you, putting together a newsletter may be too much to take on. You don’t have to do an actual newsletter, but you do need to keep your donors updated.

Do what you can, but be sure to update your donors at least once a month. You may find you have more success with shorter, more frequent email updates and postcards with an infographic a few times a year. You could also send a Donor Care Letter. 

Take time to create a great newsletter that will engage your donors and not bore them.

Why It’s Important to Pay Attention to Your Donor Retention Right Now

Ann Green Communications, database, donor engagement, donor relations, donor retention, gratitude, planning , , , , , ,

Donor retention is a perennial problem for nonprofit organizations. Many organizations spend a lot of time and energy on acquiring donors, concentrating more on volume, and don’t seem concerned that they’re churning through different donors year after year.

Another perennial problem is uncertainty and disruption in our world. Right now we’re dealing with cuts in federal funding, tariffs, a plunging stock market, etc, which are creating constant chaos for us. Both your nonprofit and your donors may be feeling financially strained.

Acquiring new donors is more expensive than keeping the ones you already have, so it’s important for you to keep track of your retention rate. You don’t want to lose your donors right now. Granted some may not be able to give at the moment, but just as we saw during the pandemic, many will step up and continue to support you.

There are also reasons donors don’t give again that aren’t financial. Many of these you can control. Maybe you’re losing donors because you’re either not communicating enough or communicating poorly. Fortunately, this is something you can fix, but you need to give it your full attention.

Pay attention to your donor relationships

One of the most important components of fundraising is building relationships with your donors. 

Donor relations should be easier than raising money and it can be fun, too. Make it a priority, as well as something you do throughout the year.

Follow the ask, thank, report, repeat formula and give more attention to thanking and reporting. Your donors are not ATMs. They were drawn to your organization because they felt a connection to your work. They want to feel appreciated and hear how they’re helping you make a difference for your clients/community.

If you don’t pay attention to building relationships, your donors are less likely to give again.

Pay attention to your first-time donors

The retention rate for first-time donors is around 20%. Obviously, we can do better.

If you can get your first-time donors to give again, it’s much more likely they’ll keep giving. That second donation is known as the golden donation. This is why it’s important to engage with your new donors and I hope you’ve done that with your most recent new year-end donors. 

Create a welcome plan that includes a series of messages for new donors. Recruit board members to make thank you phone calls. This is a proven strategy that results in donors giving again.

Let these donors know how much you appreciate this new relationship. If you don’t, it’s likely to be a short relationship. 

But don’t stop there, you also want to acknowledge your longer-term donors and make them feel special.

Pay attention to your lapsed donors

A lapsed donor is someone who hasn’t donated for at least a year. Make a plan to reach out to some of these donors and invite them to give again. Also, ask why they haven’t given. Maybe they forgot. Maybe they can’t afford to give right now. Maybe they were never thanked.

If a donor can’t afford to give right now, stay engaged with them. Hopefully, they’ll give again in the future. Also, some donors may choose to cut back on their giving. Don’t let them choose between an organization that does a great job of thanking them and sending engaging updates and the one that just sends a bunch of boring, generic appeals.

Donor engagement is so important. According to fundraising expert Penelope Burk, 93% of donors are more likely to give again when they feel appreciated and the organization lets them know the impact of their gifts.

Pay attention to growing your monthly giving program

I’m a big fan of monthly giving. Monthly donors have a much higher retention rate – around 90%. Getting more monthly donors is one way to raise your overall retention rate. It’s a great option for donors who are feeling financially strained, because it allows them to spread out their gifts over the year. Monthly donors are also more likely to give an additional donation.

Reach out to your single gift donors who have given at least twice and ask them to join your family of monthly donors. You can also invite donors to give monthly in your welcome package.

Pay attention to your donor communication 

Do you barrage donors with appeals and then go silent for a while? 

Ideally, you want to reach out somewhere between once a week and once a month. And not just with appeals. You need to thank donors and share updates. Remember the ask, thank, report, repeat formula. This is crucial for good donor retention. 

Try to reach out by mail at least a few times a year. It’s more personal and your donors are more likely to see your messages. It doesn’t have to be anything elaborate. A handwritten thank you card or a postcard infographic can be a quick, but effective, way to engage. 

Put together a communications calendar to help you with this. 

You also want to focus on quality. Just because you send thank you letters and newsletters, doesn’t mean you’re actually engaging with your donors. Write a heartfelt, personal thank you and create a newsletter and other updates with content they’ll be interested in.

I know a lot is going on right now, but your donors want to hear about your success and challenges.

Pay attention to your donor data

Something else that will help you with donor retention is to invest in a good CRM/database. This will let you segment donors and personalize their communication. Then you can send targeted communication to new donors, long-time donors, lapsed donors, potential donors, etc. Invest in the best database you can afford. It should pay off.

You may think that paying attention to your donor retention sounds like a lot of work. Well, so is finding new donors. In this current climate of uncertainty, it’s important to pay attention to your donor retention so you don’t lose the donors you already have.

Go All In on Monthly Giving

Ann Green donation page, donor engagement, donor retention, fundraising, gratitude, monthly donors, planning , , , , ,

Monthly giving is one of the few types of fundraising that does well. If your organization doesn’t have a monthly/recurring giving program or it’s fairly small, why is that?

Whether you’re a big or a smaller organization or your fundraising went well last year or it didn’t, monthly giving makes so much sense (or cents).

In this post, I’ll tell you why monthly giving is important for your nonprofit, how to start or grow your program, and how to nurture it going forward. 

In short, you need to go all in on monthly giving.

Monthly giving helps you raise more money

Monthly or recurring donations can help donors spread out their gifts and it’s easier on their bank accounts. They might be apprehensive about giving a one-time gift of $50 or $100. But if you offer them the option of giving $5 or $10 a month, that may sound more reasonable. 

It can also give you a consistent stream of revenue throughout the year instead of at certain times, such as when you do individual appeals and events and when grants come in.

Monthly gifts are smaller, but you can raise a lot of money with lots of small donations. Political candidates do it all the time. Also, monthly gifts aren’t as small as you think. The average is around $25 a month.

It can also be a more feasible way to get larger gifts. A gift of $100 a month may be more appealing to a donor than giving a large sum all at once. Even if they start with a smaller donation, monthly donors are more likely to become mid-level, major, and legacy donors.

It raises your retention rate, too

The retention rate for monthly donors is around 90%. That’s significantly higher than other retention rates. 

One reason is that monthly gifts are ongoing. But your donors have agreed to that, so this shows they’re committed to your organization. 

Monthly donors are long-term donors and long-term donors should always be one of your priorities.

How to get started

If you don’t already have a monthly giving program, make this the year you start one. Remember, it will help you raise more money and shouldn’t be too hard to set up.

A good way to start is to invite your current donors to become monthly donors. Your best bet for monthly donors are people who’ve given at least twice. These are donors who have shown a commitment to you.

That doesn’t mean you can’t ask first-time donors. This could be a good way to connect with donors from your most recent campaign. And if you haven’t officially welcomed your new year-end donors, do that now. Create a series of welcome messages and conclude it by inviting people to become monthly donors.

You could create testimonials from current monthly donors to entice future monthly donors.

If you’re having trouble getting donors to commit to monthly giving, maybe you need to do a better job of thanking and updating them.

Make monthly giving your go-to option

Put monthly giving front and center in all your campaigns. It should be an easy option on your donation page. Include it on your pledge form and make it a prominent part of your appeal letter.

I can speak from personal experience that once I started giving monthly, that’s the way I wanted to give to all organizations. Your donors would probably agree. Each year I’m happy to see that more organizations are going all in on monthly giving.

Organizations that don’t offer a monthly giving option are making a mistake. Some have a minimum donation, which I would also not recommend, if possible. If you do have a minimum, make it $5 a month instead of $10. 

If your reason for having a minimum donation amount is to save money on your expenses, is that happening if your minimum deters someone from giving at all? You often have to invest a little to raise more money. And you should raise more money with a monthly giving program.

Make your monthly donors feel special

You need to do a good job of thanking your monthly donors. Start by segmenting your monthly donors into new monthly donors, current monthly donors, and current donors who become monthly donors.

This way you can personalize their thank you letters to make them feel special. Be sure to mail a thank you letter, or even better, send a handwritten note. An email acknowledgment is not enough.

Many organizations send a monthly acknowledgment email or letter, and most are just okay. Some are basically only receipts, and as I’ve mentioned many times in the past, your thank yous need to be more than a receipt. Yes, it’s helpful to know the organization received your donation, but you’re not practicing good donor stewardship if that’s all you do.

You could spruce up these monthly acknowledgments, both by making them sound like they were written by a human and not a robot or AI, and by providing some engaging updates.

You can include a list of your monthly donors in a newsletter, impact report, or on your website. Donor lists are just one of many ways to show appreciation and not the only one, so do much more than just that. Of course, honor any donor’s wish to remain anonymous.

One thing you should do is send your donors an annual summary of their monthly gifts. This is extremely helpful for people who itemize tax deductions. Make this letter more than just a receipt and use this opportunity to connect with your donors. Pour on the appreciation and let them know how their monthly donations are helping you make a difference. If you send one by mail, go one step further with a Thank You teaser on the outer envelope.

Reach out at least once a month

Your monthly donors made a commitment to you by giving every month. Make the same commitment to them by reaching out at least once a month.

You could create a special newsletter for monthly donors or include a cover letter referencing monthly donors. If that’s too much, you could give a shout out to your monthly donors and include information on how to become a monthly donor in your newsletter.

A thank you video is a great way to connect. Consider personalizing it, if you can. You could also provide other video content, such as a virtual tour, for your monthly donors.

Thank yous, newsletters, and updates are not a one-and-done situation. Keep it up throughout the year. Many nonprofits start out communicating regularly with their monthly donors and then disappear after a couple of months. Always make a point to stay in touch with your donors.

Create a special section in your communications calendar specifically for monthly donors to help you with this.

Go the extra mile for your monthly donors

I highly recommend a contact person for your monthly donors in case they need to update their credit card information or make a change to their gift, hopefully an upgrade. Include this information in their welcome letter or email. If you send a monthly acknowledgment email, be sure to include a link where your donor can make changes. 

If you change your payment processor, make it easy for donors to transfer their information. For one organization I give to, all I had to do was click on a link they provided and presto…..

Another way to help your monthly donors is to let them know when their credit cards are about to expire. Don’t rely on your donors to remember this, because most likely they won’t. You also don’t want to miss out on any revenue. Remember, small donations add up.

If your payment processor doesn’t automatically update credit cards, set up a system where you can flag cards that will expire in the next month or two. Then send these donors a friendly reminder email/letter or give them a call. 

When my monthly giving credit card expired a few years ago, only a couple of nonprofits contacted me before the expiration date. Of course, a few slipped through the cracks and I didn’t hear from these organizations until after the donations didn’t go through. There were also a few instances when I checked my credit card statement and realized the donations weren’t getting charged. Remember to take the lead on this and pay attention, or once again, you’ll miss out on receiving this important revenue.

You could encourage donors to give via an electronic funds transfer from their bank account instead. Then neither you nor your donors need to worry about expiring credit cards.

Once a monthly donor, always a monthly donor

Once someone becomes a monthly donor, you must always recognize them as such. You most certainly should send fundraising appeals to monthly donors, but not the same ones you send to other donors.

You can ask your monthly donors for an additional gift during one of your fundraising campaigns, but you MUST recognize they’re monthly donors. For example – We really appreciate your gift of $10 a month. Could you help us out a little more right now with an additional gift? People in our community are having a hard time paying their heating bills.

You can also ask your monthly donors to upgrade their gifts after a year or so. Be as specific as possible – We’re so happy you’re part of our family of monthly donors and are grateful for your gift of $5.00 a month. Many families are having trouble making ends meet and we’re serving more people at the Eastside Community Food Pantry right now. Could you help us out a little more with a gift of $7.00 or even $10.00 a month?

If you send the usual generic appeal, imagine your donor saying – “I already give you $10 a month and you don’t seem to know that.”

But if you let those committed monthly donors know you think they’re special, they’ll be more likely to upgrade or give an additional gift. Many monthly donors have stepped up and given additional donations over the last few years. That’s what you want. And, if they do give an additional donation, be sure to thank them for that. Here’s the opening from a great thank you card I received – “How generous of you to make a gift that goes above and beyond your monthly donations.“

Be sure to invest in this proven way to raise more money, boost donor retention rates, and provide an easier giving option for your donors. 

Need more inspiration, get some ideas here.

How Are You Building Relationships With Your Donors?

Ann Green Communications, donor engagement, donor relations, donor retention, donor-centered, gratitude , , , , ,

Why does making a donation often feel like a transaction? Organizations get so caught up in the raising money part that they forget about building relationships with their donors.

Giving Tuesday is the worst example of this, with Year End close behind. Generally, it happens way too often.

Remember this – Building relationships is just as important as raising money. 

The concept of relationship fundraising has been around for a while, even though it’s not always implemented. Many nonprofits seem to focus too much on meeting their revenue goals, which of course is important.

That said, it’s hard to keep raising money if you don’t build a good relationship with your donors. The two go together. Every single interaction with your donors needs to focus on building relationships. That includes fundraising appeals. It’s possible to raise money and build relationships at the same time.

Follow this formula – ask, thank, update, repeat. Thanking and updating should naturally evolve into building relationships, although that doesn’t always happen.

If your giving is declining, you should have more success if you can move away from transactional fundraising and focus on building relationships. Here are some ways to do that.

Stop using transactional language

First, the word transaction should not appear anywhere in your fundraising. Sometimes I see the words “Transaction complete” after I make an online donation. That’s not giving me a nice, warm, fuzzy feeling at all. I made a gift, not a transaction.

Even more prevalent is the word receipt, which is often used instead of thank you. After a donor makes a gift they should feel appreciated. 

An email subject line is one of your first chances to connect with your donor. How would you feel if this is what you saw? 

“Your recurring donation has been processed”

“Donation tax receipt”

“Transaction Receipt from…… for $…”

This again emphasizes the transaction. Payment information should not be the lead of any type of thank you. Where are the words thank you?

It’s not easy to find good thank you email subject lines. Here are some that stand out.

“Thank You For Helping Globe Santa Deliver Joy This Holiday Season”

“Thank You for Spreading Holiday Cheer!”

“Thank you for investing in Peace!”

“Thank you for supporting Malala Fund, Ann”

“Your monthly gift in action” 

The last subject line leads into an email message that emphasizes how the donor is helping that organization make a difference, which is a good example of building relationships.

Make a point to change your thank you email subject lines so they include these very important words – Thank You.

When organizations lead their fundraising appeals by saying “It’s our year-end appeal” or “It’s GivingTuesday,” they’re not connecting with their donors by concentrating on why donors give. 

Many donors don’t care that it’s your year-end appeal. They care about your work and want to help. Instead, say something like – How you can help families in the community put food on the table. 

Make relationship building part of your fundraising campaigns

You need to build relationships before, during, and after each of your fundraising campaigns. Keep this in mind – Your Fundraising IS Your Relationship.

Before your next appeal, send your donors an update to let them know how they’re helping you make a difference. This is especially important if you do more than one fundraising campaign a year. You don’t want your donors to think the only time they hear from you is when you’re asking for money.

Segment your donors

One way to help ensure you’re focusing on relationships is to segment your donors and personalize your appeal letters and other types of donor communication. 

Don’t send the same appeal to everyone on your mailing list. What is your relationship with these individuals? Maybe they’ve given once or many times. Perhaps they’re event attendees, volunteers, e-newsletter subscribers, or friends of board members. Mention your relationship in your appeal letter. For example, thank a long-time donor for supporting you for the last five years.

Monthly donors get their own appeal letter. This doesn’t happen enough and it’s one of my biggest pet peeves. Build relationships with these committed donors. Recognize they’re monthly donors and either invite them to upgrade their gift or give an additional donation.

Let your donors know how much you appreciate them

Your focus on building relationships continues when you thank your donors. Many organizations do a poor job of this. Send a handwritten note or make a phone call, if you can.

Welcome your new donors. Let them know how much you appreciate this new relationship. If you don’t, it’s likely to be a short relationship.

Be sure to also shower your current donors with appreciation so you can keep your relationship going. Recognize the value of your long-time donors and do something special for people who have supported you for several years. 

Make sure your donors get a heartfelt thank you, not something that resembles a receipt.

Thanking donors is something you can do at any time of the year. I think one of the best ways to connect is by sending a handwritten card. These cards can be generated electronically, if it’s not feasible to write them. This will make more sense for large organizations. I recently received a nice card thanking me for giving a year-end gift in addition to my monthly donations. It makes a difference if you can connect in a more personal way.

Holiday cards are also a good way to reach out, but don’t put a donation envelope in one. You have other opportunities to make appeals. Make it 100% about showing appreciation.

You can send thank you cards at other times of the year, too. If money is tight, spread out your mailings over the year so each donor gets at least one thank you card.

Don’t miss out on opportunities to build relationships

There are many ways you can build relationships with your donors throughout the year. 

You can give donors other opportunities to connect, such as volunteering, participating in advocacy alerts, signing up for your email mailing list, and following you on social media. You could also offer tours of your organization (either in person or create a video tour).

Newsletters and impact reports that focus too much on the organization are the equivalent of being at a party where someone just talks about himself and you may as well not even be there. If you do it well, a newsletter, impact report, or another form of an update can be a good relationship-building tool.

I’m amazed that after I attend an event, support someone in a walkathon, or give a memorial gift, most organizations don’t do a good job of building a relationship. I could be a potential long-time donor. Personally, I would never give a memorial gift or support someone in a charity walk if I didn’t believe in that organization’s cause. Don’t miss out on a potential opportunity to build longer-term relationships.

It takes time to build relationships, which is why you need to include donor engagement and stewardship as part of your fundraising strategy. Organizations with strong major giving and legacy programs see more success, but these initiatives don’t happen without good donor relationships.

Hold a relationship-building day

My main objection to giving days, such as GivingTuesday, is they focus so much on asking. What if we put all the time and energy we focus on giving days into a relationship-building day?

I’m not saying you can’t participate in giving days, but instead of the relentless begging, follow the formula above and build relationships before, during, and after your campaign.

Of course, you could choose not to participate in a giving day and have an all-out relationship-building day instead.

Build relationships all year round

It’s easier to stay focused on your donors when you’re sending an appeal or thank you, but this is just the beginning. Many organizations go on communication hiatus at certain times of the year and that’s a huge mistake. Ideally, you should keep in touch with your donors every one to two weeks, once a month at the most.

Always stay focused on relationships. Good relationships with your donors will help you raise more money and keep your donors for a long time.

How to Make 2025 a Successful Year for Your Nonprofit

Ann Green Communications, donor engagement, donor relations, donor retention, donor-centered, gratitude, monthly donors, planning , , , , , ,

Happy New Year! It’s hard to believe it’s already 2025. I hope 2024 was a successful year for your nonprofit organization. If it wasn’t, you can work to make 2025 a better year. And if you were successful, you want that to continue.

Many individuals make New Year’s resolutions and set goals. Your nonprofit should do the same. As with personal resolutions, you want your goals to be realistic and attainable. If you’re a small organization, you may not have much luck pulling off a huge gala.

Here are a few ways to help you ensure a more successful year.

Have a plan in place

You must have fundraising and communications/marketing plans. If you haven’t put together these plans yet, do that now! Go one step further and create a fundraising calendar, as well. 

Your plans need to be specific, too. I know you want to raise more money and hopefully improve your donor engagement, but how will you do that?

You know from past experience that you may need to make changes to your plans. In 2020, organizations that were able to make changes to a plan already in place were most successful.

Take a look back at 2024 to see what worked and what didn’t in your fundraising and communications/marketing. Incorporate what you’ve learned into your 2025 plans. 

Be sure your fundraising plan includes a diverse stream of revenue. Individual giving has proven to be successful. A lot of small donations can add up! Start or grow your monthly giving program (more on that below). Also, look into mid-level, major, and legacy giving. 

You can apply for grants and hold events, but those sometimes require more effort than it’s worth. Invest in strategies that make sense for your organization.

Revisit your fundraising and communications/marketing plans regularly and make changes as needed. Do this at least every two to three months.

Make sure that donor relations and donor retention are part of your fundraising plan. Those are key to your success.

Pay attention to your donor retention

Donor retention continues to be a problem when it should be a priority. You’ll have more success if you work to keep the donors you already have instead of focusing on getting new ones.

First, if you don’t already know it, figure out your retention rate. Do this after every fundraising campaign.

If it’s low, you can fix it, usually with better communication. It’s easier and less expensive to keep your current donors than to find new ones so once again, make donor retention a priority.

That said, you may have some new donors who saw a need and felt a connection to your cause. Don’t let these donors slip away either. 

Your goal should be to have donors who support you for a long time.

Go all in on monthly giving

I’m a huge fan of monthly giving and think every nonprofit needs to go all in on it.

Why? First, the retention rate for monthly donors is around 90%. These donors are committed to your nonprofit. 

Organizations that have monthly giving programs receive a steady stream of revenue throughout the year. Donors who opt for monthly giving find it’s easier on their finances. Even gifts of $5.00 or $10.00 a month can make a difference for your organization. Dedicated monthly donors also step up and give additional donations.

It’s doable for organizations of all sizes, especially small ones. Work on starting or growing your monthly giving program so you can have a bunch of highly committed donors. A good way to start is to invite your current donors to become monthly donors.

Monthly donors are also potential mid-level, major, and legacy donors. Remember the importance of individual giving.

Do a better job of communicating with your donors 

There are many ways to do a better job of communicating with your donors. Start by making this the year you say goodbye to boring, generic communication. Stop using jargon, such as at-risk and underserved. Tell more stories and go easy on the statistics. It makes a difference if you can put things in human terms so you can do a better job of connecting with your donors.

Better communication also means more frequent communication. Donors want to feel appreciated and know how they are helping you make a difference. Be sure to implement the ask, thank, report, repeat formula. 

You want to segment and personalize your communication, too. Address your donors by name (not Dear Friend) and recognize their past giving or if they’re a monthly donor.

Better, more frequent communication will help you raise more money. Having a communications calendar will help you with this. 

Work on building relationships

You may think the most important component of fundraising is raising money. While that’s important, so is building relationships with your donors. 

It’s hard to raise money year after year if you don’t build a good relationship with your donors. Every single interaction with your donors needs to focus on building relationships. That includes fundraising appeals. It’s possible to raise money and build relationships at the same time. 

Stop thinking of the donations you receive as a transaction and instead think of them as the start or continuation of a relationship. 

Good relationships with your donors will help you with retention.

Create an attitude of gratitude

A big part of building relationships is showing gratitude to your donors. Many nonprofits do a poor job of this. 

You need to start by sending a heartfelt thank you immediately after you receive a donation and then find ways to thank your donors throughout the year. Put together a thank you plan to help you with this.

Start the New Year off by making fundraising and communications/marketing plans, if you haven’t already done so. Prioritize donor retention, monthly giving, showing gratitude, and building relationships with your donors. This will help bring you more success in 2025.

How Will You Welcome Your New Donors?

Ann Green Communications, donor engagement, donor relations, donor retention, donor-centered, planning , , , , ,

Year-end fundraising is in full swing. I hope your campaign is going well so far. Perhaps you also participated in Giving Tuesday. The latter often brings in new donors, which you never want to take for granted. 

These donors saw a need and found a connection to your cause. Or maybe they were drawn into whatever Giving Tuesday promotion you initiated, but I like to think they wanted to help you make a difference. 

You may have or will see an increase in donations because of the recent U.S. election. For example, if you work with immigrants or other populations that will be affected by the incoming administration. These donors are sometimes referred to as rage donors.  If that’s the case for you, these are donors who feel passionate about your cause and you don’t want to lose them.

Unfortunately, many of your new donors won’t stick with you. The retention rate for first-time donors is around 20%. We can and must do better.

This is why it’s so important to get a second donation, also known as a golden donation. Once you get that golden donation, you’re more likely to have long-time donors who will keep giving. One way to ensure this is to make your new donors feel welcome.

Start with a special thank you

According to fundraising expert, Dr. Adrian Sargeant, “The thank you is the single most important piece of communication that your donors get. They have a higher recall of it than the appeal that generated the gift.”

Keep that in mind, especially for your new donors.

If someone donates online, it’s hard to tailor the thank you email specifically to new donors. But you can do that with a phone call, handwritten note, or thank you letter.

Try to call your new donors or send a handwritten note. This will make a great impression on them. Get together a group of board members, other volunteers, and staff to help you. If that’s not possible, create a thank you letter specifically for your new donors.

*Make sure these are brand new donors. A good CRM/database will help you avoid any missteps.*

Create a welcome plan

A week or two after the initial thank you, send a welcome package. You can do this by mail, email, or a combination of both. Try to send at least one welcome message by mail. Mail is always more personal and your donors will be more likely to see it.

Welcome your new donors. Thank them again and show them other ways they can connect with you. Invite them to subscribe to your newsletter, join you on social media, and volunteer.

Your welcome package should include a warm introductory message and a few facts about your organization, but don’t brag too much. Keep it donor-centered and be personable. You could also direct people to your website for more information about your nonprofit.

Be careful about how much information you send. Donors want to feel welcome, not overwhelmed.

I don’t recommend sending unsolicited swag. Personally, I don’t like it, but some donors might. You could offer your new donors a gift and they can let you know if they want to receive it, but it’s not necessary. What donors really want from you is to know how they’re helping you make a difference.

Create a series of messages, also known as a drip campaign. Set a timeline. The first sequence of messages can be sent about once a week. After that, you should continue to communicate regularly (at least once a month) and follow the ask, thank, update, repeat formula. In a few months, you could invite your new donors to give monthly. Monthly donors are committed donors.

Welcome emails have high open rates. Impress your new donors right away, so they’ll be more likely to donate again.

Who are your new donors?

They could be event attendees, volunteers, or newsletter subscribers. If you know, refer to that in your thank you note, letter, or phone call. If not, send a short survey with your welcome package and ask, “How did you hear about us?” or “What drew you to our organization?” 

Another question to ask is whether your donors prefer print or electronic communication. Short surveys are also a good way to connect throughout the year. The more you know about your donors the easier it will be to communicate with them.

Make your current donors feel special, too

While I’ve been focusing on new donors in this post, retention rates for current donors aren’t anything to celebrate. The overall donor retention rate is around 45%, so we have some work to do.

Remember the golden donation, but don’t stop there. You want a third (would that be platinum?) and a fourth, etc. donation.  

If you’re not acknowledging a donor’s past support, you’re making a huge mistake. Imagine how you would feel if you gave to an organization for over five years and they never thank you for your long-time support.  Unfortunately, this happens way too often.

These valuable, long-time donors could leave at any time, so ignore them at your own peril. Make sure they also get a special thank you from you.

Keep it up throughout the year

It’s so important to communicate with your donors regularly. Plan on special mailings or emails specifically targeted to new donors. Remember to try to send something by mail if you can. A better use of your print and mailing budget is to send thank you notes instead of swag.

Think of other ways to do something special for your new donors too, such as an open house or a tour of your facility, either in person or virtual.

Of course, don’t ignore your other donors. You could do something special when you get that all-important second gift. Keep reaching out – at least once or twice a month. 

Show appreciation and share updates. A huge factor in donor retention is a good donor relations plan that you’ll carry out regularly as long as your donors support you, which hopefully will be for many years.