Give Your Monthly Donors the Attention and Recognition They Deserve

245744537_9b2401b807_mMonthly donors are special because they’ve committed to donating to nonprofits long-term. Retention rates for monthly donors are 90%, which is considerably better than retention rates for other types of donors.

You’d think because of this, organizations would be jumping for joy and giving these donors extra special attention. But you would be wrong. While some organizations do recognize their monthly donors, unfortunately, many do not.

This post will show you how you can give your monthly donors the attention and recognition they deserve. If you don’t have much of a monthly giving program or want to start one, here’s more information on that.

Incorporating Monthly Giving Into Your Fundraising

Welcome your new monthly donors

When someone becomes a monthly donor, whether they’re a first-time donor or have upgraded from a single-gift donor, welcome them into your family of monthly donors.

Be accommodating

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.

Speaking of letters, tax season is upon us (oh joy), and several organizations have sent me a summary of my monthly donations. This is extremely helpful for people who itemize deductions. Make this letter more than just a receipt. Thank your donors and let them know how their monthly donations are helping you make a difference (more on that later).

Another way to help out 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. I’m dreading the day I have to update my credit card information. Most likely I will miss some organizations. This will help you, as well, so you can keep receiving a steady stream of donations.

Make your thank yous more than just okay

When you send your initial thank you letter, you MUST recognize the recipient as a monthly donor.

Many organizations send a monthly acknowledgment email or letter, and I would say most are just okay. Some are basically only receipts. And while it’s helpful to know the organization received your donation, you’re not practicing good stewardship if that’s all you do.

You could spruce up these monthly acknowledgments, both by not making them sound like they were written by a robot and by providing some donor-centered updates.

One recommendation I have is to make sure every monthly donor gets at least one handwritten thank you note a year. You don’t have to write much but you will make a good impression.

Reach out at least once a month

Besides showing #donorlove, here are some other ways to reach out to your monthly donors.

Create a special newsletter for monthly donors or include a cover letter referencing monthly donors. I’m not always a fan of the letter from the Executive Director, so see if you can keep it donor-centered. You could also give a shout out to your monthly donors and include information on how to become a monthly donor.

Hold an open house for monthly donors. Even if they don’t attend, they’ll appreciate the invitation. You could also offer tours, either at a specific time or on request.

Include a list of your monthly donors in a newsletter, annual 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.

Send an email update specifically for monthly donors.

Thank yous, newsletters, and updates are not a one-time time deal. Keep it up throughout the year. Create a special section in your communications calendar specifically for monthly donors.

Keep Monthly Donors Longer With These 6 Engagement Tips

Monthly donors get their own fundraising appeals

As I mentioned before, 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.

I think the best way to raise additional money from monthly donors is to ask them to upgrade their monthly gift. Be as specific as possible. For example – We’re so happy you’re part of our family of monthly donors and are grateful for your gift of $5.00 a month. Could you help us out a little more this time with a gift of $7.00 or even $10.00 a month?

You can also ask monthly donors for an additional gift during one of your fundraising campaigns, but you MUST recognize they’re monthly donors – We really appreciate your gift of $10 a month. Could you help us out a little more right now with an additional gift? We want to expand our tutoring program to three more elementary schools.

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

All your donors are special, but monthly donors are extra special. Don’t they deserve some attention and recognition?

 

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A Few Ways You Can Raise More Money in 2019

Happy New Year! I expect many of you launched a year-end appeal last year. I hope it was successful. If it wasn’t, I have some suggestions about how you can raise more money – both now and throughout the year.

Reach out to your lapsed donors

Take advantage of this now. Look to see who donated in 2017, but didn’t give this year. It’s possible some people meant to give but were too busy.

Send these donors a personalized appeal or give them a call. Let them know you miss them and want them back. You can go back another year or two, as well.

Take a good look at your list of lapsed donors. They’re not all the same. Do you have someone who’s given consistently over the last few years, but not this year, or are you looking at a person who gave once five years ago?

Eventually you’ll want to move some of your lapsed donors to an inactive file. This will save you money because you won’t be mailing appeals to people who aren’t going to donate.

But you can raise more money with a pesonalized appeal to donors who are likely to give again.

5 ways to win back your lapsed donors

We Want You Back! A Simple Strategy for Reactivating Lapsed Donors

Emphasize monthly giving

A great way to raise more money is by having a monthly/recurring giving program. Monthly donors usually give more and their retention rate is 90%.

If you don’t have a monthly giving program, make this the year you start one. You can also try to get current donors to upgrade to monthly giving.

Your best bet for monthly donors are people who’ve given at least twice. These are donors who have shown a commitment to you. This doesn’t mean you can’t ask first-time donors. You can include information about monthly giving in the welcome packet you send to new donors. You do welcome new donors, right?

Donors who gave in November or December may not be ready to give again so soon. Make a plan to specifically invite people to become monthly donors in the spring or at other times of the year.

Incorporating Monthly Giving Into Your Fundraising

Quick Tips to Create a Great Monthly Giving Program

Remember the two R’s

Now I’m going to tell you how you can raise more money without asking for money. You need to remember the two R’s – retention and relationships.

It’s easier and less expensive to keep your donors than to find new ones. Yet, many nonprofits have abysmal retention rates, especially for first-time donors. Now is a good time to figure out your retention rate.

One way to raise your retention rate is with the second R – relationships. Building relationships with your donors is a key component of fundraising.

This starts with a good thank you experience and continues as you update your donors regularly throughout the year letting them know how they’re helping you make a difference.

One reason you may be behind in your fundraising goals is because you just blasted out a bunch of generic appeals without targeting them to specific donors and trying to build relationships.

How To Actually Calculate Donor Retention (The Right Way) & 8 Essential Tips For Effective Donor Retention

What Comes Next

The New Year is a good time to evaluate what’s working and what’s not in your fundraising. You should be able to raise more money by reaching out to your lapsed donors, starting or growing a monthly giving program, paying attention to your donor retention, and focusing on building relationships.

Photo by: http://401kcalculator.org

Some Observations From the Year-End Fundraising Season

We’re right in the thick of year-end fundraising season. If you have a campaign underway, I hope it’s going well for you, although it may be too early to tell.

A good fundraising campaign is more than just sending out a bunch of appeals and hoping the donations come in.

I get a lot of appeals, some from organizations I support and some from ones I don’t. I’d like to share a few observations from the year-end fundraising season.

Most of what I’m going to cover focuses on organizations I already support. For those I don’t, I’ll just say your generic Dear Friend letters aren’t giving me a compelling reason to give. And that includes your triple match offer. That said, organizations I already support aren’t pouring on the inspiration either.

Fundraising is not a transaction

Don’t get me started on the transactional aspect of #Giving Tuesday. I was barraged with email appeals, many of which were not that different from the ones I received the day before on Cyber Monday.

Most of my gifts are monthly donations which automatically renew, so I didn’t make that many gifts on #GivingTuesday. I thought I was making donations, but some organizations viewed it as a transaction.

One organization’s landing page looked like this.

************************************************************************

THANK YOU!

You may print this page for your records. A receipt has also been emailed to you.

ORDER INFORMATION

Your Transaction has been Approved!

Merchant: xxx

Description: Donation for Specific fund

Email: agreen…

Name: Ann Green

Company:

Phone: xxx

Street Address: xxx

City: xxx

State: xxx

ZIP Code: xxx

PAYMENT INFORMATION

Amount:

Transaction ID: 61419346676

Payment Method: Visa  xxx

Date/Time

QUESTIONS?

If you have questions or need assistance with your donation, call  xxx or email us at xxx

************************************************************************

The thank you email they sent included the subject line – Transaction Receipt from xxx

Ugh! I made a donation not a transaction. Whatever software they’re using seems to be geared towards purchases, not donations, and that’s a problem unless they include a warm, heartfelt message with their “auto-receipt.” That didn’t happen. All I got besides Thank you for your support, was a generic description of what the organization does.

Another organization sent a transaction receipt and let me know  – This order is now complete. Transaction approved! I also received a couple of “donation receipts.”

Can we please stop using the word transaction? There’s nothing wrong with including a receipt, but that’s not the only thing you should send.

Create an amazing thank you landing page and an equally amazing thank you email and put the receipt at the end.

Four Ways to Improve Your Thank You Redirect Page to Retain More Online Donors

A little less generic communication, a little more segmentation

Actually, a lot more segmentation. Only a handful of the appeal letters I received thanked me for my past support. One letter opened with Words cannot express how grateful I am to have you as part of our team.

Most of the email appeals were just generic requests. The ones I received on #GivingTuesday made a big deal about it being #GivingTuesday. I wish they would have made a bigger deal about recognizing me personally.

One organization did acknowledge the gift I gave a year ago on #GivingTuesday, even though it was a monthly gift that automatically renews.

What I would like to see first is organizations saying thank you for being a donor, and don’t bury that at the end of the letter. Make it prominent.

Next, as someone who makes mostly monthly gifts, I want to be acknowledged as a monthly donor. These donations automatically renew, but it’s fine to ask for an additional donation or an upgrade.

After thanking me for my generous support as a monthly donor, one organization asked if I would like to make a special gift this month or increase my regular pledge. Another organization sent a request to increase my gift by $1.00 a month. Unfortunately, those are the exceptions not the rule.

It will take a little more work, but send different appeals to potential donors, current donors, and monthly donors.

Keep telling your stories

I’ll end on a more positive note. The appeals that stood out included stories, as well as photos.  One that caught my eye was a first-person story from a boy named Jacob. In his handwriting (most likely), Jacob recounts his battle with leukemia – When I was 4½, I was told that I had leukemia. For 2½ years, I went through a lot of bad stuff…… Another story came from an animal therapy dog named Tova who made a request to Help Me Help More Humans.

Taking a creative approach is much better than bragging about your organization or opening your letter by saying you have a challenge match, which isn’t necessarily a bad thing, but opening with a story would have been better.

If you’re not raising enough money or keeping your donors this year, you may need to look at fundraising as more than a transaction, segment your donors, and share some good stories.

Incorporating Monthly Giving Into Your Fundraising

Image via Bloomerang

Most of you are getting ready to launch your year-end appeal if you haven’t already done so. I hope your organization also has a monthly/recurring giving program. If you don’t, you’re missing out on a great way to raise more money and receive a constant stream of revenue throughout the year.

Plus, monthly giving will raise your retention rate. According to the Fundraising Effectiveness Project, the retention rate for monthly donors is 90%. These donors are committed to your organization!

To keep things simple, I’m going to use the term monthly giving, but you should offer your donors other options, such as quarterly giving.

How to get started

If you don’t already have a monthly giving program, try to set one up before your year-end appeal and let your donors know about it. If that’s not possible, make it one of your first New Year’s resolutions for 2019.

Setting up a monthly giving program will take a little work up front but will pay off in the end. Mention it in your appeal letters and make it a prominent option on your donation page.

Some organizations’ donation pages aren’t set up for monthly giving. I experienced this recently when I tried to make a donation. If I wanted to make a recurring gift, I had to contact the organization and in the interest of time, I chose a one-time gift.

Make it easy for everyone and set up a monthly giving option on your donation page.

Quick Tips to Create a Great Monthly Giving Program

Invite your current donors to become monthly donors

One way to get monthly donors is to ask your current donors to switch to monthly giving. Send targeted appeals to donors who have given at least twice. These donors have already shown you their commitment.

Let them know how much you appreciate their support and invite them to join your family of monthly donors. Show them how their $50 or $100 gift is helping you make a difference and how they can help even more with gifts of $5 or $10 a month.

Monthly donors get their own special appeal

If you already have monthly donors, send them a special appeal. Don’t send them a generic appeal that doesn’t recognize that they’re monthly donors. You should be personalizing and segmenting all your appeal letters, anyway.

Thank them for being a monthly donor and let them know you couldn’t do your work without their continued support. Politely ask monthly donors who’ve supported you for at least six months if they can upgrade their gift.

Monthly donors also get their own thank you letters

Not only do monthly donors get their own thank you letters, handwritten notes, or phone calls, you need separate letters for brand new monthly donors and current single-gift donors who’ve become monthly donors. I covered this in a recent post.

 Take Thanking Your Donors to the Next Level

Don’t shortchange your monthly donors with a generic thank you letter.

I make most of my donations monthly. The thank yous I receive range from pretty good to dreadful to nonexistent.

Some organizations will send a monthly acknowledgment by email. I don’t mind these because it lets me know my donation was charged. Often I get the same boring email each month with an equally sleep-inducing subject line such as Subsequent Sustaining Thank You. One organization uses the subject line You Are AMAZING, which is pretty amazing, and rare.

Since your donors have committed to donating every month, show them the same courtesy by communicating with them at least once a month. Those generic thank you emails don’t count.

You could send an e-mail update and at least a couple of updates by mail. Show your donors how they’re helping you make difference in your updates. Share a story or give specific examples.

A few ways I’ve seen organizations recognize their monthly donors are by giving them a special shout out in their newsletter, thanking them in their annual report, and inviting them to take a tour of the organization. Other ideas include an open house, a thank you video, a thank you postcard, and a handwritten note. Whatever you do, keep in touch throughout the year.

Pay attention to your monthly donors

All donors are special, but monthly donors are extra special because they’ve made this commitment to you. Therefore, you’re doing a huge disservice when you don’t recognize them for who they are. You can send requests for an additional single gift but not without thanking them for their monthly support.

Speaking of paying attention, you need to keep track of when a donor’s gift is about to expire. One way to avoid that is to not include an expiration option on your donation page. But that only solves part of the problem because credit cards have expiration dates. Don’t rely on your donors to keep track of this. They’re busy and have a lot of other things to worry about.

Set up a system where you can flag credit card expiration dates. A month ahead of time, send your donors a friendly reminder letting them know it’s time to renew their monthly donation. You can also ask for an upgrade and, of course, thank them. If you don’t do this, you’ll lose money and you’re showing your donors you don’t care because you’re not paying attention to them.

What Can You Do If Your Monthly Donors’ Payments Are Not Coming In?

Monthly giving is a proven way to raise more money and improve donor retention. I hope you’ll take the time to start or grow a monthly giving program for your organization.

Monthly giving resources

 

Monthly Giving Mistakes

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Monthly giving is a great way to raise additional revenue and boost your retention rate. If you don’t have a monthly giving program, start one now. How to Create a Monthly Giving Program for Your Nonprofit

Many organizations do have a monthly or recurring giving option, which is great. What’s not great are some of the mistakes I see nonprofits making with their monthly giving.

Here are few of those monthly giving mistakes and how you can avoid them.

Sending generic appeals to monthly donors

I’m a firm believer that once someone becomes a monthly donor, they get their own appeal. You should be segmenting your appeals anyway (by current donors, potential donors, etc) and that rarely happens.

Recognizing that you know your donors can help you raise more money. Some organizations have special names for their monthly donors. All donors are special, but monthly donors are extra special because they made a commitment to support you long-term.

Therefore, you’re not showing the love when they get a one-size-fits-all appeal that doesn’t recognize they’re monthly donors.

I mentioned before that monthly giving allows you to raise extra money. Another way to raise additional revenue is to ask for a larger gift. Most organizations don’t do this and that’s one of the perils of generic appeals.

Here’s a way to craft an appeal to ask monthly donors to upgrade their gifts.

Thank you so much for your donation of $5.00 a month. We really appreciate your support. You can help us out even more by increasing your gift to $7.00 or even $10.00 a month.

Be reasonable. One organization did ask me to increase from $5.00 to $7.00 a month. Another asked me to become a Sustainer at $25.00 a month, which is a bit of a jump.

Not paying attention and letting monthly gifts expire

A little over a year ago, I started making monthly donations. Some organizations let you choose how many months you want to donate, although most don’t have that option. When given an option to choose, I picked 12 months. I didn’t keep track of which organizations had “expiration dates.” Neither did these organizations.

It wasn’t until I went through my credit card statements at the beginning of January, that I discovered three of my monthly donations had stopped charging. I did renew these donations and now I’m keeping track of which donations will expire in a year.

But how much of this is my responsibility? Donors are busy, especially at the end of the year. Help them out a little. These organizations missed two months of donations because they weren’t paying attention. I wonder how many other monthly donations they missed as well.

You can avoid this by keeping track of when monthly donations are set to expire. A month ahead of time, send donors a friendly reminder letting them know it’s time to renew their monthly donation. You can use the example above to thank donors and ask for an upgrade as well.

Monthly donors are not the same as single gift donors. I did receive generic appeals from some of these organizations but ignored them because I figured my monthly gift would continue.

Your thank you acknowledgments are boring  

Given that some organizations don’t bother to thank their donors at all, I should be happy that I get thank you acknowledgments each month for my monthly gifts. But many of these organizations send exactly the same thank you letter (most by email, a few by mail) every time. Sometimes it’s sporadic – thank yous one month, nothing another.

Here’s the text of one thank you I get every month.

Thank you very much for your ongoing support and your sustainer donation of $5.00 to X

Your next donation is scheduled for 1/31/18.

If you need to change your credit card or billing information, please visit the Gift Service Center or contact our Member Services team at …….

Your ongoing commitment will make a real difference, and we are deeply grateful for your support. It’s good to know you’re with us.

At the bottom, there’s a Donation Transaction Summary. Oh, that dreaded word transaction.

Kind of boring, isn’t it? Monthly giving expert, Erica Waasdorp recommends sending one thank you letter for the tax year and not sending monthly thank you letters. Is Your Monthly Donor Tax-Letter Ready? This way you can send one super-fabulous thank you letter instead of 12 boring ones.

However, it is possible to create 12 interesting updates. If you want to send a thank you each month, then give a specific example of how a donor’s gift is helping you make a difference. Or take Erica’s advice and nix the monthly thank you. Instead you could create a newsletter or send updates specifically for monthly donors.

Either way, be sure to stay in touch with your monthly donors at least once a month. They’ve made a commitment to support you once a month. You can do the same for them by pouring on the gratitude and showing these donors how they’re helping you make a difference.

A monthly/recurring giving program can be a great opportunity for your organization. Don’t blow it by making these mistakes.

Making the Most of Monthly Giving

 

Image via Bloomerang

Monthly or recurring giving is a great way to raise more money and give you a constant stream of revenue throughout the year. More nonprofits are taking advantage of this. According to CauseVox, 54% of donors give through a sustainer (recurring) program, with 82% giving monthly.

Plus, monthly giving will raise your retention rate. According to the Fundraising Effectiveness Project, the retention rate for monthly donors is 90%. These donors are committed to your organization!

How to get started

If you don’t already have a monthly/recurring giving program, get one set one up before your next big appeal and let your donors know about it. While this post will focus on monthly giving, you should certainly give your donors other options for recurring giving, such as quarterly.

Setting up a monthly giving program will take a little work upfront, but will pay off in the end.  Mention it in your appeal letters and make it a prominent option on your donation page. How to Create a Monthly Giving Program for Your Nonprofit

Get donors on board

One way to get monthly donors is to ask your current donors to switch to monthly giving. Send targeted appeals to donors who have given at least twice. These donors have already shown you their commitment.

Let them know how much you appreciate their support and invite them to join your family of monthly donors. Show them how their $50 or $100 gift is helping you make a difference and how they can help even more with gifts of $5 or $10 a month. The 7 Steps to Launching a Monthly Giving Program at Your Non-Profit

Monthly donors get their own special appeal

If you already have monthly donors, send a special appeal just for them. Don’t send them a generic appeal that doesn’t recognize that they’re monthly donors. You should be personalizing and segmenting all your appeal letters, anyway.

Thank them for being a monthly donor and let them know you couldn’t do your work without their continued support. Politely ask monthly donors who’ve supported you for at least six months if they can upgrade their gift.

Keep in touch throughout the year

I donate monthly to a number of organizations and wrote about my experience earlier this year. Raise More Money With Monthly Gifts

Some organizations do a better job of communicating with their monthly donors than others. Be one that shows these donors how much you appreciate them.

Since your donors have committed to donating every month, show them the same courtesy by communicating with them at least once a month. You could send an e-mail update and at least a couple of updates by mail. Show your donors how they’re helping you make difference in your updates. Share a story or give specific examples.

A few ways I’ve seen organizations recognize their monthly donors are by giving them a special shout out in their newsletter, thanking them in their annual report, and inviting them to take a tour of the organization. Other ideas could include an open house, a thank you video, a thank you postcard, or a handwritten note. Whatever you do, keep in touch throughout the year and make your monthly donors feel special.

Take advantage of this opportunity to raise more money and boost your retention rate by starting or enhancing your monthly giving program.

More monthly giving resources.

Raise More Money With Monthly Gifts

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Although I often encourage monthly (or recurring) gifts as a great way to raise more money, I just started making them at the end of last year. I made all my pledges online, and it was easy to do.

It should also be relatively easy for you to start or grow a monthly giving program. Of course, this doesn’t just include asking for donations. You’ll need to thank your monthly donors and stay in touch throughout the year.

Here’s what you need to get started.

Make a special request

You should always promote monthly giving in your fundraising appeals. Your best bet to get a monthly commitment is long-term donors. One idea is to send specially targeted appeals to donors who have given for at least two years. Thank them for their past support and ask them to upgrade to becoming a monthly donor. Their previous donation of $50 could become $5 a month or $100 becomes $10 a month.

Make it easy

Be sure monthly or recurring giving options are prominent on your pledge form and donation page. Let your donors know what $5, $10, $15 etc a month will fund.

Make the online process easy, but keep in mind that some donors won’t want to set up their monthly giving online. Some may want to do this by mail or phone, and if it’s by phone, make sure there’s a friendly person on the other end to help them.

If possible, make one person responsible for monthly giving. There needs to be a contact person if your donor needs to change her credit card/bank account information or has questions.

Create an attitude of gratitude

Welcome your monthly donors with open arms. If they’re first-time donors, welcome them to your organization. If they’re current donors, thank them for going the extra mile and becoming a monthly donor.

Most of the organizations I donated to thanked me specifically for being a monthly donor. Some did it better than others.  One organization refers to their monthly donors as Friends for all Seasons. Another told me “I have joined an elite group of dedicated supporters we call our Friends of the Center.” Another thanked me for being a Monthly Partner.

These organizations are telling me I’m extra special, and most of my gifts were $5 a month.

Several organizations send me monthly thank you letters either by mail or email. While this is nice, most of them are exactly the same generic thank you every month. One sends a statement, but it includes a different update each month.

Here’s how you can do better. Yes, send your these donors a thank you each month, but don’t resort to the same old same old. One organization that helps low-income families does a good job of sending engaging updates. Here’s an excerpt from their most recent email thank you.
Boys with shoes

When a mother of three children picked up her children’s Kidpacks, she burst into tears and said “My kids will be so happy.” She couldn’t afford to spend extra money on new clothes, shoes, books or school supplies because she was barely making ends meet.

Much better than a boring letter or receipt.

Take your donors on a journey

You want to stay in touch with your monthly donors and let them know how they’re helping you make a difference. You can do this with your monthly thank you letters and other updates. You may also want to consider a special newsletter just for monthly donors.

Another idea is to introduce your monthly donors to an individual or family your organization is working with. Let’s say you run a tutoring program. You can introduce your donors to Kira and her tutor, Sophia. Each month you can share updates on how Sophia is helping Kira do better in school.

Make your monthly donors feel special

Of course, all your donors are special, but go out of your way to show the love to your monthly donors. Find creative ways to show appreciation. You could make a video or hold an open house just for monthly donors. You want them to stay committed to being monthly donors for a long time.

Erica Waasdorp is an expert in monthly giving and has tons of information to help you.

And here are some more monthly giving tips.

18 Tips to Create a Wildly Profitable Monthly Giving Program

3 Tried and True Techniques That Encourage Monthly Giving