It’s no secret that most nonprofits thrive on donations. Not only do they want to increase their donation volumes, but donor retention rates too. The higher the donation retention rate, the steadier the long-term revenue stream.
1. Use the Best Donor Software
Nonprofits should take an example from other organizations that leverage technology to boost their key performance indicators. With the best donor management software — you can increase your donor base, raise your donations, and reduce your workload. Here are some features of the best donor management software for nonprofits:
- Communication Tools: It should help you engage with your supporters by carrying out simple yet powerful communication tools that build relationships and encourage long-term support.
- Smart Campaigns: A smart campaign system makes it easier to grow your donor base.
- Donation Web Forms: You’ve done all the hard work. Now, your donation web forms need to make it easier for people to sign up to donate with confidence.
- Dashboards: Powerful dashboards will make it easier to manage your donors.
- Reporting: Fast and accurate reporting tools allow you to track and reach your fundraising goals.
Your donor software should also be backed by a powerful CRM that helps you build your supporter base with comprehensive emailing, tracking, workflow action plans, and built-in customizable reporting.
2. Focus on Retaining Donors
Although many nonprofits concentrate on wooing donors, they don’t focus on retaining them. Surveys suggest that most nonprofits lose 80% of their first-time donors. Think of all the energy and resources that are needed again to get new donors.
To increase repeat donations, acknowledge their contribution in a meaningful and genuine way. A sincere thank you via email will let them know that you appreciate the donation. If they have provided their phone number, consider sending them a thank you SMS for a more personal touch. Have one of your board members call donors that make larger donations for a personal touch.
Sending progress reports can also help you increase donor retention. Show them how the money was utilized. For example, if your nonprofit helps mend roads, inform your donors through pictures, videos, and blogs about the work you’ve done.
It’s also wise to strike while the iron is hot. When asking for another donation, approach the donor within the first three months of the first donation while they’re still engaging with your nonprofit.
3. Try Online Fundraising
Like other successful organizations, your nonprofit needs to embrace the Internet, as successful online funding campaigns can drastically increase your revenue. Remember, there are billions of people on social media. Even if you connect with a tiny percentage, you can accelerate your nonprofit’s revenue growth. Here are some ideas for online fundraising that may help:
- Virtual Awareness: Start a virtual awareness campaign that mimics a trend and links back to your website. You can use a fundraising thermometer on your website to encourage visitors to give.
- Social Media Challenge: While starting a new social media challenge isn’t easy, you can capitalize on one already trending online to generate buzz for your nonprofit.
- Virtual Watch Party: Sell tickets for your virtual watch party for a documentary, movie, or sporting event to raise some funds for your organization.
- Crowdfunding: Online crowdfunding campaigns are an excellent way to tell your story and raise revenue.
Your nonprofit’s job is never done as far as increasing donations and donor retention is concerned.