As you may know, Penelope Burk does some tremendous research on donors thinking and behavior. From her 2017 report, I was particularly pleased to see the tremendous move from donors with the focus on monthly giving, especially for younger donors. I reported on this before. As a follow up, Penelope recently wrote a blog about what donors are thinking, especially pertaining to disaster giving. Disaster donors are slightly different from other...
Top 3 Ways to Steward Monthly Donors
The other day, one of my clients mentioned that she has been giving $10 a month to an organization for three years. She signed up on the street, and that was that—no phone call, no thank-you letter, no email, no newsletter, no anything. Well, after this had been going on for three years, she called them up and said: “Enough is enough. While $10 a month is not a big amount, it’s all I can afford right now. I’m going to cancel because, clearly,...
2018 M&R Study: Monthly Giving Revenue Up 40 Percent
I may have mentioned before that there really are not that many trend statistics tracking monthly giving revenue. For individual organizations, there are some wonderful analytics companies to look at trends and compare against their other clients, but that information is not publicly available. The only available stats I know of are: For small organizations (raising $2 million or less): the “Individual Donor Benchmarking Study,” but...
What’s Your Measuring Stick for Monthly Donor Success?
I’m currently working on the analysis for a big national organization’s sustainer direct mail campaigns. One of the things we needed to settle on first was what they thought was important in measuring their monthly donor success. As you know, monthly gifts are typically small. So, if you only look at the first monthly gifts and possible one-time donations that came in from those donors who are not yet ready to give monthly, you’re not doing...
Donors and Nonprofits Need To Budget for Effective Giving
Many organizations are in the process of budgeting for their next fiscal year. Here’s a guest blog from Chrissy Reynolds who wrote a great post on how important it is for both organizations AND donors to budget their donations. That fits nicely with monthly giving, don’t you think? Donations to the non-profit sector for charitable causes grew by an estimated 3.6% in 2017 and is expected to increase to 3.8% this year. Many charities, foundations...
How Nonprofits Should Act More like Businesses and Need the Management Focus
Here’s a guest blog where it’s all about the business focus for nonprofits. Somethings that’s very important when it comes to monthly giving. Once organizations see the power of those small donors, they’ll be more likely to focus on it more. As you know, nonprofit organizations are playing the positive role in the betterment of communities. Non-profit organizations are similar to for-profit organizations because they also need money to achieve...
Do You Support Monthly Giving?
You may know I’m a huge promoter of monthly giving. Why? Because it’s a great way to engage your small annual fund donors and increase your donor retention rates. And as a recent statistic showed, sustainer giving is indeed growing, especially online. Last year, 20% of online giving came from monthly donors (aka sustainers, recurring donors; source – Blackbaud 2017 Luminate Benchmarks). Needless to say, the interest in monthly giving has...
What Do Monthly Giving, Mount Rushmore and Crazy Horse Have in Common?
You may now know that I’m a Dutch immigrant. I just celebrated my 25th anniversary being in this beautiful country! I still remember Apr. 10, 1993, when I flew from Amsterdam, Netherlands, to Boston Logan via Bangor, Maine, where we had to stop to refuel because Logan was closed by fog. It was a tremendous feeling when I was able to walk in with my immigration papers. (I became a U.S. citizen in 2008, by the way.) Credit: Erica Waasdorp So, it...
Monthly Donor Commitment: It Matters
The Merriam Webster dictionary defines Commitment as follows: a promise to do or give something. A promise to be loyal to someone or something. The attitude of someone who works very hard to do or support something. Wow, that’s something isn’t it? Monthly donor commitment isn’t necessarily easy. It’s hard work. There are two different kinds of commitment in monthly giving: organization and donor. The organization must be committed to the...
10 Reasons Why Small Monthly Donors Are Worth the Effort
During a recent webinar, someone asked me a question. His finance people told him: “For $5 a month, it’s really not worth the effort. The finance charges are killing us.” This is another one of these monthly donor myths I’d like to debunk right away. My answer of course was this: “Yes, offering the $5 a month option to donors is totally worth it!” Here are 10 reasons why: You’re truly showing donor care. No gift is too small. Your donor can...
Take Action Right Away to Improve Your Monthly Donor Retention
Over the past few weeks, I’ve presented numerous webinars on monthly giving. I’ve also had lots of conversations with organizations asking them about their challenges with their monthly donor retention. And the No. 1 problem is expiring credit cards. When that happens it’s really important to remember the following: The donors did not call you to cancel their commitment! They want to continue giving monthly! They may have just received their...
Internal Staff Can Delay Your Monthly Donor Program Growth
Nonprofits never cease to amaze me. Sometimes in a good way. Sometimes in a not so good way. This is one of those sad case studies. I spoke to an organization recently, and its executive director told me they wanted to grow their monthly donor program—at least, that’s what he said at first. They have some 500 sustainers who are worth more than $500,000, so they are very high average gifts. Because they’re limiting recruitment by in-person...
Get the ‘Generator’ Before You Need It
If you’ve been following the weather, you may know that it’s been a rough few weeks, especially in New England. In Massachusetts, we were hit by our second Nor’easter within 10 days; and this last one was really bad. Snow was falling at one to two inches an hour, and the many downed trees caused power to be out for 99 percent of our area. Emergency shelters were open for days. Some cellphone services went down as well, so many people had no way...
7 Tips to Create a Wildly Profitable Monthly Giving Program
Monthly giving is a huge untapped revenue source for so many nonprofits. I am still trying to wrap my head around the vast potential monthly donors offer. If you have 300 monthly donors – just how much overall revenue would these 300 lovely people be contributing to your cause each year? Let’s run the numbers: If each of those wonderful donors gave the average amount of the typical monthly gift – they would be giving $24/month. That’s really...
Your Questions and Answers about Monthly Giving
As you know, weve been talking about monthly donors for the past few weeks. And you may have seen my Facebook Live interviews here and here with monthly giving guru Erica Waasdorp. It’s been tremendously fun and exciting to get lots of feedback and questions from attendees. Here is another guest post from Erica – responding to many of the questions we are receiving from our attendees. It’s not too late to join the Monthly Donor Intensive with...
3 Powerful Ways to Get Your Monthly Donors to Give More
A few weeks ago, Michael Rosen published the post “How to Get Last Year’s Donors to Give More this Year.” Guest blogger Joe Garecht shared some great advice for increasing giving. However, the post did not specifically address the issue of monthly giving. That led to a reader comment. Larry Little, President of Guardian Angel Basset Rescue, raised some important questions: Our revenues are in the $300k range but approximately 30% of that comes...
Simplify Your Life
I’ve been working with monthly donor programs for more than 25 years now. Wow, so much has changed. Monthly giving has become so incredibly easy to set up and organize. And yet, whenever I teach a webinar or give a presentation, fundraisers tend to glom onto the “hard parts” right away. And that’s where in many cases it stops. Please, do yourself a favor. Simplify your life and that of your donors. Take what you’re already doing now in your...
How Can You Change “It Depends” To “For Sure”? And the answer is….
Metrics! When I moved from a big international nonprofit to the agency side almost 18 years ago now, my then boss Tom Hurley quickly taught me these very famous words: “It depends!” As a consultant, those are great words to have in your tool box, especially working with organizations who are looking for certainties and proven ideas. And of course, we’d never recommend somebody to try something that had not already been tested by others. But,...
Don’t Keep Your Monthly Donors Waiting
Earlier this week, I was talking with a client about their newsletter. It’s mailed to their monthly donors as a cultivation piece, with wonderful stories about how their gift has made a difference. It also goes to their active and major donors. The communications department creates the piece, and, of course, it looks absolutely amazing! But it is probably also going to mail a week or more late. The review process involves numerous people inside...
Keep Moving Toward More Monthly Donors
“If you can’t fly, then run. If you can’t run, then walk. If you can’t walk, then crawl. But whatever you do, you have to keep moving forward.” — Martin Luther King, Jr. I love this quote because it’s so very true, especially when it comes to sustainers—no matter where you are in your monthly donor program. If you have a small number of them, you always want to be moving toward growing that number: to the next 50, to the next...
How to Ask for Monthly Gifts at Your Gala Event
A colleague consultant asked me this question last week, and I was discussing this very same thing with another organization myself. Great timing! A nonprofit in the process of launching its monthly donor program has its annual gala coming up this spring. It’s a fancy event—heavy hors d’oeuvres, silent and live auction, including a “fund-a-need” focused on something they need for their program. Donors typically pay $100 to $150 for a...
Answering the Top 3 Monthly Donor Management Questions
There’s been somewhat of a landslide of late when it comes to “sustainers,” also known as monthly or recurring donors. These are donors who give automatically from a credit/debit card or bank account. Have you seen these amazing recent statistics? Monthly donor retention rates: 90 percent and up (double the average donor retention rate of 45 percent!) Sixty percent of donors under 35 give monthly. The average monthly gift is $24, or $288 a...
How Do You Manage a Large Sustainer Program?
Last week, NonProfit PRO organized a webinar called “Effectively Managing a Monthly Giving Program that Exceeds the Thousand-Sustainer Mark,” sponsored by CharityEngine. The organization featured was the Wounded Warrior Project, and the focus was on how they acquired sustainers and then managed those sustainers (the back-end). It was exciting to hear from such a big organization, and it brought me back to my days of managing a large sustainer...
Is Your Monthly Donor Tax-Letter Ready?
Now you’re in the middle of evaluating your appeal results, it’s up to you to make sure that the donor feels good about their giving experience—no matter what the amount. I recommend pulling in some extra people, volunteers and board members to make thank-you phone calls. Put some extra effort into sending out the thank-you letters pronto. And make sure you’re ready to send out tax letters well before the end of the month. If you’ve been...
Organize a Process Review to Improve Your Donor Retention
As a fundraiser and donor relations professional, you work hard every day to make sure your donors feel important. You know like no other that all donors need to feel appreciated, no matter how much they give or how often they donate to your organization. That’s why I’m still amazed at how difficult this seems to be, especially as organizations grow. Especially if there are multiple “cooks in the kitchen.” Often decisions are made...
Don’t Forget to Test Before You Send
I hope you had a wonderful Thanksgiving! We had a great time with my family, the turkey and all the trimmings. On Black Friday, I sat down behind my computer and made donations to some 20 organizations. The same amount for each. Some I already donate to monthly, and some I only give to this time of year. To process the 20 donations, four used PayPal, and two used Stripe, NetCommunity, Donor Perfect Weblink, Classy or Network for Good. Then...
What Would St. Nick Say?
St. Nick (or Sinterklaas as we called him) was part of my tradition growing up in Holland. Dec. 5 was when we received our gifts as kids. The night before, we’d put our shoe with some straw and carrots for St. Nick’s white horse in the corner of our living room. And he and his little helper black Pete would come and drop our gifts near our shoes. Here are two links to the explanation of this tradition. here or here. As we got older, we’d draw...
Asking for Sustainers for Gifts on Giving Days
November is almost here. Many of you are probably working on your #GivingTuesday campaigns, or you may have other giving days you’re focused on. And of course everybody is on board with sending out several emails in the month of December. The question always comes up: Should we ask for monthly donors in our giving day emails and social media messaging? Well, if it were up to me, I’d say: Yes, absolutely! Try to get as many sustainers as you...
Warning: Minimal Stress Involved
Yes, it’s true! Prime giving season is here. Everybody is on high alert. Printers are buzzing. Letter shops are stuffing appeals in overtime. Email drafts for #GivingTuesday and December are flying left and right. You’re pushing board members to commit to calling at least a few donors to say “thank you.” Some have said they’d be willing to come in and write personal notes on some of your appeal letters. And it all has to drop by Thanksgiving!...
It’s Time to Call Your Organization
P I just came back from the International Fundraising Congress, which was held last week in Noordwijkerhout, Netherlands. It’s always a great time to visit my family who live near the German and Belgian border in the south. I was able to attend a great session on donor love with Jen Love of Agents of Good and Simon Scriver. I’d heard of them, but now I actually got to meet them—pretty neat! The session includes lots of great tips and examples...