It’s December, and we hope that your year-end fundraising is well underway and that you are following up on asks already made and ensuring current donors don’t lapse. What follows are highlights from studies and reports to help you meet your fundraising goals.
The most recent Fundraising Effectiveness Report states that while donor retention has stabilized, there is an over-reliance on large gifts, which puts organizations in a precarious position. Although retention has stabilized, it’s still far too low, with only 11% of new donors retained and 36.3% of repeat donors retained. We strongly suggest using this season to broaden your base of support and improve donor retention rates.
Ann Fellman of Bloomerang is quoted in the report, stating, “When organizations build authentic relationships with their supporters, they build the kind of resilience that lasts.” We couldn’t agree more.
The software company Neon One published a report in September about the year-end statistics that every fundraiser should know.
Let’s start with a data point that is not surprising – that, on average, 40% of revenue is raised in December. The flurry of appeals is constant this time of year, and donors respond, typically in the last week of the month. Be mindful that if your office is closed for the holidays, there should be someone monitoring emails, checking voicemails, and ensuring messages are set up to auto-send.
A data point that was surprising was the effectiveness of an email appeal sent on December 30. Based on the data in the report, email solicitations on December 30 had better open rates and generated $1.61 per contact compared to $.59 on December 29 and $.93 on December 30. Test this for your organization. Schedule an appeal to be emailed on the 30th and compare your response rates to the national data.
Lastly, don’t make your appeals transactional. Donors care about making an impact, and they want to know their dollars are helping people. According to the Neon One report, 97% of donors cited impact as their motivation for giving. Use stories, not just statistics, and don’t lead your appeal message with the fact that your organization has had funding cuts or lost grant dollars. Who hasn’t?! Instead, focus on the unique impact your mission has on the people and places you serve.
To help you tell stories that compel, we cite one more useful report, which is an oldie but a goodie. More than a decade ago, Network for Good and Sea Change Strategies published the “Lisa Simpson for Nonprofits: What Science Can Teach You About Fundraising, Marketing, and Making Social Change.” It’s an outstanding guide that reminds us of the power of a protagonist and that giving is emotional, irrational, personal, joyful, and social. Use those elements in your appeals and tell us how your year-end giving strategies worked.
Best wishes for your fundraising efforts this holiday season – from Giving Tuesday to New Year’s Eve.
