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How can you manage recurring donations and memberships with online fundraising tools?

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Recurring donations and memberships are essential for any nonprofit that wants to sustain its impact and grow its supporter base. However, managing them can be challenging, especially if you rely on manual processes or outdated systems. That's why online fundraising tools can make a huge difference for your fundraising strategy. In this article, you'll learn how to use online fundraising tools to manage recurring donations and memberships efficiently and effectively.

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1 Why recurring donations and memberships matter

Recurring donations and memberships are forms of regular giving that allow donors to support your cause on an ongoing basis. These forms of giving have many benefits for both nonprofits and donors, such as increasing retention rate and lifetime value of donors, reducing acquisition and administration costs, providing a predictable and stable income stream, enhancing donor relationships and loyalty, and offering convenience and flexibility for donors. Furthermore, recurring donations and memberships can help you achieve your long-term goals, such as expanding your programs, investing in innovation, or building your reserves.

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Jenny Kleintop

Fractional Philanthropy Ops ? Leveling Up & Aligning Data, Database & Operations to Frontline Fundraising Strategies ? AI Curious, Lifelong Learner & Teacher ? Believer in Positivity, Uplifting, and Community
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A recurring donation is different from a pledge and your CRM should be able to handle both. Recurring has no end date (Sally says she will give you $50 a month), meaning no end date until Sally says stop. The hick-up is when their credit card is due to expire, but there are systems now that automatically check for these. A pledge has an end date (Sally says she will give $50 a month for $1,000 total). If you haven’t tried recurring gifts yet, it’s definitely worth a try. 1) Reach out to your CRM vendor to ensure your functionality is in place. 2) Advertise on your website and in materials that you do them. 3) Tell stories on how it helps. 4) Thank often. Just because they are recurring donors doesn’t mean you shouldn’t steward them.

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Lilian D.

Humanitarian Safeguarding & Community Engagement
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Reccuring donations and membership and help donors and members updated on progress of how beneficial their donation has been. This helps with making organisations more accountable and ensures long term sustainability.

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2 How online fundraising tools can help

Online fundraising tools are software platforms that enable you to create, manage, and optimize your fundraising campaigns online. They can help you manage recurring donations and memberships in various ways - from creating appealing donation forms and landing pages to integrating with your CRM and payment systems. Moreover, these platforms offer multiple payment options and frequencies for donors to choose from, such as credit card, PayPal, or direct debit, and monthly, quarterly, or annual. Additionally, they can send automated receipts, thank-you messages, and reminders to donors to confirm their recurring donations or memberships, acknowledge their impact, and reduce churn. Furthermore, they allow you to segment and communicate with your recurring donors and members based on their preferences, interests, and behavior, providing them with exclusive content, updates, and benefits.

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3 How to choose the right online fundraising tool

When selecting an online fundraising tool for your nonprofit, you should take into account your budget and resources, audience and objectives, features and functionality, and scalability and flexibility. Assess how much you can afford to spend on the tool, how much time and staff you have to set up and maintain it, who your target donors and members are, what outcomes and metrics you are looking to achieve through your campaigns, what essential and nice-to-have features you need from the tool, such as customization, integration, analytics, security, and support, as well as how easy it is to adjust and optimize the tool as your nonprofit grows and changes. Additionally, consider how well the tool adapts to different devices, platforms, and scenarios.

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Mike Esposito, CFRE

Helping nonprofits fundraise more effectively
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When looking into fundraising tools that can support your new recurring giving or membership strategy, it’s important to keep in mind that there are CRM solutions out there that have built in gift processing capabilities. For example, Virtuous and Gifteffect serve as all-in-one platforms that provide NGOs with CRM, fundraising, volunteer management, and marketing tools that will allow them to grow and scale.

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4 How to optimize your online fundraising tool

Once you have chosen and implemented your online fundraising tool, you should not stop there. You should constantly monitor and improve your performance and results by testing different elements of your donation forms and landing pages, such as headlines, images, copy, colors, buttons, and fields to see what works best for your donors and members. Additionally, analyzing and evaluating your data and feedback can help you identify your strengths and weaknesses. Updating and enhancing your content and communication is also important to keep donors and members engaged, informed, and inspired. Lastly, recognizing and rewarding donors and members, such as featuring them on your website or social media or sending them personalized cards or gifts, can show your appreciation and gratitude.

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5 How to get started with online fundraising tools

If you are ready to take your recurring donations and memberships to the next level with online fundraising tools, there are several steps you can take. Begin by researching and comparing different online fundraising tools that match your criteria and goals, and ask for demos or trials to get a feel for how they work. Then, plan and design your recurring giving and membership campaigns, including value proposition, benefits, incentives, branding, messaging, and call to action. After that, set up and launch your online fundraising tool, integrating it with existing systems and platforms, and promoting it to current and potential donors and members. Track progress and results with the tools' built-in analytics features or external tools such as Google Analytics or SurveyMonkey. Finally, learn from your experience and feedback, making adjustments as needed while celebrating successes and achievements.

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6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Deepika N Khan

Independent Consultant Programme Strategy, Girls Education and Agency, Learning Experience, Spiritual Healer, Access Bars Facilitator, Play for Peace Facilitator
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As not for profits we are accountable for every penny that we receive hence linking the donations to specific outcomes is important. I short term usually the reporting is about spend but to build a long term individual donations, transparency about how these spends contribute to larger outcomes could also boost the motivation of Donors to continue donations.

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How can you manage recurring donations and memberships with online fundraising tools?

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3

4

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6

1 Why recurring donations and memberships matter

2 How online fundraising tools can help

3 How to choose the right online fundraising tool

4 How to optimize your online fundraising tool

5 How to get started with online fundraising tools

6 Here’s what else to consider

Fundraising

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How can you manage recurring donations and memberships with online fundraising tools?

1

2

3

4

5

6

1 Why recurring donations and memberships matter

2 How online fundraising tools can help

3 How to choose the right online fundraising tool

4 How to optimize your online fundraising tool

5 How to get started with online fundraising tools

6 Here’s what else to consider

Fundraising

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