How to Improve Donor Retention Rates

Nonprofit donor retention isn’t simply about receiving the same $20 donation month after month. It’s about enhancing relationships that donors truly care about, so that, in the long run, they might choose to give more, in a bigger way.

And when donors frequently give to your nonprofit, did you know that you should be asking for more as time goes on? For example, if a donor gives to your annual fundraising campaign, why not encourage them to also give to specific events throughout the year, or to even increase their donations to the major gift level?

Keep your eye on the prize

In a nutshell, donor retention is a fundraising approach that seeks gifts from your organization’s existing donors. Regular, monthly and annual donors are all forms of retained donors, as they give multiple gifts to charities over long periods of time.

Ultimately, the goal is to get donors to give again and again, and to never lose their connection to your organization.

Here are our top five tips to increase donor retention for your nonprofit:

1. Determine your retention rate. This is the first step to increase donor retention. The metric will provide you with insight as to what you are working with, as well as help you set realistic goals.
2. Use your data. Access your donations reports to track who is giving, when and how much. Keep good records, and use the information as a resource to move forward with fundraising and connect effectively with donors.
3. Develop a solid communication plan. Communication is key to maintaining a healthy relationship with donors. Create a detailed timeline to determine when and how you plan to communicate with various donor types throughout the year.
4. Keep donors engaged. Keep in mind: Each donor contributes to your organization because they believe in your cause. Keep them continuously informed about your mission and successes to reinforce their decision.
5. Share the impact of their giving. Always, always, always acknowledge donations and gifts. Share current photos, videos, statistics and personal stories. The more details the better. And tell your cause’s story with real-time updates to illustrate the impact of your donor’s contribution.

Finally, the more targeted and timely your communication is with prospects and donors, the longer they will continue supporting your organization and the more they become advocates for your cause.

There are a number of other ways you can turn your frequent donors into lifetime givers via donor retention methods. IPM Advancement can help identify the best options for your organization. For more information please call us at 877.447.6238.