The Secret to Getting Donors to Increase Gifts

Being a nonprofit right now is tough. There’s more demand for your services and a shrinking pool of money. Giving USA 's latest report is scary; individual giving is down 2.4% in 2024! That's why 67.93% of NonProfits are facing a decrease in funding . This is happening right when 75%?of nonprofits see an increase in demand. This isn't new. The economy has been soft for a while, it's just worse in an election year. People hold on to their cash in times of uncertainty and delay investments until the see how they feel after November.

And there are more and more nonprofits popping up every year. We have 1.7 MILLION nonprofits in the United States right now. Competition for resources is tougher than ever. No wonder it’s getting harder to raise money.

So, How Do You Get on the List?

Every donor is inundated with appeals from organizations worthy of an investment. But how do they decide when there's not enough money go around.

The winners show your donors the tangible result of their gift. Whenever possible, you want show your donors the outcomes that will occur because of their gift. If you do that the SFRE says you will get more frequent giving and higher average gifts.

This is what just happened at one of our clients. They had a lapsed donor whose highest previous contribution (HPC) was at $25,000 - but they hadn't given in a few years. They were hoping to renew the $25,000 gift and maybe get a stretch give of $50,000.

When the donor the outcomes that would happen from their gift, they replied with a $200K gift!

How on earth did that happen? Using their numbers to tell their story in this paragraph:

"It costs $52,500 per year to provide each family with the housing, educational programs, critical life skills, and one-on-one coaching needed to ensure their long-term success. That means I need to bring in $630,000 to cover the cost of these 12 families. Thankfully we have $437,000 committed so far, but we have a gap of $193,000 that we desperately need to close. Please help us make this happen."

I love this appeal because it shows the difference their donation makes. It shows the number of families saved because of their investment. When you can have a discussion with a donor and show ways their donation helps achieve your mission it's much easier to show what happens if they give even more!

Organizations that can show the tangible result of a gift will succeed in these challenging times ahead. Those are the organizations donors stick with when times are tough.

This donor could see we had a shortfall of $193,000 and made a decision to cover that desperate hold with a $200,000 gift. If they had sent a traditional fundraising appeal that just told a story without having numbers to back it up, they would have been happy to get a $50,000 renewal gift.

The best-run nonprofits know which programs help further the mission the most and which programs create the outcomes needed to succeed. It's no surprise that the most successful programs are usually the most fundable.

Steps for Success

• What does it cost per program
• How many people does the program service?
• How much does it cost for each person?

Introducing the Stack Ranking Calculator!

To help you figure out which programs best further your mission we've developed this stack ranking calculator. It allows you to rank each program based on how well it meets your goals.

By ranking each program you can compare and contrast which programs have the biggest impact on your mission. When you add the economics of each program it makes it easy to tell your donors the tangible results of their gift. To show them the impact of their contribution.

Want the stack ranking calculator for yourself? Download HERE

There's a better way to do accounting.

Speak to a nonprofit Growth Specialist today!

Leadership Food For Thought

?? Raise More Money By Focusing Where Giving Comes From

One of the biggest misconceptions of the Nonprofit world is that corporations and larger foundations are the biggest givers. In fact, it’s actually the complete opposite- over 70% of SPLdonations come from individual donors.

?? How Accounting Can Impact Your Fundraising Strategies

Fundraising and accounting might not seem inextricably linked. However, a good accounting department can have a major impact on fundraising strategies, financial management, and decision-making. A nonprofit's back office is an invaluable tool, a wealth of information, and a veritable control deck for leadership, fundraising, and financial health.

Showing Donors The ROI Of Their Gift Significantly Boosts Funds.

Get Started Today!