A new quarterly report from the Fundraising Effectiveness project offers some key insights every fundraiser should be paying attention to!
More than 8,800 nonprofits studied showed an overall loss of donors. During the third quarter of 2022, the number of donors dipped by 7.1% compared to the same period in 2021. New donors were down by 19.2% and newly retained donors were down by 24.7%, accounting for nearly all of the change.
The news isn’t all bad. While there were fewer donors, the dollars given increased by +4.7%, compared to 2021 – which means tried and true donors have stepped up to do even more for the organizations they care about.
So, what does the data mean for your fundraising program?
- Now is the time to step up your donor retention efforts! Create a welcome packet for new donors. Communicate, communicate, communicate – more frequently and meaningfully with donors at all levels. Make personal calls and send newsy emails. Provide them with updates about how their dollars have made an impact on the causes they care about. Find ways to engage donors in your work by inviting them on tours and to events and performances.
- Give your loyal donors some extra love. Let them know that their continued support means even more when fewer people are giving to nonprofits. Reach out personally to those who have increased their giving and tell them how special and impactful that is. Include them in your retention efforts, and go even further by finding creative ways to make them feel like the important part of your team they truly are!
- Take a good look at your reliance on major donors. If your organization counts on a handful of loyal donors for a significant portion of your revenue, this poses a huge risk for future stability. Make a plan right away to decrease that reliance and diversify your donor base. Let us know if we can help.
Check out the full report here.
What ideas do you have for turning the trends around for your organization? Let us know!