Acquiring a new donor is more expensive than keeping a current donor. Plus, the lifetime dollar value of a happy donor is way more than the value of a donor who only gives once (d’uh).
Most nonprofits know this, but it seems like most of them spend a larger amount of their resources on acquiring new donors instead of keeping their current donors happy.
The math just makes sense:
Higher acquisition costs + lower donations =
Following are seven ways to help you turn this sad face upside down:
1. Say Thanks
Can you believe that even huge organizations with lots of resources never said thanks once a donation is made? Research shows that thanking donors increases the likelihood they’ll continue to give, and increase the amount they’ll give.
2. Give Your Supporters Better Tools
You know what’s made Amazon a billion-dollar success? They’ve optimized their purchase down to a single mouse-click.
Same thing goes for your top social fundraisers.
Don’t give your top fundraisiers a clunky platform. Give them something powerfully simple, like Razoo.
And get ride of the ugly PayPal button on your website.
3. Plug up the Holes in Your Website
There are critical pages on your website where you want visitors to complete a specific transaction, such as donating money or joining an email list.
Sadly, these pages are often the reasons why people aren’t donating as much as they would. This free eBook includes 15 ways to improve these landing pages.
4. Make Your Supporters Agendas Your Agenda
One way to keep your top supporters interested and committed is to support their agendas!
For example, if one of your top supporters publishes a blog about why the cause is personal, you need to be retweeting their blog posts.
Or if one of your top fundraisers owns a local restaurant, you’d better be holding some of your events there.
5. Constantly Report Outcomes
I love what the Animal Rescue League of Boston does on Facebook. Almost every week, I see some kind of success story. As Alexandra mentioned, 53% of online donors in one study identified “achieving and communicating measurable results” as prominent in their decision making to donate again. You want people to donate more than once? Report outcomes!
6. Develop One Cause Marketing Partnership
Cause marketing is a partnership between a nonprofit and a for-profit for mutual profit. And it’s probably one of the most overlooked, underutilized strategies for raising money.
Joe Waters’ has five tips for creating a cause marketing program for your organization.
7. Don’t Shoot for Perfect
Trying to get everything perfect will only get nothing done. But “done” is what you want - not perfect!
Break your donor retention strategy down into to small chunks that you can do one at a time. Done… next… repeat.