Fundraising is likely the most challenging aspect of nonprofit work. That’s why the majority of organizational leaders seek out fundraising tips for nonprofits. We have tried to simplify advice in this article, with three key takeaways in mind.
We’ve outlined various ways you can use tools like Donor AI, integrated into management platforms you might already be using, to help you improve impact from campaigns. Technology, when applied well with seamless integration across systems you are already using, can actually help you get closer to your donors while attracting new funding sources.
The critical factor for success in the modern fundraising environment is to apply technology, but in ways that improve trust in your nonprofit. It is no coincidence that trust in nonprofits has eroded along with giving to nonprofits over the past few years, and also along with the advent of technological solutions.
In 2022, trust in nonprofits fell below businesses for the first time ever in the Edelman Trust Barometer. Trust fell another 4 points in 2023. Nonprofits need to get back their “consumer confidence.”
This involves creating a strong foundation for fundraising best practices that integrates new tech tools to make the donor experience more connected and personal. It also should improve your transparency and reporting to ensure that donors trust you at the highest level possible.
Once you have your guiding principles established, and a plan set with SMART goals and KPIs, you can think about applying fundraising strategies.
Major gifts and grants are usually the focus of the fundraising strategy, neglecting the smaller donors. The trends today are towards the small donations, however, in political fundraising and across the nonprofit world. They are easier to achieve, and can help you draw in new donors to then vet for larger gifts.
You can probably take advantage of technology to reach out to people who are already supportive of your work, at greater ease, and in new ways. Think about sending an email campaign or text appeals to your volunteer network, for instance. The point is to develop campaigns that honor small gifts and their place in your fundraising ecosystem.
There is a reason why shows like Survivor and Fear Factor were incredibly successful and spurred hundreds of spin offs across the world. People react to the “Martyrdom Effect”.
Try peer-to-peer fundraising events where your volunteers struggle to achieve a result, whether a marathon, or a fasting challenge. They’ll likely get more support from their networks. To recruit participants, you’ll want to tap into your database on volunteer interests and invite your supporters who are aligned with that strategy.
Annual events are a time-tested strategy to engage and then re-engage donors. Donors like the continuity. They also like to be part of something, whether it is the “2nd Annual” or the “27th Annual”. Tech tools have made it much easier to automate invitations for donor and volunteer interests, RSVP tracking, and most of the event administration minutiae that used to make Annual Events cost prohibitive to smaller nonprofits.
People have become so bombarded with email and social media invites that nonprofits are turning back to snail mail. Direct mail campaigns have become more targeted with new tools like Donor AI and preference sorting at the same time.
Younger generations like the give-aways with certain donation levels that older generations began to scorn. This means you might get a higher return on a snail mail campaign, and achieve more towards your new donor metrics than with an electronic campaign.
QR codes have become ubiquitous and are an easy way to share information. They’re interactive, too, engaging new audiences to click through and learn more about you on their own terms.
You can create custom QR codes with a variety of online tools. Think about sharing a donation page via QR code on your print and electronic materials.
An essential component of nonprofit fundraising is applying a thoughtful donor cultivation cycle. There are generally five steps.
A simple, yet one of the most important fundraising strategies, is to brand your donation pages. If you provide QR codes or links to donation pages but they do not have your logo and other brand stamps, a donor is often put off. They need to trust the form is yours.
One helpful, but often overlooked, tool is white labeling. With a white-labeled online donation form, your organization’s name and logo appears instead of the vendor’s branding.
A top fundraising strategy is unique branding. Every campaign should have a special twist that is brand stamped on different giving forms and outreach materials. This can help you raise more funding, or additional gifts from the same donors who want to support different aspects of your work.
Tied back to the SMART goals, you will want to ensure that campaigns have reasonable fundraising goals. Donors are more likely to give to a goal they think you can actually meet. It’s called the “goal gradient” principle.
Plus, you don’t want to seem greedy! There are plenty of worthy causes out there, and donors have limited resources.
In your text and in your donation form, provide suggestions for amounts. Give a fair range so that people give what they can but are not put off by you asking for too much.
Your data on average gifts can help guide the numbers. A tip is to mark the average gift a little below the middle amount, so that donors have that option but are encouraged to give a bit more if they can.
Use a small sample of your email list to test:
Again, use your donor interests and other data here! Segment your email list as much as possible for different demographics, like age and gender, and also for program interests. You can send a few different appeals that are more personal this way.
Live and silent auctions are time-tested fundraising strategies. In the modern world, you can do either by themselves or in concert with an actual event. New tech tools also make it easier to plan and organize these functions. You can likely engage a group of volunteers to run the entire program for you virtually.
Golden volunteer platform, for instance, encourages volunteers to build their own pages and invite their friends and family to support your work through their various social media and communication channels. You can automate support materials, like videos from your executive director and testimonials, for them to showcase at their live events.
At your program and outreach events, you can set up a tablet with your giving page, or cards with your QR link. If you can make sure that volunteers are manning these stations to help interested donors, even better! Equip them with a give away present for each new donor to the cause to achieve an even higher return.
On your website and within your program materials, you should tell a very compelling founding and impact story. Donors connect better with a cause when it is personal and linked to broader issues in the community, to which they can relate. Testimonials from your program beneficiaries are very effective as well.
Every page on your website, and every email or communication you send, should have a call to action (CTA). These can be simple things, but they should engage the donor in taking direct action for your cause.
Every time that they do so makes them feel more connected to your work. For example, ask them to e-sign a petition; skip a meal on the weekend to see what food insecurity feels like for vulnerable children; or re-post your message to just one social media channel.
Ask your donors or volunteers to send your fundraising campaign to their peers, or advertise it on their social media channels. They can go as far as creating custom pages that link with your donation button or donation QR, or they can simply report back on posts and likes. It is good to give them KPIs for their support, as in helping you achieve 5,000 new likes.
GivingTuesday is the largest and most coordinated online fundraising campaign in the United States. Any nonprofit can participate. Think about posting a new campaign that day.
It is a good excuse to ask your volunteers and donors to participate in social media peer-to-peer fundraising events. It is also a great way to reach out to new donors through emails collected at an event.
You want to make sure you are constantly inviting everyone to share your messages, through social share button integrations on your website and emails. Management platforms can help you automate these processes fairly easily, for any of your communications.
When fundraising follows best practices, and integrates the top tech tools, you can achieve a greater level of efficiency and automation. When you synchronize your fundraising strategy with your volunteer management platform and your other CRM tools, you can be even more successful.
Golden helps you personalize your fundraising strategies across your volunteer and donor pools with seamless database integrations. You can assess volunteer and donor interests with custom Donor AI analysis, to invite the right people to participate in fundraising events. You’ll achieve a deeper level of trust this way that translates to higher donor acquisition and retainment.
That’s why, amongst the top fundraising tips for nonprofits, we include considering Golden’s custom solutions for your organization. Request a demo today!