Tag: Asking

Answers to 5 Key Questions About Monthly Giving

Erica Waasdorp  |  Repeat
5 key questions and answers.

The following is a hand-picked guest post from Erica Waasdorp. Enjoy, and you can read more about Erica below.

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As I’m sure you can imagine, fundraisers ask me questions about monthly giving all of the time. That’s why I wanted to answer a few of those key questions.

1. What’s the Best Time of Year to Ask for Monthly Gifts?

There is no bad time to ask for monthly gifts, but if you want to plan for prime times, they’re September/October and February/March.

I love calling September “sustainer month.” It’s an ideal time to focus on monthly giving. The kids are back in school. People have returned from vacations. You’re not yet in the heavy giving season. What is a better way to engage donors than by asking them to consider a monthly gift right now? Consider a small sustainer drive, integrating all your messaging, aimed at monthly gifts.

Then do the same in February/March. You may have recent one-time donors you can invite to consider converting to give monthly.

Having said this, if you want to grow your monthly donor program, you must ask your small donors as often as possible. It’s so easy to build in extra monthly-giving buttons, so you’re constantly planting the seeds about recurring giving. Just look at your annual communications plan and add some monthly giving campaigns and then make sure you do them. What do you have to lose?

2. What’s the Next Big Trend When It Comes to Monthly Giving?

Instead of worrying about the next big trend, I think it’s more important that each nonprofit looks at giving more opportunities for donors to consider a monthly gift. The good news is that I’m starting to see more of that.

  • Electronic bank transfer. Nonprofits are offering an electronic bank transfer, aka automated clearinghouse (ACH), which is good news as that will help prevent expiring and declining credit cards. Some organizations have also started preselecting the ACH on their forms.
  • Texting. More nonprofits can add texting to the mix and that’s a great way to support a campaign.
  • Connected TV (CTV). The larger nonprofits are successful in using CTV. It’s much more expensive than mail, email and phone though.

The more important trend, though, is what you are seeing in your own nonprofit. What have you done to generate new monthly donors? Then consider adding a few more emails and seeing where you can add monthly gifts to your direct mail pieces.

Oh, by the way, remember to repurpose your content. If you had an email that worked well for one-time gifts two years ago, can you use it again to ask for a monthly gift this time?

3. Can Donors Give Monthly from their Donor-Advised Fund (DAF)?

Yes, donors can use their DAF to make recurring grants. They typically have $50 a month minimum. Donors can choose other frequencies, and unfortunately, they can set an end date. It’s important to always follow directions on how the donor wants to be recognized, but other than that, you can steward them like you would other monthly donors.

If you can, code them in your donor database as recurring DAF donors.

Just like with online banking donors who set up recurring gifts without telling you, you may be able to find these recurring donors by looking at trends in your donor database.

4. Are Workplace Giving Donors Recurring Donors as Well?

Just like with DAF monthly donors, these recurring donors come in through a different “system,” if you will, so it’s not feeding into the same bucket. You’ll need to tally them differently. I’m going to assume that you’re able to code them as such to pull separate reports. You may need to give them a separate attribute or group so you can segment them as needed.

For example, you can most likely pull a report from your donor database for your monthly donors and see how many there are, as well as their monthly and annualized value. Then run a report for your DAF recurring donors and your workplace givers and calculate the same. That will be your total of recurring donors for overall trend purposes.

The key question though with these types of monthly donors is how do you steward them. If someone makes a gift from their paycheck, absolutely consider them a monthly donor and let them know how special they are. If someone makes a recurring gift from their DAF, absolutely, recognize them as special. This leads to the next question.

5. Is There a Difference in Stewarding One-Time versus Monthly Donors?

In the old days, we tried to leave monthly donors alone. Now, not so much. The minute someone starts making that first monthly gift, code them in your donor database and email program so that you can do something special.

Take some time and map out what you’re sending to one-time donors during the year. Look at what other departments, like major gifts, are doing?

What can you borrow or implement? What can you customize for monthly donors with just a short intro message change? What can you add that makes the donor feel special? Perhaps a phone call, a text message or a handwritten thank-you card. What would make your nonprofit stand out? What would make the donor feel most engaged?

For example, if you have a print newsletter, send it. If you have email news updates, send them. All of those are totally great.

If your donors are used to receiving mail, and they haven’t told you to stop sending mail, send them your key appeals. Add in a short message of gratitude and make it clear you’re asking for an extra gift. But remove any reference to a monthly-gift ask from those appeals because they’re already giving monthly.

Automate what you can. Then use opportunities that come up to do things that are surprising but are of interest to monthly donors who are invested and interested in what goes on. If you can send a text message, great. Do that. If you can send a video from the field, great. Do that.

Just remember that donors want to know their gifts matter. That’s the key driver for all of your stewardship messaging. Make your monthly donors feel special.

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Steven says: This is a guest post from Erica Waasdorp, the renown (and wonderful!) author of Monthly Giving Made Easy. If you want to start a monthly giving program, or make yours better, start with Erica. Sign up for her newsletter (plus free resources) here.

This post was originally published by NonProfitPRO on September 20, 2023.

Top 3 Tips for Fundraisers Looking to Level Up Their Monthly Giving

Erica Waasdorp  |  Ask

The following is a hand-picked guest post from Erica Waasdorp.  Enjoy, and you can read more about Erica below.

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Here are my top three tips for fundraisers who are looking to start growing their monthly giving program to the next level.

1. Commit to Monthly Giving

If you’re not committed to growing, you’re never going to grow. This is not a once and done campaign. Monthly giving should be included in your overall fundraising strategy.

One way to commit is by making a monthly gift yourself to your own organization. Another way is to give monthly to a few other organizations you like or admire. It’s a great way to see what they’re doing.

The main reason why a donor gives monthly is because they want to help. Making a recurring gift is more likely to fit in their budget, but if they don’t want to help because you’re not explaining the need and making the donor part of the solution, all bets are off.

2. Make It Easy for Your Donor to Find the Monthly Giving Option

I still see way too many websites where monthly giving is buried in ways to give, and it takes multiple clicks to get there. Check out tactic No. 6 from this NonProfit PRO article on numerous tests from NextAfter.

What do you have to lose by adding an extra button on the homepage and an extra button in an email? It’s a tactic successfully used by numerous organizations, and it’s not going to hurt your one-time giving revenue.

3. Create a Mini-Story or Nudge

In one sentence, how does a monthly gift help your constituents, your animals, patients, clients? Here are just a few examples:

  • “Start your monthly gift to ensure that more children can receive lasting support, access learning and have a better opportunity for the future. “
  • “You can help create lasting change by giving monthly, empowering people to lift themselves out of poverty.”
  • “Your monthly gift will make a difference every day and every month for neighbors in need.”
  • “Your monthly gift ensures seniors don’t have to choose between food and rent.”

Don’t overthink it. Just start somewhere, and you can always refine your message further.

Then look at your communication channels and messages and see where you can add the button and your mini story.

Your email newsletter? Your print newsletter? Your direct mail appeals? A buck slip in your thank-you letter? Your survey? The options are endless.

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Steven says: This is a guest post from Erica Waasdorp, the renown (and wonderful!) author of Monthly Giving Made Easy.  If you want to start a monthly giving program, or make yours better, start with Erica.  Sign up for her newsletter (plus free resources) here.

This post was originally published by NonProfit PRO on October 16, 2023.

The Lesson

Steven Screen  |  Ask
Simplicity.

Years ago I served an organization that was raising about $350,000 per year from their individual donors.

They had a belief that they needed to share all of their programs, and show how those programs worked together to “solve the whole problem,” in order for donors to give gifts.  Their belief resulted in fundraising that spent significant time describing their programs and how their programs worked together.

I advised them that they needed to keep things simpler.  I suggested that they focus an e-appeal on one specific program.

They pushed back:

“We’re not a simple organization like one of those big national organizations you work with.  What we do is complex.”

I explained to them the lesson I had learned over the years: that the big national organizations have sophisticated approaches and programs, but that they purposefully keep their fundraising simple and emotional in order to make their organization more accessible to more people.

Those big organizations want everybody to be able to donate, not just the people who are interested enough to learn about their programs.

The organization I was working with had assumed that because the fundraising to individual donors was simple, the organization and its programs must be simple. 

But the lesson is that those big organizations appear simple because of a conscious messaging choice.  In their fundraising to individual donors, they choose to focus on single programs or simple outcomes because doing so is proven to help them attract more new donors and raise more money from current donors.

Sophisticated fundraising looks simple on purpose.

This post was originally published on November 26, 2024.

Share Stories That Support Your Ask

Sarah Lundberg  |  Ask
What's your story?

Before my time at The Better Fundraising Co, I used to be a Director of Marketing and Communications for a nonprofit. But then the nonprofit I was working at needed me to create their fundraising materials from scratch, and I discovered a whole new world of expertise — it challenged the beliefs that my nonprofit and I had for how fundraising worked.

But we started raising a LOT more money. 

When we learned more about the role of stories in our fundraising, it helped us shape our fundraising pieces to perform better.

Our organization had GREAT stories, but we didn’t always share them in a way that worked effectively for fundraising.

Sometimes we would share a long story that would be full of details and symbolism and references to historical happenings. We loved these stories, but they didn’t seem to work when we were asking donors to give in direct response fundraising.

When we learned to use the right story for the right fundraising piece, our fundraising results increased.

Based on expert advice, we gave each fundraising piece ONE purpose, either asking donors to give or reporting back on what their giving had done.

We started sharing incomplete stories in our fundraising appeals, to show the donors the need that existed. These stories featured someone facing a problem that hadn’t yet been solved. This was an effective part of a piece where we were asking donors to give.

We shared completed stories in our newsletters, to show the donors what their giving had accomplished. These stories featured someone who had been facing a problem and also how the donor’s gift helped to solve the problem. This helped us report back to the donor and show that they made a difference.

This felt different to us internally.

For one thing, our stories were shorter and simpler.  But once we got the hang of it, finding and sharing stories was easier. We knew exactly what kind of stories we were looking for, depending on whether we were asking in an appeal or reporting back in a newsletter.

Something that makes me chuckle… back in the day when I was on staff at a nonprofit, the more I learned about best practices for direct response and email fundraising, the more I realized we’d been doing things the hard way.

Once we learned the fundamentals of what worked, everything became easier, including sharing stories. We knew what to do and how to do it.

When we started doing something that was easier AND raised more money – that was a win for us!

Read the whole series:

Make Your Copy Clear and Easy to Understand to Raise More Money

Sarah Lundberg  |  Ask
Make it easy.

Before my time at The Better Fundraising Co, I used to be a Director of Marketing and Communications for a nonprofit. But then the nonprofit I was working at needed me to create their fundraising materials, and I discovered a whole new world of expertise — it challenged the beliefs that my nonprofit and I had for how fundraising worked.

But we started raising a LOT more money.  Let me share my journey…

Something that made a big difference for my organization was creating fundraising materials that people could easily understand by writing at a lower reading level, using simpler sentences, and eliminating jargon.

As we started communicating differently, a whole host of worries came up. We worried donors would think we were talking down to them. We worried we wouldn’t come across as the “experts” we were.

We decided to try it anyway.

And none of the things we worried about actually happened.

We started to treat donors like the busy, caring people they were, and they appreciated it. We did the work to make our fundraising writing clear, so THEY didn’t have to do the work to read something dense and full of jargon.

Here are the main issues we focused on to make our writing clear and easy to understand:

  • Using short sentences and short paragraphs
  • Not using internal jargon that our donors wouldn’t easily understand
  • Writing at a reading level between 6th and 8th grade so donors could understand our fundraising writing quickly

It didn’t take a lot to make our materials easier to understand. It didn’t cost any more money or take that much more time. It just took working through some discomfort internally.

But changing these three things to make our copy clear and easy to understand helped us raise more money for our mission!


Read the whole series:

Get to the Point FAST to Raise More Money with Your Appeals and E-Appeals

Sarah Lundberg  |  Ask
Get to the point.

Before my time at The Better Fundraising Co, I used to be a Director of Marketing and Communications for a nonprofit. But then the nonprofit I was working at needed me to create their fundraising materials, and I discovered a whole new world of expertise — it challenged the beliefs that my nonprofit and I had for how fundraising worked.

But we started raising a LOT more money.  Here’s a bit about my organization’s journey…

One thing that made a huge difference in our direct mail and email fundraising efforts was getting to the point fast in our communications.

First, a funny (slightly mortifying) story.

When I started learning about direct mail fundraising, I had to face an uncomfortable reality that nearly every instinct I had as a marketing and communications professional was wrong for fundraising.

I remember telling Steven Screen (co-founder of The Better Fundraising Co. and now my boss) that I used to include the fundraising “ask” at the end of the appeal as a reward for the people who read to the end.

I wish I could include a snapshot of the look on Steven’s face.

What I didn’t know at that point was that almost nobody reads to the end to an appeal.

So almost nobody had been SEEING the fundraising ask in our appeals.

Gulp.

We adapted our appeal and e-appeal format to get right to the point in the first four paragraphs. We shared the problem and the solution right away. AND we asked the donor to give in the first four paragraphs.

It was bold. It was uncomfortable. Internal staff didn’t like it as much. Wasn’t it —impolite — to get right to the point like that?

But it worked.

More donors started to respond to our appeals. And the average gift went up.

Over time, it felt less uncomfortable internally. The team started to appreciate the new approach to appeals and e-appeals. It’s amazing how raising more money can help a team get over discomfort.

If your team is struggling with trying a new fundraising tactic, it helps to acknowledge with your team that change is uncomfortable and be willing to try it anyway. Raising more for your mission is worth it!


Read the whole series:

How a Strong Fundraising Offer Changes Everything

Sarah Lundberg  |  Repeat
Can you help?

I used to be a Director of Marketing and Communications for a nonprofit where I had minimal involvement with fundraising.

But then the nonprofit I was working at needed me to start writing their direct response fundraising, and I discovered a whole new world of expertise. This experience challenged the beliefs that my nonprofit and I had for how fundraising worked. But we started raising a LOT more money.  Let me share my journey…

The first thing that made an impact was developing strong fundraising offers for our direct mail appeals.

This meant we started being clearer about what the donor’s gift would do or promising what would happen when they made a gift, like “your gift of $50 will provide a food basket for a child while they are on school break.”

For years, we had been sending out appeals asking people to give but we weren’t that specific about what their gift would do. We asked people to give to help children in a certain country get an education. Or give to help support a church planter.

It sort of worked. The donors who were close to the organization and the mission would respond. But people who didn’t know the organization as well just didn’t seem to respond to our direct mail appeals.

“If they understood how important this is, they would give,” was a common phrase.

But how to get donors to understand?

When I started to learn more about fundraising offers, I brought back some new ideas, and we started approaching our appeals differently.

We started digging into the line items of budgets.

We started asking our program team detailed questions about how many people were participating in different programs, and every last detail they could give us.

This research meant we could put a dollar amount to doing a specific thing. And we could ask the donor to give to do that thing.

Instead of “give to help children in (country name)” we now had “give $35 to provide a backpack full of school supplies for one child in (country name).”

Instead of “give to support a church planter” we now had “give $5 so a church planter can reach one person.”

And suddenly our appeals started to raise more money.

The main change was that we were showing donors the difference they could make for one person with a specific gift.

I remember the first appeal we sent out with one of our newly developed offers. It was year-end — not a time of year you want to fumble things. I was… worried.

I remember saying to my boss, “What if this doesn’t work?”

“You know… it’s possible it won’t work,” he said. “But let’s still try it.”

Having a boss who was open to trying things differently was a gift. (I know bosses don’t always respond like that!)

But what it came down to was this… we could keep doing things the way we had always done them and get similar results. Or we could take a calculated risk based on best practice recommendations from an expert and raise more money for our mission.

And when things are only “sort-of” working, taking a calculated risk based on expert recommendations is a smart thing to do.

My organization went from raising around $10,000 from our direct mail fundraising appeals to raising $30,000, 40,000, and even $50,000 from our direct mail fundraising appeals.

Change can be scary, especially when you’ve been doing something the same way for years. But if you can work through the fear with your team, Better Fundraising can happen for your organization as well (see what I did there?).

You Optimize What You Measure

Steven Screen  |  Repeat
Measure.

What you decide to measure is important, because it determines what you tend to optimize.

Take email fundraising.  One of the metrics that small- to medium-sized nonprofits tend to obsess over is how many unsubscribes they get.  For organizations like this, one of the core principles of their email strategy becomes “minimize unsubscribes.”

That’s absolutely fine IF the nonprofit is also measuring and prioritizing “the number of new donors acquired via our email list” and “revenue from fundraising emails.”

All three of those metrics work in concert to produce an effective email fundraising program.

But if the main operating principle is to minimize unsubscribes, you end up with an email program that asks for support less often than it could, raises less money than it could, yet is pleased with its performance because of how few unsubscribes they have.  Ouch.

Situations where organizations over-prioritize one metric happen all the time in fundraising:

  • Nonprofits that are constantly Asking for support raise lots of money in the short term… but have lousy donor retention rates
  • Nonprofits that relentlessly focus on ROI will see their ROI increase… and watch their impact shrink
  • Nonprofits who over-steward their donors out of fears around asking “too much”… will raise far less money than they could be raising

It’s easy to come up with a fundraising platform or strategy that just prioritizes one metric… but it never works in the long term. 

Sustainable, growing fundraising is all about getting your mix right: Asking and Reporting, high-ROI major donor relationships and low-ROI donor acquisition, a few more unsubscribes and more email revenue.

So the next time you’re in a conversation that’s focused on just one metric, ask yourself and your colleagues what other metrics you should be considering. 

Because if you’re optimizing for just one metric, there’s usually a dark side that’s being missed.

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Related note: experienced Fundraisers are so valuable because they have the knowledge to help nonprofits “get their mix right” for short-term revenue and long-term growth. 

So we’re excited to share that if you’d like one of Better Fundraising’s experienced experts to help you “get the mix right” for your donor communications strategy and messaging this year, get in touch before this Friday night.

This page will show you how, for less than the price of an employee, Better Fundraising can write & design your print & email fundraising for you.  (We’ll get your mix right, I promise.)  🙂

And if you fill out the form on the bottom of the page before Friday night, we’ll honor last year’s pricing if you decide to hire us.  That’s a savings of $3,500.

Filling out the form by this Friday doesn’t commit you to anything.  But we love fundraising, and we’d love to help you!

Weird but True (and Important)

Steven Screen  |  Ask
Strange but true.

Here’s something weird but true:

Your Staff and Board receive more of your fundraising communications than your donors do.

That might not seem possible, but here’s how it works:

The Staff and Board of a nonprofit tend to open and read everything the organization sends out… but donors don’t. 

Let me give you an example, and then I’ll share why this is so important.

For example, if you send out a fundraising email, almost everyone on your Staff and Board notice and look at it.  But if your email open rate is 30%, then 70% of the people on your email list did not see the email.

So your Staff and Board received an email, but effectively 70% of your donors did not.

And if you send out an appeal letter, everyone on your staff and Board will notice and take look at it.  But maybe 50%* of donors opened the letter.

So your Staff and Board received an appeal letter, but about half of your donors didn’t.

Play this out over the course of a year and your Staff and Board have received a lot more of your fundraising than your donors have.  Put another way, the Staff and Board understand how many pieces the organization is sending to donors, but they don’t understand how few pieces the donors are receiving.

Consequently, most nonprofits have an over-inflated sense of how much they are communicating with their donors. 

The Consequence

When Staff and Board don’t know this truth, they often inadvertently keep an organization smaller than it could be.

The Staff and Board base their advice on “how much communication is enough” on their own inflated perception, NOT on their donors’ lived experience.

Consequently, nonprofit Staff and Boards consistantly advocate for less communication than the organization could be sending out, which results in less money raised from individual donors.

At Better Fundraising, our general rule of thumb is that most individual donors see a little less than half of the fundraising an organization sends out.  Keep that in mind as you build annual plans and campaigns, and you’ll communicate more effectively and raise more money.

And if you’re at a smaller nonprofit where your Staff or Board are handicapping your fundraising because of a mistaken understanding of “how much we’re communicating with our donors,” please share this post with them.

Getting Staff and Board to recognize the situation, and then moving past the stage where “my Board/boss won’t let us send out any more fundraising because s/he thinks we send too much,” is a step made by every organization with a thriving individual donor fundraising program.

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* This is an educated guess.  The published data on direct mail open rates is self-reported data, which is notoriously inaccurate.