10 Nov How Can Monthly Donors Solve Many of Your Fundraising Needs?
As a fundraising strategist, I hear this all the time- We need a monthly giving program and to increase our middle donor pool. AND we need to improve retention and increase LTV. Well, that’s a tall order!
Achieving these goals all at once may sound like a daunting task, but let’s take a look at how a monthly giving program can check all those boxes and then some.
To do so, we have to think about monthly donors in a new way…
Monthly donors are essentially middle donors and some may even be major donors. Think about it… a $10 monthly donor gives $120 over a year while a $40 a month donor gives $480 in that same time period.
Plus, they are some of the most loyal donors. Direct mail monthly donors have a response rate of 50-70% while those who give through credit or debit card have higher response since the transactions are automated. And their retention is through the roof!
Because of their middle/major status, high response and retention rate, monthly donors have high LTV’s. Oh, and by the way, they will give additional gifts through newsletters and certain appeals throughout the year.
So how can your organization convert current donors and attract new donors with a monthly giving offer?
- Set a goal to convert 3-5% of your donor file and new donors to middle/major donors through monthly gifts
- Create a holistic strategy with a sustainer call to action- January and February tend to be favorable months to implement because traditional giving is lower at the beginning of the year; a New Year message can also be incorporated and new donors from fall acquisition efforts can be targeted
- The strategy should include direct mail, light boxes, email, telemarketing, social media and retargeting strategies
- If possible, include a matching grant offer to improve response for the monthly giving conversion strategy
- Create an online donation form where it’s easy to sign up for monthly giving
Throughout the rest of the year, you can include monthly donor conversion messaging in newsletters and direct mail remits, optimize your donation forms and include interruptive light boxes after a donation is made online to convert the gift to a monthly donation.
Last, make sure to include monthly donors in your ongoing donor relations efforts and create new touch points to show them appreciation for their ongoing support.
Aria Strategy Group, CEO