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Online fundraising quick wins

Three evidence-based quick wins to improve the online fundraising of any non-profit organization

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Online fundraising quick wins

  1. 1. Optimize online fundraising: Three evidence-based quick wins
  2. 2. Don05032020/Zsct5JQkmQ1zkk00lQ 2 Three evidence- based quick wins: Overview Quick win No. 1 Add an anchor to your online donation form: Quick win No. 3 Give effective guidance: Quick win No. 2 Emphasize recurring donations:
  3. 3. Don05032020/Zsct5JQkmQ1zkk00lQ 3 Quick win No. 1: Add an anchor to your online donation form Impact:To do: Pre-fill a donation amount that is higher than your average donation amount. Frank‘s Level of Evidence scale: **** Meta-analysis of more than five randomized controlled trials (RCTs) *** Max. five RCTs or more than five RCTs in a different context ** General principle proven by peer-reviewed quantitative studies * Expert judgment Donation Uplift Effect: ++++ >100% +++ 50-100% ++ 20-50% + <20%
  4. 4. Don05032020/Zsct5JQkmQ1zkk00lQ 4 Quick win No. 2: Emphasize recurring donations Impact:To dos: Make monthly donations the default option. – Eliminate quarterly and half- yearly payment options (monthly and annual is sufficient). – Reduce accessibility of the “one-time donation“ option. Frank‘s Level of Evidence scale: **** Meta-analysis of more than five randomized controlled trials (RCTs) *** Max. five RCTs or more than five RCTs in a different context ** General principle proven by peer-reviewed quantitative studies * Expert judgment Donation Uplift Effect: ++++ >100% +++ 50-100% ++ 20-50% + <20%
  5. 5. Don05032020/Zsct5JQkmQ1zkk00lQ 5 Quick win No. 3: Give effective guidance Impact:To dos: Present at least three, but not more than five monthly donations to choose from, adhering to typical thresholds (5, 10, 15, 20, 25, 30, 50, 75, 100 etc.) – Lowest monthly amount of should be close to your most frequent recurring donation. – Second monthly amount should be one or two thresholds above your most frequent recurring donation. – Highest monthly amount should be at least double your average most frequent recurring donation and should exceed a threshold Frank‘s Level of Evidence scale: **** Meta-analysis of more than five randomized controlled trials (RCTs) *** Max. five RCTs or more than five RCTs in a different context ** General principle proven by peer-reviewed quantitative studies * Expert judgment Donation Uplift Effect: ++++ >100% +++ 50-100% ++ 20-50% + <20%
  6. 6. Don05032020/Zsct5JQkmQ1zkk00lQ 6 So how do we know all this? Unrivaled experience! – 2000+ randomized controlled trials (RCTs) or A/B (pre-)tests – in 10+ countries Donanto Foundation helps charities improve their fundraising - for free. Long story short: After more than twenty years as one of the world’s premier management consultants focusing on monetization, Frank realized that charities need this type of expertise just as much as the big corporations he had served thus far. Need help? Contact frank@donanto.org
  7. 7. Don05032020/Zsct5JQkmQ1zkk00lQ 7 Selected learnings from charity fundraising
  8. 8. Don05032020/Zsct5JQkmQ1zkk00lQ 8 Example 1: Introducing higher amounts +21% Less than 15 Euro 15 Euro More than 15 Euro No interest 100 Euro 50 Euro 20 Euro Other sum No interestA/B pre-test results with total n = 2000 Germans aged 18+, 2019; sample weighted to be representative of German online users Assumption for revenue uplift: “more than 15 Euro” = 50 €, “Other sum” = 10 €
  9. 9. Don05032020/Zsct5JQkmQ1zkk00lQ 9 Example 2: Adjusting the message +7% 100 Euro – 20 trees 50 Euro – 10 trees 20 Euro – 4 trees Other sum No interest 100 Euro – 20 trees 50 Euro – 10 trees 20 Euro – 4 trees Other sum No interest Save climate now Donate trees now A/B pre-test results with total n = 1000 Germans aged 18+, 2019; sample weighted to be representative of German online users Assumption for revenue uplift: “Other sum” = 10 €
  10. 10. Don05032020/Zsct5JQkmQ1zkk00lQ 10 Example 3: Pushing monthly donations +341% 100 Euro 50 Euro 20 Euro Other sum No interest Let‘s assume a non-profit organization advertises with the following message. How much Euro would you donate? Let‘s assume a non-profit organization advertises with the following message. How much Euro would you donate? 5 Euro = 1 tree per month 10 Euro = 2 trees per month 20 Euro = 4 trees per month Other sum No interest A/B pre-test results with total n = 1500 Germans aged 18+, 2019; sample weighted to be representative of German online users Assumption for revenue uplift: “Other sum” left = 10 €; “Other sum” right = 3 €; avg. subscription length 12 months
  11. 11. Don05032020/Zsct5JQkmQ1zkk00lQ 11 Example 4: Too many options can hurt +13% 5 Euro = 1 tree per month 10 Euro = 2 trees per month 20 Euro = 4 trees per month No interest Let‘s assume a non-profit organization advertises with the following message. How much Euro would you donate? A/B pre-test results with total n = 1000 Germans aged 18+, 2019; sample weighted to be representative of German online users 5 Euro = 1 tree per month 10 Euro = 2 trees per month 20 Euro = 4 trees per month Other sum No interest
  12. 12. Don05032020/Zsct5JQkmQ1zkk00lQ 12 Example 5: Flexibility can hurt +9% 5 Euro = 1 tree per month 10 Euro = 2 trees per month 20 Euro = 4 trees per month No interest Let‘s assume a non-profit organization advertises with the following message. How much Euro would you donate? Let‘s assume a non-profit organization advertises with the following message. How much Euro would you donate? (Your recurring donation can be canceled anytime) A/B pre-test results with total n = 1000 Germans aged 18+, 2019; sample weighted to be representative of German online users Assumption for revenue uplift: avg. subscription length 12 months
  13. 13. Don05032020/Zsct5JQkmQ1zkk00lQ 13 In short: Lots of upside potential! +600%+36% 5 Euro = 1 tree per month 10 Euro = 2 trees per month 20 Euro = 4 trees per month No interest Let‘s assume a non-profit organization advertises with the following message. How much Euro would you donate? Less than 15 Euro 15 Euro More than 15 Euro No interest DONATE A/B pre-test results with total n = 1000 Germans aged 18+, 2019; sample weighted to be representative of German online users Assumption for revenue uplift: “more than 15 Euro” = 50 €, avg. subscription length 12 months
  14. 14. Don05032020/Zsct5JQkmQ1zkk00lQ 14 In short: Lots of upside potential! +497%+10% A/B pre-test results with total n = 1200 Germans aged 18+, 2020; sample weighted to be representative of German online users Assumption for revenue uplift: “more than 50 Euro” = 100 €, avg. subscription length 12 months

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