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Increase Retention for Giving Tuesday Donors--BA.pdf

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Welcome to
Bloomerang Academy
Thank you for joining us!
Please tell us where you are joining us from and what the weather is
like where you are….drop it in the CHAT!
Ask questions
Live Transcript
Share ideas
Housekeeping
Housekeeping
We will share the slides and recording of this session with you via
email later today.
Our dial-in number in case you should need it: +1 669 900 6833
Any questions we are not able to answer live or in the Q&A will
be addressed after the session via a follow-up.
If you need further assistance, please reach out to
support@bloomerang.com. Our support team is amazing!
Margie Worrell
Margie Worrell is the Curriculum Manager at
Bloomerang. She serves on the board of the
Peace Learning Center in Indianapolis, and has
worked extensively with nonprofits as both a
staff member and a lead volunteer. Her
passions include education, theatre, her two
children and her two small dogs.
Curriculum Manager, Product Marketing
Increase Retention for Giving
Tuesday Donors
Agenda
1.
2.
3.
4.
Why is Donor Retention so important
Final thoughts
Why do donors lapse, leave or stay loyal?
What is typical donor communication for
Giving Tuesday?
5.
What could we be doing and how can we do
it?

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Increase Retention for Giving Tuesday Donors--BA.pdf

  • 1. Welcome to Bloomerang Academy Thank you for joining us! Please tell us where you are joining us from and what the weather is like where you are….drop it in the CHAT!
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  • 4. Margie Worrell Margie Worrell is the Curriculum Manager at Bloomerang. She serves on the board of the Peace Learning Center in Indianapolis, and has worked extensively with nonprofits as both a staff member and a lead volunteer. Her passions include education, theatre, her two children and her two small dogs. Curriculum Manager, Product Marketing
  • 5. Increase Retention for Giving Tuesday Donors
  • 6. Agenda 1. 2. 3. 4. Why is Donor Retention so important Final thoughts Why do donors lapse, leave or stay loyal? What is typical donor communication for Giving Tuesday? 5. What could we be doing and how can we do it?
  • 7. Giving Tuesday is a big deal… https://www.givingtuesday.org/about/impact/
  • 8. …and last year was no exception…. ● $3.1 billion of critical support for communities and causes donated in just 24 hours in the US alone. ● 15% increase in giving since 2021. ● 35 million adults in the U.S. participated in GivingTuesday in some way, a 6% increase over 2021. https://www.givingtuesday.org/about/impact/
  • 9. …but 1/5th of Annual Nonprofit Revenue is raised in December, much of it occurring on the last two days. $306,664,506.03 $312,022,738.40 $137,751, 040.92 $143,171,5 46.82
  • 10. New Years Eve is bigger 10% of all giving happens in the last 3 days of the year (December daily giving) https://neonone.com/resources/nonprofit-impact-trends-data-hub/
  • 11. Why is Donor Retention So Important?
  • 12. POLL Do you know your donor retention rate?
  • 13. All Donors in Year #1 Return Donors in Year #2 Donor Retention % Rate
  • 14. Average Donor Retention Rates Over the past few years 45.1% 47.2% 44.6% 45.4% 43.6% 41.6% 2016 2017 2018 2019 2020 2021 0% 10% 50% 40% 30% 20% Source: Fundraising Effectiveness Project
  • 15. Source: Fundraising Effectiveness Project 18.6% First Time Donors 41.6% Average Donors (all donors, all gifts) 60.7% Repeat Donors Average Donor Retention Rates As of Jan 2022
  • 16. First-Time Donor Retention Rates Over the past few years 25.3% 22.6% 24.4% 20.5% 20.3% 19.3% 18.6% Source: Fundraising Effectiveness Project INSIGHT: acquisition cost is higher than the initial gift. FB, P2P make it easier than ever to donate
  • 17. Repeat Donor Retention Rates Over the past few years 63.2% 61% 63.4% 61.6% 61.3% 59.6% 60.7% Source: Fundraising Effectiveness Project INSIGHT: Once you get a 2nd gift, you’re in much better shape!
  • 18. Cost of Donor Acquisition vs. Donor Retention It’s easier and cheaper to retain a donor than it is to acquire one Cost Per Acquisition 5X Cost per renewal Cost Per Acquisition 2-3X Initial donation amount Renewal Response Rates 20-30X Higher than acquisition response rates Source: Fundraising Effectiveness Project
  • 19. Why Donor Retention is Important Original Retention Rate: 41% Grand Total: $820,859 Grand Total: $1,277,208 Difference: $456,349 Improved Retention Rate: 51%
  • 20. Why Donors Lapse, Leave or Stay Loyal
  • 21. Why Donors Stop Giving 2001 study by Adrian Sargeant 5% - Thought charity did not need them 8% - No info on how monies were used 9% - No memory of supporting 13% - Never got thanked for donating 16% - Death 18% - Poor service or communication 36% - Others more deserving 54% - Could no longer afford INSIGHT: We can make a meaningful impact on the above reasons!
  • 22. Why Donors Keep Giving 2011 study by DonorVoice 1. Donor perceives organization to be effective 2. Donor knows what to expect with each interaction 3. Donor receives a timely thank you 4. Donor receives opportunities to make views known 5. Donor feels like they’re part of an important cause 6. Donor feels his or her involvement is appreciated 7. Donor receives info showing who is being helped ACTION: What is your thank you turnaround time?
  • 23. What Subscription- based Donors Tell Us Source: IU Lilly School of Philanthropy 52% - Stories and experiences shared by the people my gifts have helped 32% - Frequent updates about organization’s programs and services 32% - Emails with my donations impact and heartfelt thank you(s) 25% - Educational and interactive webinar series related to the organization’s mission and impact areas Preferred communication and content from nonprofit organizations they support INSIGHT: Stories, heartfelt thank yous and impact-based communications lead the way!
  • 24. How to Improve Donor Retention 1. Thank quickly + personally 2. Illustrate that you know who the donor is 3. Segment communications 4. Tell them how gifts are used / will be used 5. Tell them what comes next 6. Be curious about donor motivation and solicit feedback 7. Prioritize monthly giving ACTION: Pick one or two to start.
  • 25. What is the typical donor communication for Giving Tuesday donations?
  • 26. Steven’s Great $5 Donor Communications Experiment What do you see here that could be improved upon?
  • 27. What could we be doing and how can we do it?
  • 28. Five things you can do now to increase your retention from Giving Tuesday 1. Thank your donors! 2. Segment and communicate promptly 3. Phone calls to first time donors 4. Send a survey to get their input 5. Share impact storytelling to emphasize the importance of their donation
  • 29. Consider segmenting your donors New donor and repeating donor New donors All donors for your Giving Tuesday campaign – Find the average donation amount from this group Repeat donors Repeat donors, above average donation amount Repeat donors, below average donation amount New donors, above average donation amount New donors, below average donation amount
  • 30. Consider segmenting your donors After you segment, create different follow-up plans Repeat donor – below average donation amount New donor – below average donation amount New donor – above average donation amount Repeat donor – above average donation amount Consider calling them? This could start to build a new relationship. A three-minute phone call will boost 1st year retention by 30%. Acknowledge their first gift and explain how it will be used. Tell a story and set stage for what will come next. Do something special? Consider sending a video thank you. Recognize that they have gone above and beyond. Consider follow-up for recurring giving. Acknowledge their gift with gratitude. Consider reaching out to get feedback.
  • 31. Consider phone calls for first-time donors Research into the efficacy of phone calls to first-time donors First-time donors who get a personal thank you within 48 hours are 4x more likely to give a second gift. (McConkey-Johnston International UK) A thank-you call from a board member to a newly acquired donor within 24 hours of receiving the gifts will increase their next gift by 39%. (Penelope Burk) Thank-you calls to first-time donors increases: ● the retention rate ● speed to second gift ● the amount of the second gift Source: Bloomerang, June 2022
  • 32. Phone Calls to First-time Donors Increases RETENTION 37.3% 32.4% 55.1% % Retained Source: Bloomerang, June 2022
  • 33. Phone Calls to First-time Donors Increases SPEED-to-second-gift 312 259 163 # of days until 2nd gift (median) Source: Bloomerang, June 2022
  • 34. Phone Calls to First-time Donors Increases second gift AMOUNT $60 $100 $100 Median 2nd gift amount Source: Bloomerang, June 2022
  • 37. Use impact storytelling to help donors understand the importance of their gift
  • 38. Putting all the pieces together
  • 39. Demo these four in Bloomerang 1. Phone calls to first time donors 2. Segment and communicate promptly 3. Send a survey to get their input 4. Share impact storytelling to emphasize the importance of their donation
  • 40. Wrap Up 1. Make retention a priority 2. Segment your communications 3. Say thanks thoughtfully before asking 4. Pick up the phone 5. Ask for their input 6. Tell stories of impact
  • 41. “Putting our donor retention rate in front of us every day has been invaluable. Our retention rate has risen to 70%, and we aim to increase it even more.” -Kristen Westermann, Godparents of Tanzania https://bloomerang.co/product/mobile-app/
  • 42. Resources Knowledgebase Donor Retention Wheel Basics First-time Donor Call Basics The Fundraiser’s Guide to Loving Lapsed Donors Donor Engagement Surveys Basics Send or Schedule Emails Bloomerang Academy Recapture Lapsing Donors Giving Tuesday: Designing Engaging Emails List Segmentation
  • 43. Resources Other resources Donor Retention Calculator (article with active donor retention calculator) What’s The Impact of Improving First-Time Donor Retention? (article) What Is Donor Retention? (article) The Art and Science of Retaining Digital Donors (downloadable ebook) Personalized Communications: The Key To Donor Retention (video with transcript) The Best GIving Tuesday Email Subject Lines of 2022 (article) A Guide to Donor Retention (article) 5 Ways to Build Relationships and Increase Donor Retention (webinar) Storytelling To Help Donors Understand the Value of their Dollar (video with transcript) How Can Nonprofits Move From Exploitative Storytelling To Justice-Oriented Storytelling? (article)
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  • 46. Poll 1. Make retention a priority 2. Segment your communications 3. Say thanks thoughtfully before asking 4. Pick up the phone 5. Ask for their input 6. Tell stories of impact
  • 47. Thank you for attending! Visit our website to see more upcoming Bloomerang Academy webinars!