In a recent opinion piece, fundraising consultant Jason Lewis pointed out that nonprofit research has recently focused on external causes for donor disinterest and falling donations from individuals.
Lewis argues that instead of focusing on external factors, nonprofits should think about what they’re doing to push individual donors away:
“…organizational-level choices — such as behaving like concierges to the rich and famous for 2 percent of donors while confining everyone else to a mailing list — are just as critical to understanding the real challenges.”
What do donors want? And how do you engage with them in a meaningful way?
Modern donors have high expectations for the organizations they support. They seek more than just an emotional connection to a cause—they want evidence that their contributions make a tangible difference. Below are key factors that influence donors’ giving decisions.
1. Transparency and Accountability
Donors want to know how their money is being used. Nonprofits that provide clear and detailed information about their financials, including how donations are allocated to programs, operations, and fundraising, are more likely to earn donor trust.
- Key Practices:
- Publish annual reports and financial statements on the nonprofit’s website.
- Use platforms like GuideStar and Charity Navigator, which rate nonprofits based on transparency and accountability.
- Provide updates on how specific donor contributions are making an impact.
Why it Matters: In a crowded philanthropic landscape, donors are more selective and gravitate toward organizations they perceive as trustworthy and well-managed.
2. Demonstrated Impact
Donors today are more interested in results than promises. They want to know how their contribution will bring about measurable change—whether it’s providing meals to families in need, supporting a literacy program, or planting trees to combat climate change.
- Key Practices:
- Share success stories, testimonials, and visual evidence of the nonprofit’s work.
- Use metrics to demonstrate impact (e.g., “With your donation, we delivered 5,000 meals this month”).
- Provide personalized updates to donors about the outcomes of specific campaigns or programs.
Why it Matters: Demonstrating impact reinforces the value of the donor’s contribution, encouraging future donations and fostering trust.
3. Personalized Communication and Engagement
Gone are the days when a single thank-you letter would suffice. Today’s donors expect personalized communication that reflects their individual contributions and interests. Nonprofits that segment their donors based on giving patterns or engagement levels are better equipped to deliver meaningful messages.
- Key Practices:
- Use donor management software to track and personalize interactions.
- Send personalized thank-you emails, handwritten notes, or event invitations.
- Tailor communication based on donor preferences, such as acknowledging long-time supporters or recognizing first-time donors.
Why it Matters: Personalized communication makes donors feel valued and builds deeper connections with the nonprofit’s mission.
4. Opportunities for Involvement
Many donors want more than just to give money—they also want to engage with the cause through volunteering, attending events, or serving on advisory boards. Providing opportunities for involvement allows donors to feel more connected to the mission and see firsthand how their contributions make a difference.
- Key Practices:
- Offer volunteer opportunities and encourage donors to participate.
- Create events (both in-person and virtual) where donors can engage with beneficiaries and staff.
- Provide leadership opportunities, such as serving on committees or boards.
Why it Matters: Donors who are actively involved in a nonprofit’s work are more likely to become long-term supporters.
5. Ease of Giving and Flexibility
Convenience is a key factor in donor retention. Nonprofits that offer multiple ways to donate—whether online, via text, or through recurring donations—can cater to different donor preferences. Additionally, offering flexibility in how donors contribute or allocate their gifts makes giving more attractive.
- Key Practices:
- Provide multiple payment options (credit cards, PayPal, bank transfers).
- Make recurring donations easy to set up and manage.
- Allow donors to designate funds for specific projects or programs.
Why it Matters: When giving is easy, donors are more likely to contribute regularly and feel empowered to support causes in meaningful ways.
6. Recognition and Appreciation
While many donors give because they care about a cause, receiving recognition for their generosity can reinforce positive feelings about their involvement. Thoughtful acknowledgments also encourage continued support.
- Key Practices:
- Publicly acknowledge donors through newsletters, websites, or events (with their consent).
- Send personalized thank-you notes shortly after a donation is made.
- Create donor appreciation events or send small tokens of gratitude.
Why it Matters: Recognizing donors for their generosity fosters goodwill and helps retain supporters over the long term.
7. Alignment with Values and Social Responsibility
Many donors, especially younger generations, choose nonprofits that align with their personal values. They are also increasingly interested in supporting organizations that are socially responsible and actively address issues like diversity, equity, and environmental sustainability.
- Key Practices:
- Showcase the nonprofit’s values and commitment to social responsibility on its website and in communications.
- Highlight partnerships with other socially responsible organizations or businesses.
- Be transparent about the nonprofit’s efforts to promote diversity and sustainability.
Why it Matters: Donors want to know that the organizations they support reflect their personal values and contribute to positive social change.
How Nonprofits Can Adapt to Donor Expectations
To build strong, lasting relationships with donors, nonprofits must embrace a donor-centric approach. Here are some strategies to meet donor expectations effectively:
- Invest in Donor Management Tools: Use software to track donor interactions, preferences, and giving history. This will help with personalized communication and targeted outreach.
- Provide Regular Updates: Keep donors informed about the progress of specific programs and initiatives. Use newsletters, emails, or social media to share impact stories and photos.
- Make Giving Easy and Accessible: Optimize your website for mobile donations, and offer a variety of payment options and recurring giving plans.
- Create Meaningful Engagement Opportunities: Host events, webinars, or virtual meetings where donors can learn more about your work and meet other supporters.
- Foster Long-Term Relationships: View every interaction as part of a long-term relationship, not just a one-time transaction. Engage with donors regularly and show them the difference their contributions make.
Conclusion
Understanding what donors want is essential for nonprofits to thrive in today’s competitive fundraising landscape. Donors expect transparency, impact, personalized communication, and opportunities for involvement. They also want giving to be easy and aligned with their values. By adopting a donor-centric approach, nonprofits can build stronger relationships, retain supporters, and ultimately fulfill their missions more effectively.
Meeting donor expectations isn’t just about securing donations—it’s about creating meaningful partnerships that inspire ongoing support and shared success.