What if I told you having a coffee could double your donation income! Want to know how? In this post I’ll share three ways to grow donation income for your organisation (including a great argument for you to drink more good coffee!)
1. Engage with Donors
Simply by engaging your donors more regularly, they’re going to give more. This is true of regular donors, but also with high-net-worth (HNW) donors. If you haven’t engaged recently with your HNW donors, go and do it – perhaps take them out for coffee. Consistently, I’ve seen increased engagement grow donation income.
I took a HNW donor out for one cup of coffee one day, and it resulted resulted in doubling their gift from $5,000, to $10,000 the following week! This was because I took the time to treat them like a human (rather than a bank), and build a relationship. It’s not always as instant as this, but if you put in the effort, in I’ve found it rare for it not to pay off.
2. Provide More Opportunities
Grow Donation Income with More Appeals
Perhaps your organisation relies on one main appeal every year, such as an end of financial year appeal. So, why not grow donation income by increasing the number of appeals from one, to two; or four; or maybe even up to 12? Certainly, the largest Australian NFPs rely on regular appeals. And we’re talking 11 or 12 appeals a year. Depending on the sort of organisation you are with, this may be a great strategy to consider.
One of Australia’s leading charities conducted a trial which showed increasing the number of appeals each year from four to 12, decreased the response rate per appeal by 30%. Even with this decrease, the organisation still doubled their total donation income over 12 months.
Perhaps, for your organisation moving from one appeal to two would be a big move, or even two to four. I would encourage you to do just that – and sooner rather than later. The work you’re doing is too important!
You will most likely get some pushback from donors initially, and that’s okay. It’s an education process. They’re just not used to it yet. The good news is that the vast majority will get used to you conducting the additional appeal/s.
Grow Donation Income with Regular Giving
Another way to grow donation income is to implement monthly/regular giving. Having donors provide a regular monthly gift via direct debit is great. Because their giving is automated it avoids issues with donor attrition. In most cases, it will also result in your donor increasing their annual giving by 200%.
3. Increase the Number of Donors – Name Acquisition
While working with not-for-profits and community radio stations, I’ve noticed the tendency to increase overall fundraising targets, while not putting in the effort to increase the number of people donating. Adding new people to your community (name acquisition) is the lifeblood of a donation-funded organisation, and grows donation income. If you have 1000 donors, and you want to double your income, just add another 1000 donors and you will achieve your goal! It’s as simple, and as hard, as that.
Is there a limit to the number of people who are interested in what you do? Or, are you just scratching the surface of funds you could raise?