Raising money is both vitally important and never-ending for any nonprofit organization. Keeping existing donors on board is an important part of this process, but nonprofits are also constantly on the hunt for new donors to keep their organizations functioning and potentially expanding. Because of the competition for donor dollars between charitable organizations, its important for your nonprofit to have a well thought-out, strategic approach to attract major donors. Your nonprofit can use these tactics and practices to stand out from the crowd and win over the financial support of new donors.
Identify Potential Donors
The first step in attracting new donors is to identify prospects. Follow the three standard rules of prospecting, sometimes referred to as the ABCs of prospecting. Determine your nonprofit’s access to the prospect, his beliefs and his capacity for giving. Access simply refers to your ability to reach out to or approach the donor; recommendations from current or previous donors can open the door. In regard to beliefs, determine if the prospective donor believes in your organizations causes and projects or if the prospective donor has some interest in your nonprofit’s platform. The final prospecting factor, capacity, is simply a reference to the potential donors ability to donate without causing personal financial difficulty.
Use Donor Software for Nonprofits
Seven out of 10 donors only give to nonprofits once, and approximately 77% of donors turn away from an organization because of a lack of communication. Utilizing the right donor software for your nonprofit allows you to store contact information for donors so that you can communicate with them regularly and efficiently. Using such software encourages your current donors to continue donations and opens the door for recommendations and direction toward new donors. With a good donor software program in your arsenal, your nonprofit can then effectively store information about new donors and regularly reach out to them, increasing the likelihood of new donations.
There are a wide variety of donor software programs available. If your nonprofit is fairly small, consider programs such as BatchBook or DonorSnap. Bloomerang and eTapestry can effectively serve medium-sized nonprofits. For the biggest nonprofits, programs like Salesforce or TrailBlazer Nonprofit Management are a good option.
Educate Donors and Cultivate Relationships
Educating potential donors about your nonprofit and its activities is key. Visiting with potential donors in their home or place of work, often referred to as a cultivation visit, is a common approach. To stand out from other charities, your nonprofit might consider inviting prospective donors to the organization’s facility. Give them a tour of your place, allowing them to see the hard work and dedication your nonprofit puts in to support its cause. Alternately, invite the potential donors to participate in an event or activity your nonprofit has organized. When donors can see and experience firsthand the work your nonprofit does, they are often more motivated to give.