Nonprofit executives can feel like they’re always just trying to catch up. Whether you’re racing to hit a midnight fundraising deadline, hustling to get grant applications organized, or looking at a slew of donor records and trying to think of some new way to engage your supporters, it’s not always easy to zoom out and look at trends (much less try to get ahead of them).
So let me share three trends I think you need to follow, and I’ll share some ways you can implement them. I led nonprofit fundraising for a few decades and now sit on the technology side, so my viewpoint is a little unique.
While it won’t be the first time you’ve heard of these trends, it’s definitely time to pay attention to them.
AI and BI. Artificial and business intelligence have changed the game, and nonprofits should harness these tools to increase donor acquisition, engagement, and retention.
Nonprofit CRMs, like CharityEngine, incorporate AI and BI into their features. For example, our CRM uses AI to help identify opportunities with gift probability and a donation tool that calculates ask strings. Advanced fraud protection also uses AI to keep our system nearly bulletproof.
Business intelligence (BI) allows you to gain valuable and actionable insights into donor data. When you combine BI with advanced reporting, you can segment your audiences, identify trends, and measure the effectiveness of your campaigns.
What if your nonprofit CRM doesn’t offer AI and BI features? Well, for starters, call CharityEngine! But if a new nonprofit CRM isn’t in the cards, use tools like ChatGPT to help you develop campaigns, draft fundraising emails, and create social media strategies. There are plenty of tools to choose from, and they will all get “smarter” the more you feed in data and refine your parameters.
Here are some more ways to implement this trend:
AI-Powered Predictive Modeling
Chatbots for Donor Engagement
Automated Grant Writing Assistance
AI-Driven Donor Personalization
Smarter Social Media and Content Strategy
However it works best for your nonprofit, ensure you’re using these tools to enhance campaigns, save time, and increase efficiency.
We just sponsored an incredibly popular AFP webinar featuring Dave Raley, who spoke about the subscription economy and explored ways nonprofits can build a sustainable giving model.
Some of the largest nonprofits in the U.S. have grown rapidly because they’ve focused on recurring giving. Even if you don’t want to become a global organization, or even a national organization, every nonprofit can benefit from the solid foundation a strong monthly giving program provides.
If you are trying to build a program, we offer a comprehensive guide that will walk you through the process.
If you have a robust monthly giving program and you’re ready to take the next steps to optimize it, consider your billing technology. It might shock you to learn using common payment processors means you’re losing up to 30% of the income your monthly giving program generates. This isn’t hype, it’s a fact – one of our competitors proudly declares their ability to retain 62% of the income generated from recurring gifts.
What can you do about this? At a minimum, make sure your payment processor uses a credit card updater. If you want to get more specific, ask if their credit card updater can update American Express cards, because not every organization has access to AmEx.
If you want to learn how you can retain more than 90% of your monthly giving revenue—even up to more than 98%—only CharityEngine can guarantee those results. In fact, CharityEngine generally makes some pretty impressive guarantees.
Here are some more practical tips to engage donors and encourage them to convert to monthly giving:
Create a Special Donor Community
Provide Multiple Payment Options
Optimize the Donor Signup Experience
Leverage Matching Gift Programs
Offer Flexible Giving Options
Gamify Monthly Giving
Relying too heavily on one channel for fundraising can be risky business. You must employ several outreach methods; not only will this protect you if one channel isn’t performing, but it will also help you reach your constituents where they are. Your donors are a varied group. Some will respond to direct mail or a phone call, some prefer email, and some won’t even see the message unless it comes through as a text.
If you use a CRM with native fundraising tools built into the system, planning and executing a complex multichannel campaign is easy.
What if you don’t, or what if you just want some other ideas? Here you go:
Personalized Donor Journeys: Use your CRM and analytics tools to segment audiences and tailor communications. Whether you’re using AI-driven insights or traditional data, personalization can turn a one-time donor into a lifelong supporter.
Consistency Across Platforms: Ensure that your messaging, branding, and donor experience are seamless across every channel. From social media posts and email newsletters to your website and event experiences, a unified approach builds trust and recognition.
Interactive and Engaging Content: To engage donors in different ways, leverage a mix of content—live webinars, virtual tours, Q&A sessions, and dynamic social media campaigns. Interactive elements not only capture attention but also foster a sense of community and involvement.
Feedback and Adaptation: Integrate feedback loops using surveys or social media polls to understand donor preferences. Based on these insights, continually refine your strategies to ensure you’re always meeting your supporters’ needs.
Embracing multichannel campaigns will help you drive acquisition and retention and keep your nonprofit at the forefront of the ever-evolving digital landscape.
These three trends—AI, monthly giving, and multichannel engagement—aren’t just buzzwords; they’re powerful strategies that can help your nonprofit thrive in an increasingly digital and donor-driven world.
The good news? You don’t have to overhaul everything overnight. Start small—test AI-powered tools, optimize your monthly giving program, and refine your donor engagement across multiple channels.
The key is to take action now. Nonprofits that embrace these trends will be better positioned to increase donor retention, maximize fundraising efforts, and create deeper connections with their supporters. So don’t wait—start implementing these ideas today and watch your nonprofit grow!