The world of philanthropy has changed a lot in recent years, but the old habits used to secure gifts have not kept pace with the changes. For nonprofits to survive, they must be aware of the newest trends in fundraising and adapt accordingly. Here are some of the newest trends in fundraising.
Too often, nonprofits focus too much time and energy on growing their donor base and not enough time and effort on building relationships to retain their existing donors. Gaining new donors is essential, but it’s also time-consuming and expensive. If someone has already contributed financially to your organization, they are advocates and they likely are willing to give more. How well do you know your current donors? Find out what they like about your organization. Why do they give money to your organization? Lean into that information to grow your relationship with them and create new opportunities for current donors to keep giving and new donors to embrace your organization.
Organizations face challenges every day. How leaders respond to crises and missteps demonstrate the true character of the organization. People understand that everyone makes mistakes. When you do, don’t try to cover it up or sugar coat the truth. Own your mistake with grace and be transparent about it.
The critical components of transparency are admitting something has gone wrong, reiterating your commitment to the organization’s goal and communicating what will be different in the future. Your honesty and sincerity will build trust between the donor and the organization.
Stop being a perfectionist
Now that you know how to be transparent and its importance, it is time to prepare for the next step. That step is ditching perfectionism and acting when opportunity knocks, which naturally comes at a risk of failure. Fundraising will never be steady. It will come in bursts when you land new donors or find a successful campaign that moves people to donate. Adhering to perfectionism will only hinder these bursts of giving.
2020 was a challenging year, and 2021 has not been much easier. By retaining donors, being transparent and ditching unnecessary perfectionism, you’ll set your organization for success now and into the future.