It’s no secret that donor retention is the gold standard of nonprofit fundraising. Studies show that even a 10% increase in donor retention can increase donor lifetime value by 200%. Donors who stick around offer more financial support over time and unwavering dedication to your cause.
While you likely know the case for retention, it’s another thing to put it into practice. How exactly can you keep donors coming back for more?
A solid recurring giving program is a great place to start. With a strong strategy in place, you can transform one-time donors into committed recurring givers who may even eventually become planned donors, providing even more value to your organization.
This guide will help you establish recurring giving as a viable revenue stream, balance your fundraising approach, and create a community of dedicated supporters.
1. Brand your recurring giving program.
The term “monthly giving” might sound like a chore to donors—or even worse—a bill.
Just as you brand the rest of your organization’s activities, add character to your recurring giving program. Start by reframing your program as a giving society and giving it a name to help it take on some identity. Try to connect the name to your broader mission, so your program fits seamlessly into the rest of your branding.
Check out some real-life examples for inspiration:
Once you’ve named your program, identify the benefits members can receive for joining. For example, the WWF Heroes Program provides members with:
- A quarterly World Wildlife magazine
- An annual WWF calendar
- Exclusive member update emails
These small perks elevate the experience and make recurring donors feel more like partners in your mission rather than just financial contributors.
2. Make recurring giving the default option.
Many donors will default to one-off contributions. However, when you reframe recurring giving as the standard way to give, donors will feel more inclined to participate.
Configure your donation page so that recurring gifts are pre-selected, highlighting this option for donors as soon as they land on the page. You may also add a pop-up with a message like:
Would you like to transform your gift into regular, sustained impact?
Bloomerang’s donation page guide also recommends:
- Featuring the program’s name. Your donation page might be the first place donors ever hear about your recurring giving program. Show off the name you’ve selected to build brand recognition right away.
- Offering a brief description of your program. For instance, the Lindbergh Schools Foundation’s donation page explains that “Your monthly contribution directly supports the Lindbergh Schools Foundation and helps fund student and teacher programs across our district.”
- Describing the benefits. List the additional perks donors will receive when they join your program to entice them to contribute and prove that your giving society is a true community.
3. Reach out to one-off donors.
The best candidates for recurring giving are existing donors who have given a few times. They’ve demonstrated that they align with your cause and are willing to lend their financial support, so they may be open to expanding their impact through more regular contributions.
As a fundraiser surveyed in Bloomerang’s Mission Retainable Report explains, “We’ve been able to turn one-time givers into recurring donors simply by using data to tell the right story to the right person.” Start this process by creating a segment in your nonprofit CRM for anyone who gave at least two gifts last year. That way, you’ll narrow your outreach to the most promising candidates.
Then, run an upgrade campaign to encourage these donors to leverage recurring giving. Base your asks on their past giving to ensure they’re realistic.
For instance, here’s what one of these asks might look like:
Hi Sara,
Thank you for being part of our community here at Helping Hands. It’s donors like you who make our mission possible.
Last year, you gave two donations of $150 each, totaling to $300. These contributions have allowed us to expand our impact and help even more beneficiaries.
However, monthly giving can drive even more impact, and it’s also easier on your budget. You could join our Heartfelt Helpers Society and give $30/month, spreading your contributions evenly throughout the year to regularly support our community members in need.
Please let me know if you have any questions about our monthly giving program and how to get started.
Looking forward to hearing from you!
Best, Caroline
This ask acknowledges the donor’s past support and tailors the ask amount based on these contributions. Small monthly donations are often easier to secure than large single gift increases because they feel more accessible to donors, especially when you simplify participation by suggesting a gift amount.
4. Automate credit card updates.
Once you’ve established your program, you need the right technology to help everything run smoothly and encourage continued participation.
One of the top reasons why donors lapse from recurring giving is that their credit cards have expired or been reissued, breaking the giving cycle they’ve set up on your donation page. While you can send an email asking donors to update their payment information, they may miss it, which will slow the process.
The right credit card processor will automatically update card data, making payments seamless. Here’s how this process typically works:
- When a donor enters their credit card information, the payment processor vaults the data and assigns a secure token to the donor.
- The payment processor regularly sends secure queries to major card networks to verify that the cards on file are still active.
- The card networks check their databases for any changes.
- If there are any changes, the card network notifies the payment processor.
- The payment processor automatically updates the record in their vault with the new information and links it to the token.
To keep recurring donations flowing in, ask your credit card processor whether there’s an option for automatic card updates and how to enable it. If not, consider switching platforms to stabilize your program revenue and improve the supporter experience.
5. Report on cumulative impact.
To recurring donors, their small monthly donations may not feel like much compared to what major donors contribute. It’s up to you to prove that their impact adds up over time.
When you send donors their annual donation receipts, emphasize the impact they’ve had. Let them know exactly how you’ve used their contributions to fuel real, sustained change, and share custom recurring giving program impact reports.
You should also follow up throughout the year. Send emails thanking them for their continued support and updating them on the projects they’ve funded so they feel motivated to continue participating.
To really make monthly givers feel like partners, ask for their input every step of the way. Follow their communication preferences, offer opportunities that align with their interests, and work with them to make your recurring giving program a fulfilling experience.