Prioritizing Donor Retention in Your Fundraising Strategy
Retaining donors is more cost-effective than acquiring new ones. Learn practical strategies nonprofits can use to improve donor retention and grow sustainably.
Is a $10 donor to a peer-to-peer event the same as the donor that funds a research project at $1,000,000? No, they likely have different reasons for giving. The peer-to-peer donor is likely giving because one of their friends asked them to while the research donor is giving because they want the project they support to change the world. Different reasons necessitate different treatment.
Could that $10 donor turn into a major donor? Sure, but it is unlikely.
There are many articles and loads of information on how to engage major donors. The expectation is that you will communicate with them consistently, solicit their feedback about your organization’s direction, and thank them regularly.
It is important to treat major donors this way. As a fundraiser with decades of experience, it is important to treat planned giving donors the same way. Here are a few reasons why you should treat planned giving donors the same way as major donors:
For these reasons and many others (look for part 2 soon!), treating planned giving donors like major donors will help you steward key donors effectively and continue the important work you do every day!
michael@lifelegacy.io
Retaining donors is more cost-effective than acquiring new ones. Learn practical strategies nonprofits can use to improve donor retention and grow sustainably.
If you need a single, compelling reason to prioritize planned giving this year, here it is: around 46 billion dollars flows to charities every year through bequests. In fact, the latest Giving USA numbers show that bequests in 2024 totaled about $45.84 billion—roughly 8% of all U.S. charitable giving for the year. That’s not a rounding error; it’s a transformative funding stream your mission can’t afford to ignore.
One of the most interesting parts of planned giving is that you never know what is going to happen! Planned gifts will surprise you. In an earlier blog, I talked about the planned gift that I DIDN’T accept. That was not even close to the most interesting gift that I ever received.
And this one isn’t either. But it was something I never expected.
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