Online Fundraising: A Startup Guide
Online fundraising is here to stay. It is the fastest-growing area of fundraising and is catching up to direct mail fundraising in an increasingly multichannel world.
According to the 2018 Blackbaud Fundraising Index, 8.5 percent of total fundraising revenue came through online portals. Also, 24 percent of those online transactions were made via a mobile device.
Is your program up to the demands of the market? Or is it just limping along or in need of a serious update? Online fundraising is a fast-moving target, and keeping up and modifying your approach is fundamental.
Here are 11 tips to get you into the game.
Just as with other types of fundraising, online solicitations must be registered with the appropriate officials. Check with your state attorney’s office or secretary of state office to find out the requirements in your state. Also, if you do online fundraising in states other than your own, you may need to register there as well.
It is not enough to just put a “donate now” button on your website and wait for the money to roll in. Promote your online capacity in your newsletters and include your website address on all of your collateral materials.
Explore All Your Options
Expand your thinking about online fundraising to include social networking sites, now popular with all age groups, from millennials to Baby Boomers.
How will you process credit card donations? Do you want to set up your own system? Or do you want to engage a company that provides that service for you? Would you like to be able to offer recurring donations to your supporters?
Don't spam, and don't look like a spammer. Don't overwhelm your donors with too much email, and don't use email to the exclusion of other methods of fundraising.
Online fundraising should be only one part of a well-balanced portfolio of strategies that should include direct mail, events, peer to peer fundraising, seeking grants, and earned income. Every nonprofit should have a varied basket of income sources to remain sustainable.
Not everyone gives the same way. So give your donors choices on how to support you. The Nature Conservancy does this exceptionally well with its More Ways to Give page. There, donors can find how to give with a bequest, through an employer's matching gift program, and with peer-to-peer fundraising.
Your visitors should be able to figure out how to donate immediately. And your button does not have to say "Donate Now." For instance, Nothing but Nets often uses the phrase, "Gift a Net." Try putting a donate button on every page of your website and see how donations grow.
Once that donate button is clicked, make sure there is a heart-warming donation page (include a photo) that is efficient (make it one page long), but complete. Also, include a post-donation page that provides a visual hug, and thank you.
Getting people to volunteer is one of the best methods of donor cultivation. Indeed, one study found that volunteers donate 10 times more money to charity and that 67 percent of people who volunteer donate to that organization.
Showcase Donors and What Their Gifts Really Accomplish
Include testimonials and photos of donors. Provide pictures of people receiving help. Be liberal with success stories, stories about real people, and use plenty of inspirational photographs.
Don't forget to show how a specific level of donation will work. Soles4Souls has a useful donor page that tells precisely what each donation level will buy.
As your expertise and experience with online fundraising advances, think about segmenting your audience. This will require a sound donor management system and an extensive enough list so that there is something to segment. Segment based on age, gender, income, interests, previous giving history, geography, or roles such as donor or volunteer.
Develop versions of your email campaigns to fit targeted groups and then test. Testing involves breaking down a particular group into smaller groups and testing different versions of your copy. Track the results, and you will soon get a feel for what kinds of appeals work for whom.
Start with an outstanding post-donation page on your website. Then beef up your email thank yous so they are more than just a receipt. Also seriously consider mailing thank you letters to online donors when they give above a certain level