Are you ready to supercharge your nonprofit's monthly giving program? In this post, we're diving into recurring giving programs — a powerful tool for sustainable fundraising. Whether you're a seasoned nonprofit pro or just starting, these 10 quick tips will help you create a monthly giving program that not only engages donors but also fuels your mission. Let's get started!
When it comes to non-profit fundraising, monthly giving (otherwise known as recurring giving) reigns supreme. Although big donations are valuable and should still be pursued, recurring giving programs provide a steady, reliable source of income for your nonprofit.
Imagine if your nonprofit no longer had to worry about the seasonal drops in giving. Wouldn’t it be great if you could count on a dependable stream of monthly revenue? That’s why developing a stellar monthly giving program is an investment that can have a tremendous impact on the long-term financial health of your organization.
A monthly giving program is a recurring donation program where donors can automatically donate a specific amount to their favorite nonprofit organization on a weekly, monthly, quarterly, or annual basis. Regular donation plans help nonprofits generate a steady stream of financial support so that they can fulfill their vision and mission more effectively.
Donors choose to give a pre-determined amount of money regularly. Many people like to give monthly, bi-monthly, or yearly, but they can give as frequently as they’d like. Monthly giving is probably the most frequent form of recurring giving.
Donorbox Recurring Donations helps you set up monthly (as well as weekly, quarterly, and annual) giving programs for your fundraising campaigns. You can easily add these intervals to our recurring donation form. Then it is up to you to either use the Donorbox-hosted fundraising page (where your form will be included) or embed the donation form in your website. Here’s an example of the latter –
Create a Recurring Donation Form on Donorbox
The nonprofit world is filled with eye-opening stats. From which industries are booming to how different generations give, these numbers can guide your nonprofit’s outreach. Let’s explore some key stats about monthly giving.
Did you know that online recurring donation options have boosted monthly giving revenue by 40%? Monthly giving donors give 42% more than one-time donors. These donors have a greater lifetime revenue per donor. And if your organization is trying to reach a younger, millennial audience, monthly giving is the way to go because millennials are 52% more likely to give monthly vs. a large one-time donation.
This shows that great monthly giving programs have a much higher return on investment than one-time giving programs.
Donors who give monthly have a higher retention rate than other types of donors. According to The Fundraising Effectiveness Project (FEP), one-time donors are the largest donor group, accounting for 68.6% of donors in 2023. But, they also represent the greatest year-over-year participation drop, driving the overall decrease in donor participation.
Donors who gave repeatedly in 2023 had the highest retention rate, with donors giving more than 7 times seeing a retention rate of 87%.
Generally speaking, once someone signs up for your program, they will stay on your donor base and give it every year or at least three times longer than the one-time donor will.
Monthly giving programs are relatively simple to manage for nonprofits and make giving easy for donors.
Donors sign up once, and their gifts are made automatically and at a frequency of their choosing, giving them flexibility and convenience. Furthermore, your donors, for the most part, are already on monthly schedules. They frequently get paid monthly. They pay many bills monthly and subscribe to many monthly services. So, monthly giving is easy to understand and incorporate into their lives.
Very few recurring donors cancel their donations. Signing up for monthly giving is a good sign that the donor is engaged and committed to your cause.
Here’s a real story of fundraising success from Pittsburgh Kids Foundation (PKF) which will help you understand the impact a monthly giving program can have on an organization. Learn about the benefits right from the horse’s mouth in this podcast episode on Donorbox –
Start a Monthly Giving Program With Donorbox
Chances are you already have some sort of monthly giving program set up. But is it the best it can be or could it work harder for you?
If your organization is considering implementing its recurring giving program, below are some best practices and tips to keep in mind.
The key to launching a successful recurring giving program is developing a written, donor-centric plan.
Before going forward with any of the other steps:
If you don’t have clear goals in mind for your recurring giving program, it’s going to be challenging to understand what you need to do to reach your target. It also makes it more difficult for your donors to understand how they fit into the big picture.
With your team, work to answer these questions:
After looking at the big picture and how the monthly program fits in with the rest of your nonprofit’s strategy, set specific goals.
How many monthly donors do you wish to attract every month? What about the monthly gift increases? How will you know that you’re successful?
Once you answer these questions, move on to the next step.
Think through the ins and outs of your program, including these areas:
Giving your monthly program a name will strengthen its brand and show your donors they’re part of something special.
Name the program something that aligns with your broader nonprofit brand or goal. For example, Pencils of Promise calls their program “Passport,” Liberty in North Korea calls theirs “Liberty,” and charity:water calls theirs “Pipeline.”
Branding your monthly giving program emphasizes the element of community. By showing your monthly donors that they’re part of something bigger than themselves, you make them feel more valued.
On your monthly giving page, consider using social proof. Social proof is a powerful psychological and social phenomenon where people assume the actions of others in an attempt to reflect correct behavior in a given situation. In essence, this means people do what they see others do.
To leverage this phenomenon, include testimonials and photos of current monthly donors, their names, or say something like “You’ll be the xxx member of our program”.
Testimonials are also persuasive forms of social proof because they embody an element of storytelling, and stories build trust and credibility.
Finally, if you’ve received positive mentions from credible media sources, publications, and other thought leaders in your sector, display them on your website.
Before starting to promote your monthly giving program, look at your donor database and identify who would be most interested in a monthly giving program.
Generally, those who give smaller amounts might be more suited to a monthly giving program than those who give larger amounts.
Pay special attention to donors who give smaller amounts regularly (a couple of times a year). Frequency is more important than the size of the gift when it comes to monthly giving prospects. Use this information to target those donors who may be interested in giving monthly.
Before promoting your program to a wider audience, mobilize your staff and board, as well as your most active volunteers,, and get them to sign up first.
This will help the credibility of your program, and allow you to gather feedback on everything from the sign-up process to the ‘thank you’ email.
Furthermore, when others stumble on your monthly giving program, they will feel more inclined to join because some others have already.
Not sure where to get started with your donor database? This guide will help!
It doesn’t matter how good your program is if people don’t know about it.
Before promoting your program; define your program’s value proposition. In other words – why should someone become a monthly donor? What are the benefits for them and what are the benefits for your nonprofit? Test different ways to highlight your value proposition.
After reaching out to your staff, your most active volunteers, and small but frequent donors don’t shy away from reaching out to everyone else!
Send out appeals through all your channels and include monthly giving as an option on your nonprofit’s default donation form.
Mobilize volunteers and take them to the streets. Have your volunteers share about your nonprofit’s cause with people passing by and inform them about your new monthly giving program.
Don’t forget to reach out to lapsed donors to see if they would be open to the idea of monthly giving. Ask lapsed donors what it is that keeps them from giving consistently, or why they stopped giving altogether and meeting them halfway. Encourage them to come back to your non-profit.
To promote your program, use all channels available to you. Use email, social media, direct mail, newsletters, print ads, Google Grants, events, and street fundraising.
Send out your first communication only once your monthly giving page is up and running and you’ve tested it for any hiccups.
Email your entire list, as well as direct mail. If you have the resources, follow up those with phone calls. Phone calls that follow emails increase the number of sign-ups for monthly giving programs. Phone calls also add a personal touch that emails and letters can’t replicate. If you don’t have the resources to do this frequently, still try to pick up the phone now and then.
Don’t be afraid to ask for additional gifts and upgrades. Plan one or two integrated upgrade campaigns per year.
Highlight your monthly giving program on your nonprofit website. Do this by creating a separate page that is completely dedicated to your monthly program with information, videos, images, and testimonials, both by your donors and your beneficiaries.
Your program should have some space on your homepage as well. Display it and make it easy to find. This will make the program accessible to any potential donors who are interested specifically in giving monthly.
When you’re sending out appeals or otherwise promoting the program, make sure the feel of your communication appeals matches the one on the website. You want potential donors to go on the website and experience cohesion and consistency.
Online fundraising software is essential to make monthly giving a reality.
Donorbox will make constructing your donation pages much easier and will provide you with many features and benefits, such as:
Check out the Donorbox recurring donation system!
For nonprofits, having a donor management system on the back end that automates the sign-up process and manages donor contact information is essential.
Ensure the program stays convenient! Inevitably, credit card expiration dates pass, debit card payments bounce, electronic funds transfer (EFT) account numbers change, etc.
Stay on top of these issues and proactively communicate with your donors. Establish internal structures for attending to file and data hygiene, either by dedicating a staff member to follow up on missed payments due to declined or expired cards or by using card updater services to automatically update credit card information.
It’s important to show donors the impact their contributions have. It can make a real difference when persuading some of your donors to join your monthly giving program.
There are several ways in which you can go about doing this. Many nonprofits showcase infographics or otherwise present facts and statistics about where the donors’ gifts are going.
One of the best ways to do this is to tie every donation amount to a result.
E.g.
$15 (50 cents a day) feeds one child in Bangladesh in need of life-saving food every day for a month
$30 (1 dollar a day) will provide 30 refugees with access to clean water for a month
$50 (1,50 dollars a day) will provide education to one girl brought back from slavery for a month
$100 (3 dollars a day) will equip 3 healthcare workers to respond to domestic or sexual violence calls for a month
This helps your monthly donors conceptualize how a small donation makes a difference compared to the overall goal.
Furthermore, this helps your donors visualize the people their donations are helping. People are motivated to give when they feel an emotional connection with the people their donation benefits – people give to people.
When determining specific giving levels, take the time to calculate exactly what those giving levels achieve.
Signing up for the program should be easy and intuitive, starting with your website. A donor should be able to find your donation link in just a few clicks. A good case practice is to place the link on the top navigation in the website’s header.
When a donor clicks the ‘donate’ link/button, they should be immediately taken to the donation form. A common mistake is to insert a variety of other explanations or text in between those two stages.
Your donation page should also be mobile-friendly/responsive. This means the donation page will resize according to the device being used, allowing for optimal viewing.
Your goal should always be that all those who have reached your donation page follow through and donate. To achieve this, keep your website simple and clear. Limit the amount of copy, images, media, and links to only what’s necessary, and organize your content in a way that feels very logical.
To read more about how to create great donation pages, click here.
Monthly giving might be convenient for you and your donors, automatizing the payments and admin involved. However, this doesn’t mean your non-profit should apply a hands-off approach to relationships with your donors.
Start the relationship by rolling out the red carpet to welcome your monthly donors. Send them a welcome email within the first 48 hours of signing up (or make this process automatic). It’s also important to continue thanking your donor, not just after their first gift, but strategically (yet genuinely) throughout the year.
It’s also a good practice to put monthly donors into a separate email list to send materials (such as newsletters) and personal messages. This keeps them from being placed on the general email list where they are consistently sent appeals for donations even though they’re already giving.
Frequently update your donors on how their contributions have helped the cause with images, stories, statistics, and other concrete examples. However, don’t keep it just at numbers. Include stories in your communication to your donors. Storytelling is a powerful tool for fundraising.
Finally, creating a community involves offering your monthly donors something beyond the regular donation experience. Think of gifts, special updates and photos, and chances to win trips to places you serve.
With your monthly giving program established, continue to encourage your one-time donors to give regularly. This is an ongoing effort, here are some tips to help you get there:
To recap, recurring/monthly giving is an amazing fundraising technique for your nonprofit because:
Monthly donors are a valuable asset to today’s nonprofits. This means they should be approached in a strategic and personalized way.
Creating a successful monthly giving program can be challenging, but it is well worth it. Forming a lasting relationship with dedicated donors who continuously support your organization makes all the difference.
Donorbox enables nonprofits and organizations to fundraise through simple, affordable, and outcome-driven features like Recurring Donations, customizable Fundraising Pages, Crowdfunding, Peer-to-Peer, Events, Memberships, and more. Check out all our features here.
Has your organization reached its full donation potential yet? Donorbox Premium is here to help! Get access to expert fundraising coaches, a dedicated account ambassador, a team of tech wizards, and high-powered tools. Pricing will be personalized for every nonprofit. Book a demo today!
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Ilma Ibrisevic is a content creator and nonprofit writer. She’s passionate about meaningful work, sustainability, and social movements. If she’s not working, she’s obsessing over coffee or cooking. You can connect with her on Linkedin.
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Ilma Ibrisevic