5 Things your Nononprofit should be doing to Maximize Donor Loyalty

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Donor loyalty is about more than just annual giving and recognition. It is the aspect of a strategy that allows organizations to connect with donors, start conversations, and reward them for their engagement and dedication.

Here are five loyalty development examples that illustrate how nonprofits can spark action with engagement-based loyalty programs. Every nonprofit should enact some form of the following to maximize donor loyalty.


 

1. Obtain valuable donor information through profile updates.

Great nonprofits know their donors but not nearly enough to say they know what drinks they prefer or how they like their steaks (if they are not vegetarians). No organization wants to deliberately offend a donor, so it is vitally important to have a strategy in place to capture the library of unknown data regarding your donor.

Harvey Mackay's 66
If you looking for a good place to start, I recommend Harvey Mackay's Customer 66 Questionnaire. Don't rest until you can answer all the questions on this sheet. Get your copy here: www.harveymackay.com/pdfs/mackay66.pdf

2. Leverage the popularity of social media for referrals.

More and more people are now on some form of social media and that includes donors. Nonprofits are also joining the vast population of social media users. So, the question is, are donors connecting online with people in their network. This digital marketing becomes viral and awareness of the organization's mission spreads.

According to The Millenial Impact Report, millennials are rapidly becoming a growing force in the philanthropic community. And guess where they can be found? Social Media. For your copy of The Millennial Impact Report go to www.themillennialimpact.com. I recommend their 2012 Study.

3. Offer unique cutting edge experiences and rewards.

The token gift for giving at a certain level is not what truly motivates a donor. But if you promise it you must deliver. today's donor wants something new, something they can't get anywhere else. Great nonprofits provide donors with an experience that makes them proud to be a supporter but also makes them brag to their friends.

We now live in the age of the kickstarter and crowdfunding. One way you can take advantage of unique experiences and rewards is by turning your fundraiser into a sweepstakes. My personal favorite is the strategy used by OMAZE.com. Currently, they are running a campaign benefiting After-School All-Stars where they reward is a chance to Blow Sh*t Up with Arnold Schwarzenegger. All donations will receive a special gift, but one lucky donor is going to have some major bragging rights.

4. Tap into the growing influence of reviews.

The previous two strategies rely heavily upon this one. The greatest asset in donor loyaly is the ability they support. But, reviews are not just limited to donors. Every nonprofit needs to know how the public perceives them. Studies have shown how important reviews are not just in buyer decisions but donors as well. The best nonprofits make sure they have positive ratings on sites like Guidestar and Charity Navigator.

Review Stats
92% Read Internet Reviews - Etailing Group
89% Trust Online Reviews - Cone, Inc.
74% Change Their Mind Based on a Bad Review - Harris Interactive

So how can you monitor your reviews? Aside from Guidestar and Charity Navigator, there are other services like Yelp, but with the growth social media, your organization needs to find a great social monitoring tool. I recommend Hubspot. Their advanced CRM handles social monitoring and so much more.

5. Don't forget tried and true partner strategies.

Donor loyalty is not easily given, it is earned. It represents a partnership with an investor, someone who supports a nonprofit's cause financially. What does this mean? First and foremost, no secrets. Nonprofits with the most loyal donors are those that have earned the trust and faith of their supporters by bein honest and transparent with their donors. Like business partners, donors have a stake in the success and failures of the organization they support. Loyal donors stick with the organization through both.


Nonprofits are facing a critical change in how they fundraise. As older donors dwindle with age, the traditional means of fundraising become less effective. Millenials are the next generation not only in customers but in donors. Knowing how to attract Millenials becomes increasingly more important each year. Do you know how to attract this powerful group? Find out how to engage tomorrow's generation today.

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AuthorJonathan Reeves

I am an experienced nonprofit professional, skilled in Fundraising, Marketing, and Development. When it comes to advancing your organizations mission and outreach, I go the distance, using every networking tool available to reach the target demographic. When not working for a nonprofit or other business, I use my skills to advance historic and genealogical research for individuals, organizations, and anyone looking to know more about the past.

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