Donor Retention Education w/ Steven Shattuck (FREML)

What Fundraisers Can Do to
Stop Falling Donor Retention Rates

Steven Shattuck 
@StevenShattuck 
Chief Engagement Officer - Bloomerang 
Executive Director - Launch Cause 
Contributor to:
Ragan, NTEN, Business2Community, Social Media Today,
National Council of Nonprofits, Search Engine Journal,
ExactTarget, Raven Internet Marketing Tools, HubSpot,
Content Marketing Institute, Nonprofit Hub, INside
Indiana Business.
Speaker:
Association of Fundraising Professionals, National Council
of Nonprofits, ADRP, NCDC, NAMP, ANN, FREML, 
PRSA, Planet Philanthropy, Cause Camp, VFRI, SCANPO
Your presenter »

Do you know your retention rate?
@StevenShattuck

In our surveys, less than
45% of fundraisers
knew their current
donor retention rate.
Do you know your retention rate?
https://bloomerang.co/blog/infographic-the-state-of-donor-retention-in-2014/
@StevenShattuck

Calculating your retention rate »
@StevenShattuck
• 1,000 donors in 2013
• 1250 donors in 2014
• 500 donors from 2013 donated again in 2014
• 750 new donors in 2014
• 500 returning donors in 2014
• 500/1000 = 50% retention rate

http://afpfep.org
Growth in Giving Initiative / FEP »
@StevenShattuck

The 2015 results are in »
https://bloomerang.co/blog/infographic-2016-fundraising-effectiveness-project-survey-report/
@StevenShattuck

First-time donor retention »
only 29%
21% for gifts under $100
@StevenShattuck

Repeat donor retention »
64%
@StevenShattuck

Gift retention isn’t much better »
46% 54%
@StevenShattuck

Donor retention by gift size »
https://bloomerang.co/blog/infographic-2016-national-fundraising-fitness-statistics-nffs/

Net gains/losses in 2015 »
@StevenShattuck

Small shops struggle the most »
@StevenShattuck

Donor retention over a decade »
@StevenShattuck

Donor Attrition Over Five Years
# of
Donors
Attrition
Rate
Donors
Remaining
After 1
Year
Donors
Remaining
After 2
Years
Donors
Remaining
After 3
Years
Donors
Remaining
After 4
Years
Donors
Remaining
After 5
Years
1,000 20% 800 640 512 410 328
1,000 40% 600 360 216 130 78
1,000 60% 400 160 64 26 10
So what?
https://bloomerang.co/resources/downloadables/donor-retention-math-made-simple
@StevenShattuck

Donor retention math »
https://bloomerang.co/resources/downloadables/donor-retention-math-made-simple
@StevenShattuck

Importance of being a chosen charity »
• $50K – 2-3
• $100K – 3-4
• >$100K – 4-5
• One is usually their church
• Second is most likely their school
# of charities supported annually by
household income:
Source: Philanthropy Panel Study - Lilly School of Philanthropy

Source: Philanthropy Panel Study - Lilly School of Philanthropy
@StevenShattuck

$1000 +
$500 - $1000
$100 - $500
$25 and under annually
$25 - $100
Value
Value Segments »
Time
@StevenShattuck

@StevenShattuck
Why do donors leave?

• 5% - thought charity did not need them
• 8% - no info on how monies were used
• 9% - no memory of supporting
• 13% - never got thanked for donating
• 16% - death
• 18% - poor service or communication
• 36% - others more deserving
• 54% - could no longer afford
Why nonprofit donors leave »
https://www.linkedin.com/today/post/article/20140520191728-746287--
infographic-why-donors-stop-their-support
@StevenShattuck

@StevenShattuck
Why do donors stay?

@StevenShattuck
Key drivers of donor commitment »
1. Donor perceives your organization to be
effective in trying to achieve its mission.
2. Donor knows what to expect from your
organization with each interaction.
3. Donor receives a timely thank you.
4. Donor receives opportunities to make his or
her views known.
5. Donor is given the feeling that he or she is
part of an important cause.
6. Donor feels his or her involvement is
appreciated.
7. Donor receives information showing who is
being helped.

@StevenShattuck
How to increase retention »
• Focus on first-time and above-average donors
• Thank quickly + personally
• Go overboard with appreciation
• Donor-centric tone
• Tell how gifts are used / will be used
• Tell them what comes next
• Solicit feedback
• Keep lines of communication open

A documented  
stewardship plan
@StevenShattuck

@StevenShattuck
The personal touch »
• first-time donors who get a personal thank you within 48
hours are 4x more likely to give a second gift (Tom Ahern)
• a three-minute thank-you call will boost first-year retention
by 30%. (Roger Craver / The Agitator)
• a thank-you call from a board member to a newly acquired
donor within 24 hours of receiving the gifts will increase
their next gift by 39%. (Penelope Burk)
http://www.nonprofithub.org/fundraising/excuses-need-call-every-new-donor
http://www.guidestar.org/rxa/news/articles/2010/how-to-increase-donations-by-39-percent.aspx

@StevenShattuck
http://ignitedfundraising.com/resources/sample-timeline-donor-retention

Acknowledgement segmenting »
@StevenShattuck
http://www.tripointfundraising.com/how-are-you-treating-your-donors-time-to-find-out

Acknowledgement segmenting »
@StevenShattuck
Above average gift amount
At or below average gift amount

Differentiate the acknowledgement »
@StevenShattuck
Above average gift amount
At or below average gift amount
Letter # 1
Phone call
(tour invite)
Letter #2
Handwritten note
Email/Letter #4
(Volunteer request)
Email/Letter #3
(survey)
(monthly upgrade)

Segments per channel »
@StevenShattuck
Website Direct Mail/Ad Event

Sample cultivation plan »
Free pdf at www.tripointfundraising.com
@StevenShattuck

• All acknowledgements: treat them like royalty
• Email: send a new donor survey
• Snail mail: include handwritten note
• Call as many new donors as possible
• Get board members and volunteers involved
• Schedule in-person meetings/tours
• 2nd ask within 90 days is okay
• Introduce monthly giving for certain segments
Quick tips »
@StevenShattuck

• Utilize communication preference
• Make the donor the star of the show
• more “you” than “we”
• State exactly how donation will be used
• Communicate impact
• Preview future communications
• Give the donor something to do next
Acknowledgement content tips »
@StevenShattuck

• Send a donor survey to 1st-time donors
• Boosts retention even if they don’t respond
• Respondents signify high-engagement
• Email receipt is a great place to include
• Google Forms / SurveyMonkey / Formstack
Survey »
@StevenShattuck
https://bloomerang.co/blog/23-questions-to-ask-donors-and-prospects/

• Why did you first give to our organization?
• What interests you most about organization? Why? What is less
interesting to you? Why?
• Why do you give to our organization? How would you describe our
mission? What does it mean to you?
• What are the most critical results you expect our organization to
produce?
• What do you tell others about us? How do you describe this
organization to others?
• Why does this cause matter to you? Why now in particular?
@StevenShattuck
Survey question ideas »

Monthly giving »
@StevenShattuck
Source: Target Analytics, 2014 DonorCentrics US Recurring Giving Benchmarking Analysis

• Make it an option on donation forms
• Suggest donation amounts
• Introduce monthly giving to repeat donors
below average gift amount
Monthly giving »
@StevenShattuck

Keep donors happy »
@StevenShattuck
Source: Target Analytics, 2009 DonorCentrics US Recurring Giving Benchmarking Analysis

• Isolate donors who haven’t given in 2+ years
• Segment
• gift frequency/size
• other engagement signals
• Consider removing from direct mail sends
• Send a lapsed donor survey
• Invest in data services
• NCOA
• Deceased Suppression Processing
Lapsed donors »
@StevenShattuck

@StevenShattuck
Can acquisition trump retention?

• It’s not about you. It’s about the donor.
• Segment your donors.
• Create a written comms plan for each segment.
• Concentrate on first-time donors.
• Get that second gift.
• Personalize!
• Steward, then solicit.
Final thoughts pt. 1 »
@StevenShattuck

Why focus on
online donors?
@StevenShattuck

Online giving »
http://www1.networkforgood.org/online-giving-continues-grow-charities-across-country
@StevenShattuck

How, where and when
can we steward
online donors?
@StevenShattuck

Do these 3 things well »
https://bloomerang.co/blog/3-things-your-nonprofit-must-do-well-after-an-online-donation
@StevenShattuck

1. “Thank You” page
2. Email confirmation
3. Formal acknowledgment
Do these 3 things well »
https://bloomerang.co/blog/3-things-your-nonprofit-must-do-well-after-an-online-donation
@StevenShattuck

• Communicate that donation was processed
• Thank the donor
• Communicate impact (text/photo/video)
• Give donor something to do next
• Keep them on website to convert again!
Confirmation page »
@StevenShattuck
https://bloomerang.co/blog/21-ideas-for-your-nonprofits-donation-confirmation-page

Confirmation page »
@StevenShattuck

• Should arrive immediately
• Eye-catching subject line
• Avoid role-based sender email address
• Personal greeting
• Thank the donor
• Communicate impact (text/photo/video)
• Give donor something to do next
• Social sharing
• Employer matching
• Survey
• Include tax information
Email confirmation »
@StevenShattuck
https://bloomerang.co/blog/19-point-donation-acknowledgement-email-checklist

Email receipt »
@StevenShattuck

https://bloomerang.co/blog/this-biz-has-a-better-email-thank-you-than-most-nonprofits
@StevenShattuck

• Thank you for your donation!
• Donation Confirmation from (ORGANIZATION)
• Donation Receipt from (ORGANIZATION)
• Confirmation – Donation Received
• Donation Receipt
• Thank you for your gift
Boring email subject lines »
@StevenShattuck
https://bloomerang.co/blog/46-real-nonprofit-email-receipt-subject-lines-made-better/

• You just changed a life
• You just fed a family of four
• You have given the gift of hope
• You are a hero!
Impactful email subject lines »
@StevenShattuck
https://bloomerang.co/blog/46-real-nonprofit-email-receipt-subject-lines-made-better/

• Send a donor survey to 1st-time donors
• Boosts retention even if they don’t respond
• Respondents signify high-engagement
• Email receipt is a great place to include
• Google Forms or SurveyMonkey
Survey »
@StevenShattuck
http://t.co/XMUTnvjThP

• Arrive within 48 hours
• Utilize their communication preference!
• Email
• differentiate from receipt
• Snail mail
• handwritten note / signature
• Phone call
• voicemails are just as good
Formal acknowledgement »
@StevenShattuck

P2P donors give to the fundraiser, not the org!
1. Have the fundraiser contact last year’s donors.
2. Have the fundraiser re-introduce the charity in the gift acknowledgement.
3. Start a dialogue in the first follow-up.
P2P acknowledgement »
https://bloomerang.co/blog/3-tips-for-improving-p2p-donor-retention/
@StevenShattuck

• 3 things: confirmation page, email, snail mail
• Fast acknowledgement
• It’s not about you. It’s about the donor.
• Get that second gift.
• If you get a phone #, call!
@StevenShattuck

• Our organization?
• Our cause?
• Our donors?
• Our employees?
• Our volunteers?
• Our needs?
• Our victories?
What should our content be about? »
@StevenShattuck

@StevenShattuck
“It’s human, it’s personal, it’s
relevant, it isn’t greedy, and
it doesn’t trick people.”
-Seth Godin
Content that builds trust »

What nonprofits talk about »
http://blog.hubspot.com/marketing/nonprofits-social-media-marketing-data
Share news 
about our cause
Share news 
about our org
Donor
recognition
Brand
recognition
Fundraising
Volunteer
recruitment
Employee
recruitment
@StevenShattuck

What should we post about,
in what format,
and how often?
@StevenShattuck

The Rule of Thirds »
• 33% your content
• 33% other's content
• 33% conversation
@StevenShattuck

80/20 Rule »
• 80% not about you
• 20% about you
@StevenShattuck

These frameworks
aren’t ideal for nonprofits.
@StevenShattuck

The “Three As” »
@StevenShattuck

1.Appreciation
2.Advocacy
3.Appeals
@StevenShattuck
http://blog.hubspot.com/marketing/nonprofit-three-as-social-media-ht

@StevenShattuck
• Appreciation: say thank you
• Advocacy: champion those you serve
• Appeals: ask for help

Why appreciation »
@StevenShattuck
• People like to put their
philanthropy on display
• Donors like to feel
appreciated
• “Appreciation” posts get the
most engagement

@StevenShattuck
Anatomy of a sharer »
http://www.slideshare.net/socialogilvy/why-do-people-share-on-social-media-global-survey-results

Appreciation via social media »
• Use social media to publicly thank supporters!
‣ donors
‣ volunteers
‣ staff/board members
‣ other advocates/vendors
• Why?
‣ they will engage with/share the post
‣ increases visibility of future posts
@StevenShattuck

Appreciation »
@StevenShattuck

@StevenShattuck
https://twitter.com/GivingtoPurdue/status/725288948117942273

@StevenShattuck
https://vine.co/v/b5tnVIVjt2M

Appreciation »
@StevenShattuck
Volunteers are 10x
more likely to donate
to your charity than
non-volunteers!
http://www.fidelitycharitable.org/docs/
Volunteerism-Charitable-Giving-2009-
Executive-Summary.pdf

Collect social info on donation forms »
@StevenShattuck
missed opportunity?

Save social info in database »
@StevenShattuck

Permission »
@StevenShattuck
• Ask for Twitter username
• Ask for communication preference
• email
• snail mail
• phone
• social media
• “Would you like to remain anonymous in agency
publications?” Yes/No
• Don’t have to divulge donation amount

Ask for likes in confirmation »
@StevenShattuck

Tagging = Visibility »
@StevenShattuck

1. Appreciation
2. Advocacy
3. Appeals
@StevenShattuck
Gets the most engagement!
https://blog.bufferapp.com/facebook-news-feed-algorithm

Facebook algorithm factors »
• Posts with lots of comments
• Posts with lots of likes
• Post types that users seem to prefer more than
others (e.g., photo, video, or status update)
• Posts that receive a high volume of likes, comments,
or shares in a short time
• Posts that tag other pages within the text
• Posts that are liked or commented on by one’s friends
• Posts from pages that one interacts with often
@StevenShattuck

Tactics that work »
• You don’t get what you don’t ask for
‣ ask for likes
‣ ask for comments
‣ ask for shares
‣ ask for RTs
@StevenShattuck

Appreciation opportunities »
• Volunteers on-site
• Unique donation
• A major gift
• In-kind help from a for-profit vendor/sponsor
• P2P fundraiser milestones
@StevenShattuck

Who can thank? »
• Corporate account
• Employees
‣ Executive Director
‣ Development Director
‣ Communications Director
• Volunteers
• Board members
• Donors
• Vendors
@StevenShattuck

Appreciation - do’s and don’ts »
• Look for opportunities to show appreciation
• Make it easy for donors to talk about their giving
• from the brand + from employees
• Get the donor/volunteer’s permission
• Make thank you’s visual
• Never an untagged post
• Track donor’s social media accounts in database
@StevenShattuck

1. Appreciation
2. Advocacy
3. Appeals
@StevenShattuck
Now it’s time for conversions!

Advocacy »
• Educate about your cause
‣ new research/data
‣ helpful tips/guides
• Share mission outcomes
‣ Success/impact stories
‣ Show how dollars are spent
• Highlight organizational culture
‣ fun moments around the office
‣ employee milestones/profiles
@StevenShattuck

@StevenShattuck
Key drivers of donor commitment »
1. Donor perceives your organization to be effective
in trying to achieve its mission.
2. Donor knows what to expect from your
organization with each interaction.
3. Donor receives timely a thank you.
4. Donor receives opportunities to make his or her
views known.
5. Donor is given the feeling that he or she is part of
an important cause.
6. Donor feels his or her involvement is appreciated.
7. Donor receives information showing who is being helped.

Advocacy tips »
• Think like a journalist
• Keep your cell phone (camera) with you
• Tell others to keep an eye out
• Highlight service recipients and employees
@StevenShattuck

Appeals »
• Use social media to ask for help!
‣ be visual
‣ be specific
‣ give specific action steps
‣ mix in with appreciation/advocacy (CTAs)
• Involve others!
‣ identify influencers
‣ ask for shares/retweets
@StevenShattuck

Appeals »
http://socialmediatoday.com/sashattuck/2431046/how-college-used-social-media-raise-465k-one-day
@StevenShattuck

Appeals »
http://socialmediatoday.com/sashattuck/2053261/how-nonprofit-raised-41k-twitter-24-hours-without-trying
@StevenShattuck

Calls-to-Action (CTAs) »
• Add CTAs to appreciation and advocacy posts
‣ (photo) “Thanks to these volunteers. By the
way, you can sign up to be a volunteer here
>> link”
‣ (photo) “With your help, the Smiths were
able to move out of our shelter and into
their own apartment. Help another family
like theirs here >>”
@StevenShattuck

@StevenShattuck
Missed opportunity
for a CTA!

Appreciation - 70%
Advocacy - 20%
Appeals - 10%
@StevenShattuck

How often should you post? »
@StevenShattuck

• Facebook: when you have something to say
• Twitter: when you have something to say
• Instagram: when you have something to say
• LinkedIn: when you have something to say
How often should you post? »
@StevenShattuck
http://nonprofithub.org/social-media/ultimate-2015-nonprofit-social-media-scheduling-guide/

• Balance: avoid too much self-promotion
• Visual: photos/videos perform very well
• Be personal: address people individually (tag them)
• Ask: permission before publicly acknowledging gifts
• Track: supporter social media accounts in your database
• Teamwork: get your employees to create/share content
• Measure and adjust: don’t post what hasn’t worked!
@StevenShattuck
https://bloomerang.co/resources/downloadables/social-media-strategy-template

Free educational resources »
@StevenShattuck
https://bloomerang.co/retention

https://bloomerang.co/resources
•Nonprofit Wrap-Up
•Bloomerang TV
•Bloomies
•Daily blog post
•Weekly webinars
•Downloadables

Free eBook »
@StevenShattuck
https://www.bloomerang.co/resources/downloadables/the-art-and-science-of-retaining-digital-donors/

Free eBook »
@StevenShattuck
http://bit.ly/bloomerang-social

@StevenShattuck
https://bloomerang.co/blog/infographic-the-great-5-donor-communications-experiment
https://bloomerang.co/blog/infographic-2015-5-donor-communications-experiment
https://bloomerang.co/blog/infographic-2016-10-donor-communications-experiment

@StevenShattuck
Donation Thank
You Email
Template »
https://bloomerang.co/resources/
downloadables/sample-donation-
thank-you-email-template/

@StevenShattuck
https://bloomerang.co/resources/downloadables/basic-thank-you-letter-template/
Snail mail letter template »
1. Personal intro
2. Thank you
3. Impact statement
4. Future communications
5. Another thank you
6. Personal signature
7. PS w/ additional action

Questions?
steven.shattuck@bloomerang.co
@StevenShattuck
@StevenShattuck

Donor Retention Education w/ Steven Shattuck (FREML)

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