In a world filled with transactions, deadlines, and digital communication, the art of gratitude often takes a backseat. However, the true story of Rose and Jimmy, a couple celebrating 60 years of marriage and unwavering support for a mission close to their hearts, sheds light on the transformative power of donor gratitude.
Rose had been faithfully contributing to the organization for six decades when, finally, the phone rang. The call wasn't about seeking another donation, it was a heartfelt expression of gratitude with someone simply calling to say thank you for her enduring commitment, plus an offer to pray. This heartwarming tale underscores the profound impact that timely and personal appreciation can have on donors.
The Real Value of Gratitude
Feel Heard and Appreciated: When gratitude is expressed genuinely, donors feel valued and heard. It's not just about acknowledging their financial contributions, it’s also about recognizing the role they play in advancing your organization’s mission.
Build Trust: Effective gratitude goes beyond a simple thank you. It elevates trust. Trust is the currency of philanthropy, and donors who feel a deep sense of trust are more likely to continue their support.
Simple Gestures Matter: The power of gratitude lies in simplicity. Whether it's a phone call, a handwritten note, or a small token of appreciation, it's the thoughtfulness that really counts.
Positive Impact on Giving Behavior: When donors feel special, they are more likely to give a second gift. A personal phone call could increase second-gift rates by 70-90%. Donors who’ve been thanked promptly and authentically will tend to give more, with an average increase of over 30%. There’s also a lift to retention rates that comes from gratitude calls by 24% or more.
ROI on Gratitude: The return on investment for prioritizing gratitude can be substantial, with some organizations experiencing an ROI of 30:1 or more.
Making Gratitude a Priority
Following are some considerations for your organization. Do you have these items? How can you help enhance appreciation for your volunteers and donors?
Dedicated Budget
Does your organization have a separate budget or budget line item exclusively for donor relationships? The investment in gratitude can be justified through testing, and it's crucial to consult with accountants for proper representation on financial documents.
What percentage of your annual fundraising/marketing budget is spent on donor gratitude? (Thank you receipts/acknowledgements, impact reports, handwritten notecards, welcome series?)
Donor-Centric Communication
Gratitude outreach should focus entirely on the donors. Avoid solicitation during these interactions, creating a "Halo" effect where donors feel valued without any expectations.
Take an audit of some of your materials. How thankful do you sound? Do your communications have more “we’s” than “you’s?”
Act Promptly
Just as the 72-hour rule applies to providing donors with their gift acknowledgements and receipts, act promptly when a donor takes action. Timeliness is crucial, and fundraisers should be ready when donors are thinking about the organization.
When is the last time you made a test donation to see how your organization communicates with a new supporter?
Mindset Shift
Challenge the mindset that simply acknowledging donations with receipts or annual giving statements or an annual phone-a-thon equates to gratitude. Gratitude needs to be a genuine, ongoing priority and expression throughout your communications.
When’s the last time you wrote a thank you note? It’s an action that helps your brain, body, while also creating ripples of good.
Treat donors like Major Donors
Shift the perspective to treat all donors as major donors. Regardless of the donation amount, each supporter plays a crucial role in the organization's success. The $25 major donor, the 60-year $30 donor, the new $14.30 contributor—all are equally vital. If you don’t see them that way, another organization will.
Donor Trust is the Goal
Remember, donor trust is not just a goal; it's the cost of entry. Allocate a percentage of revenue (consider 2-4%) back into appreciating your supporters, demonstrating a commitment to them and what they value and appreciate about your mission.
As we step into 2024, let's embrace a new mindset—one where all donors, regardless of their contribution, are treated with the respect and gratitude they deserve. After all, in the world of philanthropy, the basics matter, and getting gratitude right can be the key to a thriving and sustained relationship with those who make a mission possible.
