Non-major donors have declined by 25% in the last decade.
Nonprofits are losing “everyday donors” in increasing numbers. Fundraisers are becoming more dependent on large gifts and nonprofits lack the revenue predictability that comes from an army of mid and low-level donors.
- New donors decreased by 19% in 2017 and 7% in 2018
- 76% of new donors to will never go on to give again
- Nonprofits lost 5.9M donors ($5.8B) in fiscal 2016-17
What’s Causing the Crisis?
Our current crisis started in the mid-2000’s. In fact, there was an 18% drop in the number of individuals who gave to nonprofits between 2006 and 2015.
It’s no coincidence that this timeframe corresponds with the rise of Facebook (2004), Twitter (2006), the iPhone (2007) and a host of software platforms designed to deliver a barage of personalized marketing messages.
This drop in donors is the direct result of nonprofits’ inability to raise support from everyday donors who have come to EXPECT a deeper personal connection to their cause.
And yet everyday donors are the heart of nonprofit giving. They provide sustained revenue, volunteerism, and advocacy that your nonprofit needs in order to flourish.
Unfortunately, today’s nonprofits are handcuffed to outdated fundraising models that reserve personal connections for a select few major donors. These models force fundraisers to rely on impersonal, unresponsive fundraising tactics for everyone else. Instead of creating connection, traditional tactics alienate your donors and create distance between the donor and their impact.
The days of sending impersonal direct response marketing and hoping for a 3% response rate are over. This model has become intolerable for your donors.
We need a new approach. We need to reimagine fundraising.