Recurring gifts, especially monthly donations, have grown in popularity in recent years. A 2022 report showed that while total online giving grew three percent last year, monthly giving increased by 24 percent, driving most of the overall growth. In the absence of events during COVID-19, many organizations saw an opportunity to grow their monthly programs, and donors responded generously.
There are many advantages to recurring giving. Unsurprisingly, these donors have high levels of retention, and reliable revenue aids planning and budgeting. Especially for smaller organizations, converting even a few supporters from one-time to monthly giving can have a solid impact on your bottom line.
Maybe you already have some regular monthly supporters but haven’t yet put any structure around the program or thought about special stewardship for this group. I want to share a few thoughts about launching and sustaining these programs that will set them up for growth.
Start with technology: Fortunately, nearly all online giving platforms now seamlessly offer donors the option of monthly giving. However, many organizations do not take the extra step of customizing the default language in these systems. Are there any small tweaks you can make to nudge donors toward a monthly gift? Make sure that you’re taking advantage of all that your platform offers.
Think about impact and branding: How will supporters’ increased commitment benefit those you serve? Is there a special monthly impact report that you could share? Also, many organizations create a name for their monthly givers that pays homage to their sustaining support. Think about how you want your “club” to look and feel, and the sense of belonging that you can create.
Pay special attention to stewardship: You can start with small steps, like making sure that thank you notes mention the donor’s regular giving. The principles behind thanking donors meaningfully certainly apply here, and new monthly givers should receive a prompt, personal thank you. Also, be sure to take their preferences into account. Some monthly donors may share that they prefer recurring gifts specifically because they do not want to receive regular appeals and emails, and prefer an annual giving statement to monthly thank you letters. Note and honor these requests.
I hope taking these first steps and approaching your monthly giving program thoughtfully will yield fruitful results. If you have tried creative tactics in this area, please reach out and share!