In part one of this three-part series, we’ll cover the “Digital Donor” and explore what drives donor behaviour and expectations. Part two will focus on the importance of conversion optimization. We’ll look at how to leverage data and donor insights to increase donations and website conversions. To finish we will complete our three-part series with an exploration of how to create better donor experiences. We’ll examine techniques and best practices for donor engagement and retention
Part 1: The Digital Donor
So many facets of today’s daily life are executed digitally, through our smart devices. We only have to look at the evolution of companies like Amazon, Netflix, and Uber for good examples of this. Each of these companies has transformed its respective industries. When Amazon first started, it succeeded in transforming how people buy books. Today, they are a global retail leader who transformed how people shop. Likewise, Netflix has changed how people watch and Uber has changed how people commute.
Why shouldn’t the same transformation happen with the NGO and charity sector?
2020 statistics show that we’re well on our way:
- 80% of donors prefer to give online
- 68% to 82% of donors prefer digital channels for information and inspiration
- 39% of Millennials and 33% of GenX are inspired to give through social media channels, whereas Baby Boomers are more likely to be engaged through email
The driving goal of any NGO or non-profit charity is to tap into available disposable donor income. The challenge? Rising competition for donor attention, at times from unexpected sources.
With the emergence of online platforms like Go Fund Me, Indiegogo and Fundly, fundraising tools now find themselves in the hands of individuals who will reach out to their networks to solicit funds for causes they care about. Levels of bureaucracy are removed. While these may not be in direct competition with established non-profits, they do compete for a share of voice. This is a new reality with which non-profits must now contend. As such, non-profit organizations must evolve too.
Playbook Tip #1: Be Digital Centric
Traditional banks missed an opportunity to dominate the online space, leaving a vacuum in which online trading platforms such as Robin Hood and Wealthsimple have started to gain significant traction. The banks expected customers to continue to prefer the face-to-face interaction that came with meeting with a financial advisor at bricks and mortar location. They underestimated how much the ease and convenience of an online platform would appeal to their clientele.
It is essential that non-profits not make the same mistake. Your users are online. They’re doing more and more there.
Non-profit organizations must increase impact while optimizing costs.
Donors expect organizations to be good stewards, or financial managers, of their funds. They expect organizations to ensure that their donations are going to serve the cause and have as much impact as possible. This is why there is such a spotlight on a non-profit’s administrative and marketing costs and criticism when these are perceived to be too high.