Sarah Ford | January 2, 2015

Charities Show Strides in Keeping Loyal Donors, But Are Too Focused on Short-Term Results, Scholars Say

By Holly Hall

Charities made strides in the past year as they sought to persuade new donors to give again and to increase the amount such supporters contribute for second or third gifts, a study has found.

But nonprofit organizations are wasting money by putting too much effort into constantly replacing large numbers of donors who never make a repeat gift when they should be making investments that would provide significantly more fundraising return in the long term, the researchers said.

For every $100 in new donations the 3,576 groups in the survey received in 2013, they lost an average $92 from supporters who failed to give again and others who contributed less than they had previously. That was an improvement over 2012, when charities in the study lost $96 in donations, on average, for every $100 they received, and much better than in 2008 and 2009, when charities in the study lost $119 for every $100 they received in new contributions,

Promoting loyalty among donors is a struggle for groups, but failing to do so is hurting their bottom lines, the researchers said. Only 43 percent of donors who made a gift in 2012 did so again in 2013, the study found.

>> Continue Reading on Philanthropy.com

Get Our Fundraising Insights Straight To Your Inbox

Explore More Articles

Funds Management Associate

February 24, 2024

Department:  Charitable Funds Management Solutions We are a non-profit charitable organization looking for skilled individuals who can coordinate multiple client requirements related to fund processing…

Read Article
World Sleep Day

World Sleep Day

February 20, 2024

World Sleep Day, which takes place on March 15th in 2024 ( March 14, 2025 for those who like to plan ahead), was founded by…

Read Article
EMP. App. Day

Employee Appreciation Day

February 20, 2024

Taking place on the first Friday of March each year, Employee Appreciation Day is the perfect time to show your gratitude for the hardworking staff…

Read Article

Get Resources and Insights Straight To Your Inbox

Receive our monthly/bi-monthly newsletter filled with information about causes, nonprofit impact, and topics important for corporate social responsibility and employee engagement professionals, including disaster response, workplace giving, matching gifts, employee assistance funds, volunteering, scholarship award program management, grantmaking, and other philanthropic initiatives.

newsletter-mock