Monthly giving is a way to create a dependable and predictable source of monthly revenue for your organization. Through regular contact (mail outs, thank you calls, events, etc., you can develop a pool of monthly donor prospects.
The benefits for your organization include:
- The predictability of monthly cash flows
- Lower administration costs (process one receipt per year, send less mail, etc.)
- A monthly donor program softens the impact of donor attrition
- Smaller, manageable monthly gifts may enable your donors to give more. For example, if Mr. Smith has been giving you a $1,000 per year and he joins the monthly donor program at $100 per month, his yearly giving is now $1,200.
- Individuals who give every month, for years believe in what you do. They are among your best advocates. (Hint: This group of people are also good prospects for your planned giving program)
The benefits for your donors include:
- More affordable giving and easier to manage within their monthly budget
- Less mail
- They don’t have to think about it because it’s an automatic process
- (Staff) can give through an automatic payroll deduction process and their yearly donation can be noted on their T4 slips
- Perks (to be determined by your organization) examples include: VIP treatment at your events, or specific events for monthly givers, access to insider information such as future plans or focus groups, etc.
7 Steps to building a Monthly Donor Program
- Give your monthly donor program a meaningful name
- Launch it internally first. Ask your board and staff to consider participating. (This doesn’t need to be a huge commitment – even $5 a month works. It’s good for internal morale and external communications to show that all, or a high percentage of, your closest stakeholders are participating)
- Decide on the criteria that determines which of your donors are prospects
- Send a letter introducing your new program; highlighting the benefits of monthly giving and invite your donors to join up
- Repeat process with new prospects each year
- Consider including a monthly giving option on all your response devices
- Make sure to thank your monthly donors often
Can you think of other benefits associated with a monthly giving program? Do you have strategies to share that have worked well for your organization?
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