The world of fundraising and charities has long been shrouded in obscurity. While many of these foundations will boast of their transparency, it can oftentimes be too difficult to see whom the funds are for, where they are going, and what impact that they can have on the actual cause. We saw this back in 2010 with Mark Zuckerberg’s generous $100 million dollar donation to Newark Public Schools. I’m not saying we should stop donating. Instead I am saying that fundraisers, nonprofits, and charities need to be more visible and informative for the why, where, and what questions people will ask when donating for a cause.
At the end of the day, donors like to be reassured that their generous donation is making an impact on an individual’s life. That being said, below, I have laid out three main goals an organization should know for the betterment of its future. By internalizing these goals, you will be able to communicate and translate those numbers to understandable concepts for donors. Remember, the more informed they are, the more comfortable they will be to donate to your cause.
Know the Total Amount of Money Raised and Why
This is usually straight forward, but at the end of the day, you want to translate those numbers to something more understandable and comprehensive for the public. To do this, think backwards. By backwards planning, knowing your goal amount and creating steps to get there, you will be able to not just strategically plan for your goal, but also explain why you need that specific amount to various donors. At times, you will be looking for more lucrative donations. For this to happen, you need to be able to discuss why you need that amount and what that amount can do for your organization. We see this in shows like Shark Tank or on social media with GoFundMe promos. Make sure you know the desired amount and what it will be used for in the future. The more detailed you are the better.
Know the Number of Donors and Renewed Donors
The success of your fundraiser depends on just on the financial aspect, but also on the donor side. Make sure you know the number of donors who donated. You can do this monthly, quarterly, or yearly. Either way, you will be able to tract the overall system and progress your fundraising is doing and translate that back to the customer. The higher the donors, the better your charity looks to the public.
Know the Number of Renewed Donors
In addition to knowing the number of donors, make sure you are also aware of the donor retention rate. If you find that your retention rate is high, then that is definitely a fact you can capitalize in closing a deal for potential donors. One thing to note, renewed donors often increase to the cause. Many people find that type of commitment important before making donations on their own. Know this information and utilize it to its fullest.