The Power Of Recurring Donors

In this episode of the First Day Podcast, host Bill Stanczykiewicz, Ed.D. is joined by Abby Jarvis, Head of Content for Neon One. They discuss Neon One's new Recurring Giving Report, revealing significant trends and insights into the world of repeat donations. Abby breaks down the concept of recurring giving, explaining it as donations set to repeat at regular intervals, typically monthly. Surprisingly, the report shows a 127% increase in recurring donors between 2018 and 2022, suggesting that many donors are opting into these programs organically, without targeted fundraising efforts. One standout finding is the remarkable long-term value of recurring donors. While annual donors might give more in a single year, they typically engage for just under two years. In contrast, recurring donors stay engaged for an average of eight years, creating a more stable and reliable funding stream for nonprofits. Abby emphasizes the emotional and personal connection these donors have with their chosen causes, which fosters long-lasting relationships. This deep connection is further evidenced by an analysis of over 13,000 donor notes, showing that recurring donors often express their personal identities and emotional investments in their contributions. The conversation then shifts to the nonprofit organizations themselves. The data encompasses over 2,000 nonprofits of various sizes and sectors, revealing that larger nonprofits tend to capitalize more on recurring donations due to their greater resources and staff dedicated to these programs. However, Abby encourages smaller and mid-sized nonprofits to take cues from their larger counterparts and begin asking for recurring gifts. She highlights the importance of simply starting – enabling recurring donations on forms and communicating this option to donors through various channels. As they wrap up, Bill and Abby discuss practical advice for fundraisers. The key takeaway is to start asking for recurring donations and to incorporate this option into regular fundraising appeals. By doing so, nonprofits can build deeper, long-term relationships with donors, leading to sustained support and increased funding over time. The episode underscores the potential of recurring giving programs to transform fundraising efforts and ensure the longevity and stability of nonprofit organizations.