If you’re like most professional fundraisers, you probably rely on the holiday rush of Thanksgiving and Christmas to receive the bulk of your donor’s generosity.
The rest of the year’s revenue tends to be intermittent and largely dependent on the success of tireless campaigning. Do you know that monthly giving can create a stream of reliable revenue to help realize your organization’s important mission?
Too many fundraisers dismiss the idea of monthly giving as labor intensive, and unlikely to provide a significant return on investment. They feel that incorporating a monthly giving campaign is only for larger organizations with more staff, bigger budgets, and bigger revenue. The truth is, monthly giving is an easy way for organizations of any size to create a dedicated team of loyal supporters who are committed to your cause and eager to help through a simple monthly donation.
People like to give to causes that are important to them. Unfortunately, for many it means adding another complex task during an already hectic and expensive holiday season. Deciding what amount to give typically means that their desire to be generous is competing with the other high costs of the holidays. A scheduled monthly donation doesn’t require financial planning or making arrangements to send funds to your organization. Your donors will enjoy the hands-off simplicity of an automated monthly payment.
Donors Give More, Not Less
By targeting new donors to become monthly givers, you can increase their annual gift value. With as little as $10 or $15 per month, you will have significantly increased the value of a single one-off donation. Monthly giving is not only easy to do, it’s also easy on the budget.
Reduce Your Marketing Costs
Securing monthly donations means that you aren’t soliciting these donors on a regular basis, which will reduce your marketing spend. However, don’t miss out on the chance to check in periodically to express your thanks or offer the opportunity to increase their monthly contribution by a small amount. You can also honor these core monthly givers by acknowledging them on your website; nothing feels better than to be recognized as a committed supporter of your cause.
Now for the Fine Print
When creating your donation form for monthly giving, it’s best practice to offer a full range of payment options for donors to choose from. Electronic payments such as direct debit work best to increase the lifetime value of a contributor. When setting up the automatic payment, make the authorization valid until expressly cancelled.
"A scheduled monthly donation doesn’t require financial planning or making arrangements"
Having said that, it’s just as important to offer flexibility by allowing contributors to pause, increase, decrease or discontinue giving at any time in the monthly cycle. If the monthly payment proves difficult to cancel, their goodwill can quickly turn to dissatisfaction.
If you are inspired to start offering monthly giving options to your donors, PacNet can help. As your payment processing partner, PacNet will provide you with the services you require to offer popular monthly giving options in the U.S., Canada, the U.K., Europe and around the world, creating a reliable revenue stream generated by a core group of loyal supporters, and reducing the cost of your campaigns both at home and abroad.