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Nonprofit donor retention strategies for long-term loyalty

Donor churn is incredibly costly. After all, acquisition gets expensive, and the opportunity cost of missed potential donations can be substantial. Focusing on donor retention is a much more productive strategy, but many nonprofits struggle to hold onto their donors after the first gift.

The key to reducing churn lies in creating authentic donor relationships. When supporters feel seen, appreciated, and connected to your mission, they stay involved, and their giving grows. To help your organization boost donor retention, we’ll explore several strategies you can use to deepen relationships and inspire continued giving. But first, let’s answer some common questions about donor retention.

Achieve more for your mission. Streamline donor engagement, volunteer management, and program management with Bonterra’s nonprofit solutions. Learn more.

What is donor retention?

Donor retention is the percentage of donors who keep giving to your organization year after year. It tracks how many supporters come back after their first gift, showing you who is committed to your mission beyond a one-time donation. When donor retention is high, you can trust that your nonprofit has a dedicated group of supporters it can rely on long-term. 

Retention can also refer to the efforts, strategies, and steps your organization takes to engage donors and keep them committed to supporting your nonprofit.

Why is retention important to the donor lifecycle?

Returning donors are the foundation of sustainable fundraising. To understand why, you need to understand retention’s place in the donor cultivation cycle. The donor lifecycle has five phases:

Visual representation of the donor lifecycle, explained in the text below
  • Awareness: Potential donors learn about your organization and its mission.
  • Consideration: Prospects research your organization and compare it to others.
  • Donation: Donors make a financial contribution to your nonprofit.
  • Retention: The donor is encouraged to make additional contributions.
  • Advocacy: Loyal donors become champions for your organization and mission.

Retention plays a major role in the donor cultivation cycle, helping you bridge the gap between the first donation and the next. Without retention efforts, donors can easily lapse after the first gift. 

Think of it this way: If donors only give once, you end up wasting valuable time and resources on acquisition efforts that don’t justify the cost. When you prioritize engaging and upgrading the donors you already have, you’ll create a strong base of loyal, lasting support for your nonprofit — with less time and money spent.

High donor retention ultimately means your organization has more stable, predictable sources of funding since the same donors give again and again. This leaves you better equipped to meet your fundraising goals in the long run.

Calculating your donor retention rate

To understand where your nonprofit stands with its supporters, you need to calculate your year-over-year donor retention rate. This metric tells you how many donors from the previous year gave again the following year.

Choose two consecutive years to analyze, then plug your CRM’s fundraising data into the following formula to calculate donor retention rate:

The formula for calculating donor retention rate: (Returning donors in year 2 / Total donors in year 1) x 100.

Say that you had 500 donors last year (year one). Of those donors, 170 returned and gave again this year (year two). Using our formula, (170 / 500) x 100 = 34. That means your donor retention rate for this year would be 34%.

What is a good donor retention rate?

What constitutes a “good” donor retention rate depends on a variety of factors. While the Fundraising Report Card reports that the current average donor retention rate is around 34%, many nonprofits consider anywhere from 35-45% to be a good overall donor retention rate. 

However, you should also consider donor retention rates for specific groups, such as new vs. repeat donors and donors across different giving levels. According to the latest FEP Report, retention rates for new and repeat donors were vastly different:

  • For new donors, only 18.9% were retained YTD
  • For repeat donors, 59.3% were retained YTD

Identify a target donor retention rate for your nonprofit or a specific donor group by measuring your existing retention rates and comparing them to the current averages. Keep your current goals in mind, too. If you’re focusing on donor acquisition at the moment to prepare for organizational growth, for example, it might make sense to aim for a lower donor retention rate while you build up your donor base.

Time-tested nonprofit donor retention strategies

Successful donor retention efforts are about understanding what is important to donors and building trust with them. To show your supporters that you appreciate them and boost your retention rates, use these proven strategies.

1. Demonstrate your nonprofit’s impact

Donors want to know that their contributions make a tangible difference to your nonprofit. Your cause is the reason they give, and they need to know their donations make an impact in order for them to keep giving. In fact, one of the top reasons donors lapse is that they don’t know how their gifts are being used. 

To share the good your nonprofit has accomplished and keep donors coming back, try these ideas:

  • Share success stories: When updating donors, consider featuring a beneficiary or their family who can share how your cause has made a difference.
  • Provide updates throughout the year: Keep the momentum going year-round by giving regular updates on fundraising progress, program impact, and your latest initiatives.
  • Use visual aids to showcase impact: Include infographics along with impactful images of your staff, volunteers, or beneficiaries to illustrate how your mission is making a difference.

Incorporate these strategies in your email blasts, annual reports, newsletters, webinars, and blog and social media posts to share the results of your work and enhance donor relationships.

2. Leverage a unified donor management system

Having a centralized database or custom donor management system to track donors and your interactions with them is crucial for successful donor retention. These solutions enable you to create donor profiles that track each supporter’s contact details, donations, engagement, and more.

Mockup of a donor profile in the Bonterra EveryAction CRM

Along with donor preferences, make sure that your donor database or constituent relationship management (CRM) system enables you to:

  • Store donor preferences: Collect and analyze information about donors to identify patterns in their communication preferences, interest in specific projects or initiatives, and motivations for supporting your cause.
  • Track your retention rates:  Seeing your donor retention statistics in real time on a visual dashboard will help you stay aware of your progress and any trends that arise. If possible, set up reports for donor retention rates for specific groups as well.
  • Automate recapture and renewal efforts: By automating your email outreach, you can send donors a personalized message as soon as they show signs of lapsing. An improved supporter experience will help donors re-engage with your work sooner and save your staff time.
  • Segment your supporters: You should be able to group donors based on specific preferences and other shared characteristics into dedicated donor segments. Use your segments to tailor your messaging and engagement efforts for each group.

Taking the time to get to know your donors and offer them a more robust, personal supporter engagement experience will make them feel valued and, in turn, help drive their continued support.

Get more out of your CRM. Manage constituent data, track essential KPIs, and generate compelling reports with Bonterra. Request a demo.

3. Dig into past retention data

With a unified CRM, you can easily investigate the current state of donor retention at your nonprofit. Analyze donor data to determine last year’s retention rate and compare it with previous years, paying special attention to any declines for specific groups, such as mid-level or major donors. Calculate your average donor lifetime value (LTV), too. This will give you a good idea of how much donors give throughout their entire relationship with your nonprofit.

Using these insights, lay out a vision for improvement. Set specific goals and key performance indicators (KPIs) like:

  • Conversion rates for specific fundraising appeals
  • Email engagement metrics, like open rate and clickthrough rate
  • Change in donor retention rate for a specific group (e.g., mid-level recurring donors)
  • Recapture rate for lapsed donors
  • Number of phone call responses
  • Total touchpoints or moves with prospects before they donate

The exact data points you choose to record will vary depending on the strategies you roll out, and any software you use should help track results. This data should flow into your CRM for easy future reference (and to help your machine learning software continue refining its predictions). Keep adjusting in real time as your metrics and priorities evolve.

4. Make a donor retention plan

Cultivate stronger support from your existing donors by creating a stewardship plan that maps out all of the ways you’ll inspire donors to sustain and deepen their involvement. 

Building donors’ loyalty to your organization means going beyond fundraising asks to engage them. This includes hosting donor appreciation events, sending personalized thank-you letters, and offering opportunities for continued engagement, such as volunteering or participating in surveys. A donor retention plan maps out the specific actions you’ll take at different stages of the donor journey. 

In your plan, you might include actions and engagement activities like:

  • Donation acknowledgment and thank-you calls, emails, and letters
  • Invitations to galas, supporter meet-ups, office tours, or donor appreciation events
  • Monthly newsletters and annual impact reports about your nonprofit’s work
  • Cards to celebrate birthdays, anniversaries, and relevant milestones
  • Opportunities for more involvement, like volunteering or peer-to-peer fundraising

Each interaction should reinforce your appreciation. Thank the donor for their past support, highlight the impact they’ve helped make, and ask if they have any questions or feedback. This kind of pressure-free, people-first outreach goes a long way in reminding donors that they are valued and that their contributions matter.

5. Maintain a frictionless giving experience

An easy donation experience boosts conversions and builds long-term loyalty. With a user-friendly giving page, you’re much more likely to keep your donors returning year after year.

Today’s donors expect fast, user-friendly online experiences just like the ones they have with their favorite brands. Your donation page should meet that expectation by making the process quick, clear, and mobile-friendly. With the right fundraising software, your organization can:

Tips for maintaining a frictionless giving experience, listed in the text below
  • Offer giving flexibility: Expand your donation options beyond simple credit card and ACH payments. Accept donations via Apple Pay, Google Pay, and donor-advised funds (DAFs).
  • Streamline the giving experience: Make donating simple with mobile-friendly pages and digital wallet payments. Ensure your donation page is responsive to all screen sizes so everyone gets the same experience.
  • Simplify the design process: Set up a polished, branded online donation page in minutes, complete with your nonprofit’s logos and style.

Once you’ve optimized your donation page, address other aspects of your organization’s giving experience, such as fundraising events and text-to-give. The best fundraising software will help you streamline all aspects of giving, from your main donation page to event websites and silent auction bidding. This navigational ease ensures donors can quickly find the information they need and show their support without any headaches or confusion.

6. Offer more long-term engagement opportunities

Engaging donors beyond giving means you need to provide plenty of relevant, appealing engagement opportunities. This often involves a regular cadence of touchpoints and communications that highlight opportunities for:

  • Volunteering
  • Attending events
  • Taking part in advocacy efforts
  • Providing feedback on your programs and initiatives
  • Joining a membership program
  • Participating in peer-to-peer fundraising

Give them plenty of opportunities to stay involved over the long run, and design promotional strategies to ensure your donors actually hear about them. After all, an exciting event or social media contest isn’t worth much for your retention efforts if donors don’t know about it.

Additionally, remember that not all engagement activities will appeal to your donors, so note which opportunities receive the most attention and from which donors. After analyzing this data, create new segments based on the types of activities donors are most interested in.

7. Create memorable event experiences

Hosting relevant, engaging events should be a cornerstone of your donor retention strategy. Events are one of the best ways to drive long-term loyalty — just take a look at these findings from our 2025 State of Nonprofit Auctions Report:

  • 82% of auction guests said they would attend another event in the future.
  • 83% said they were likely to become an annual donor.
  • 64% of attendees said they were likely to become a monthly donor.
  • 91% of guests said they were likely to make a one-time donation within 12 months after the auction.

Clearly, supporters who engage with nonprofit events like auctions are much more likely to continue giving long-term.

To maximize engagement with your organization’s events, leverage event software that’s built to power the most successful fundraising events. Platforms like Bontera OneCause include innovative tools like mobile bidding, dynamic ticketing, AI-powered auction recommendations, online fundraising tools, and more.

Mockup of the Bonterra OneCause platform

Using best-in-class tools to create exciting, unique experiences at your event can ignite enthusiasm and foster a deeper emotional connection with your donors, no matter where they are. OneCause supports in-person, online, and hybrid events so you can engage every donor in the ways that best meet their needs.

Make auctions easy with Bonterra OneCause. Learn more.

8. Send out donor retention surveys

Whether you’ve just hosted a new event or launched your at-risk donor outreach program, retention surveys can help you gauge their success and get actionable insights directly from donors. Surveys are a great way to collect a large amount of data about your donor base, and they don’t tie up a lot of staff bandwidth. Plus, asking donors about their opinions shows you care, which is a great starting point for any relationship.

Ask donors for their direct feedback with open-ended survey questions. Use these tips to make sure your supporters feel heard:

  • Keep your surveys short, 2-3 minutes max.
  • Focus on one topic at a time if you’re sending frequent surveys.
  • Ask how supporters like to engage with your mission.
  • Ask what types of messages and engagement opportunities are most meaningful to them.

These surveys are valuable from both an individual standpoint and for engaging your donor base as a whole. The results will produce patterns that allow audiences to be grouped by their motivations, behaviors, and interests. Combine these insights with quantitative data on your retention strategies to get the full picture and inform your strategy going forward.

9. Call donors to thank them personally

Personal phone calls can be a powerful tool for donor retention. A phone call from a staff member, board member, or even a volunteer lets donors know that your organization cares about them personally and wants to connect further. Include phone calls in your communication plans for all types of donors, not just your major or lead donors. Consider inviting regular volunteers to take the lead on these phone calls, but make sure to provide them with a basic script that prioritizes appreciation and impact. 

Donors want to hear from you, especially in a personal way. They may be excited to discuss your organization’s future and how they fit into it. One phone call can inspire them to increase their giving level, sign up for more involvement opportunities, or just keep your nonprofit top-of-mind. Something as simple as referring to your donor by name or referencing one of their interests can go a long way toward building a lasting relationship!

Don’t stop with phone calls, either. To maximize engagement, leverage a multichannel approach in your outreach and follow-up. At events, encourage your volunteers or staff to warmly greet each guest by name. Engage donors in friendly, personal conversations whenever you can. Beyond boosting retention, these strategies will also keep your mission at the top of supporters’ minds.

10. Set the stage for donor upgrades

The same tools and strategies that help you spot at-risk donors can also help you uncover supporters who are ready to give more. Strengthening donor retention isn’t just about preventing churn — it’s also about recognizing when loyal donors are primed for deeper involvement.

You already have access to potential major donors within your existing donor pool, and using your data will help you identify the top prospects who fit these criteria. Run AI analyses of donors’ likelihood to upgrade. Machine learning software can analyze trends that have historically led to larger gifts for your organization and generate lists of individuals likely to make a mid-size or major gift in the coming year.

Once you’ve identified those with greater financial capacity and affinity for your cause, segment these donors for more targeted attention, such as tailored solicitations, one-to-one communications, and unique experiences. Explain the benefits and impact of increased support. From there, you can confidently kickstart the cultivation process.

11. Widen your reach through existing donors

In addition to cultivating the next pipeline of donors to your organization, let your existing donors help you discover new prospects. The best potential new donors are those already connected to your nonprofit in some way.

Use these tactics to grow your donor base through your current supporters:

  • Test out a peer-to-peer fundraising program to connect with your current donors’ wider social networks.
  • Include a sign-up option on your website and at events so potential donors can receive your communications.
  • Leverage your board members’ and volunteer leaders’ networks to see where their connections can open doors.

Adding even 10 new names a month can yield up to 120 new donors annually. Cultivate them with a steady communication and engagement strategy to convert those new donors into lifelong donors.

Retain more donors with Bonterra’s fundraising software

Your nonprofit should view donor churn as a solvable problem, not an unavoidable reality. Donor retention is crucial to the long-term success and health of any nonprofit, and there are plenty of direct steps you can take to improve it. Engaging your existing donors will help you develop lasting relationships, locate new prospects, and increase your overall fundraising revenue. 

By leveraging innovative tools like Bonterra EveryAction and OneCause, you can foster deeper connections and encourage donors to stay involved with your organization year-round.

Fundraising made easy. Bonterra’s suite of nonprofit tools makes it easier to manage fundraising campaigns, donor data, event planning, and more. Request a demo.

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