Don't leave money on the table: Smarter year-end fundraising

As the calendar year draws to a close, nonprofits find themselves entering a critical fundraising period. The final months of the year are often the most generous, with donations peaking during the holiday season and driven by several motivating factors. This end-of-year period presents an unparalleled opportunity to engage donors, harness corporate matching gifts, and execute strategies that maximize contributions to your nonprofit.

Whether it’s leveraging tax benefits, increasing visibility through multiple communication channels, or capitalizing on automated systems to streamline donation processes, nonprofits can set themselves up for success during this critical time.

This guide, based on a recent webinar with the Bonterra and Double the Donation teams, delves into expert strategies for maximizing your nonprofit’s end-of-year fundraising and corporate matching gift potential. By carefully planning and executing these tactics, your organization can increase donations and amplify its impact during the final stretch of the year.

Understanding the power of end-of-year giving

Before diving into specific tactics, it’s essential to grasp why the end-of-year fundraising season is so important. The surge in giving during this time is driven by a combination of emotional, financial, and practical reasons. Understanding these motivations can help you better frame your fundraising campaigns.

According to recent studies, nearly 30% of all charitable donations are made in December, with 10% occurring in the final three days of the year. This boost in donations isn’t random; it’s the result of strategic year-end planning by donors looking to maximize tax deductions, take advantage of corporate gift-matching programs, and give back during the holiday season.

In other words, the final months of the year present both a challenge and an opportunity. Nonprofits must not only compete for attention among countless other organizations vying for donations, but they also need to capitalize on the unique motivations that drive end-of-year giving. With recent federal funding challenges and ongoing economic pressures, individual donations are more crucial than ever. Highlighting these challenges and tapping into both the financial incentives and the emotional triggers that encourage giving can help organizations make the most of this critical period.

Establishing a sense of urgency

One of the most powerful tools in an end-of-year fundraising campaign is creating a sense of urgency. Donors need to feel that their opportunity to contribute is limited, making them more likely to take action before the year ends. Time-sensitive campaigns often generate stronger results because they prompt quick decision-making and action.

Here are a few actions you can take to make the most of the opportunity:

Leverage time-focused language: Using time-sensitive language such as “Last chance,” or “Hurry, time is running out” can motivate donors to act quickly. These phrases remind your audience that time is of the essence and that if they want to make a difference, they must act quickly by donating soon.
Highlight tax benefits: Many donors contribute at year-end specifically to benefit from tax deductions. Be sure to remind potential donors that their charitable contributions before Dec. 31 may reduce their taxable income, which can be a compelling motivator for individuals who are looking to close out the year with a tax-efficient gift. With significant tax-related changes on the horizon, including new tax breaks for charitable donations, this is an even more critical time for donors to give in a tax-efficient way.
Set specific deadlines: Creating a concrete deadline, such as “Give before Dec. 31 to maximize your impact,” provides a sense of urgency and clarity. Including a countdown timer on your website or within email communications can visually reinforce the pressure of the approaching deadline.

By establishing urgency in your messaging, you can motivate potential donors to contribute sooner rather than later, reducing the risk of procrastination and increasing overall engagement. In the fast-paced world of end-of-year giving, clear, urgent messaging makes all the difference in inspiring immediate action.

Leveraging multi-channel communication

In order to engage as many donors as possible, nonprofits must utilize multi-channel communication. By reaching donors through multiple touchpoints, you increase the likelihood that your message will be seen and acted upon.

Regardless of the specific channels you choose, diversifying your communication channels can significantly enhance visibility and participation. We recommend implementing a combination of:

Email campaigns: Email remains one of the most effective methods of outreach for end-of-year fundraising. Segment your donor list to ensure that your messages are tailored to different donor groups, such as major donors, first-time givers, lapsed supporters, and recurring contributors. A personalized email appeal with a compelling subject line and a clear call to action can increase conversion rates significantly.
Social media: Platforms like Facebook, Instagram, Twitter, and LinkedIn provide an excellent opportunity to expand your reach and engage donors in an informal yet effective way. Share impactful stories, images, and videos that convey the importance of the work your nonprofit is doing. Encourage followers to share your posts to extend the reach of your campaign and increase visibility.
Text messaging: With an open rate higher than that of email, SMS messages are an excellent way to connect with donors easily and directly. Send concise reminders about your campaign, include a donation link, and reinforce your sense of urgency. Text messages are personal and immediate, which can prompt quicker responses.

Having a diverse communication strategy ensures that your message reaches your donors through the medium they are most likely to engage with. By using multiple channels, you also reinforce your campaign’s visibility and give donors various ways to contribute, increasing the overall chances of success.

Keep in mind that personalizing your outreach is critical if you’re looking to build and maximize donor relationships. Luckily, tools like EveryAction can help you craft highly tailored messages that resonate deeply with your audience, further boosting engagement and support.

Simplifying the call-to-action

Once you’ve captured a donor’s attention, it’s essential that your call-to-action (or CTA) is clear, simple, and easy to follow. If a donor is unsure about how to contribute or feels the process is too complicated to follow through with, they may abandon the donation attempt altogether.

Streamlining the donation process ensures that donors can quickly and easily make their contributions. Be sure to incorporate:

Clear instructions: Your CTA should be direct and easy to understand. Rather than using vague phrases like “Support our cause,” try more specific instructions like, “Click here to make your tax-deductible donation today.”
Simplified donation forms: The donation page should be as simple as possible, with minimal steps required to complete the transaction. Ideally, the page should be mobile-optimized, as many donors prefer to make contributions from their smartphones.
Matching gift process: If your donors are eligible for corporate matching gifts, make it simple for them to check whether their employer participates. Collect employment information, provide links to matching gift portals, and give clear instructions for how donors can claim these contributions, thus increasing the total impact of their donations.

By providing a streamlined process with a clear call to action, you make it as easy as possible for donors to contribute and take advantage of workplace giving opportunities. After all, when donors understand exactly what to do and how to do it, they are much more likely to follow through with their donation.

Maximizing corporate giving programs

Corporate matching gifts are an often underutilized avenue for boosting donations. Many employers match employee contributions, sometimes at a 1:1 or even 2:1 ratio, meaning that your nonprofit could double or triple the amount donated if you encourage donors to take advantage of the opportunity.

Here’s how you can make the most of these programs:

Encourage donors to check with their employers: In your outreach materials, remind donors to inquire with their employers about matching gift opportunities. Many people aren’t aware that their company offers matching gifts, so providing them with this information can significantly increase contributions.
Highlight seasonal workplace giving drives: Many corporations run special workplace giving drives during the holidays, which often come with higher matching rates. Include this in your messaging, and let donors know about the seasonal giving opportunities they can take advantage of.
Provide a matching gift lookup tool: On your donation page, include an intuitive search tool that allows donors to look up whether their employer offers matching gifts. This small addition can make the process smoother for donors and reduce the likelihood of them abandoning their donation or match due to uncertainty.

All in all, corporate matching gifts provide a powerful opportunity to increase your fundraising efforts, but only if your donors are aware of the opportunities available. By encouraging matching gifts and providing the necessary tools and information, you can significantly amplify the success of your year-end campaign.

Utilizing automation for efficiency

During the hectic end-of-year fundraising push, strategic automation can be a lifesaver. By automating specific tasks, you can focus more on innovative outreach while ensuring that the process runs smoothly and efficiently.

Here’s what we recommend implementing for the best results:

Automated acknowledgements: Immediately after a donor contributes, send them a personalized thank-you message. This not only acknowledges their generosity but also reinforces their decision to make the gift. The message should include any relevant tax information, as well as a genuine expression of your gratitude.
Reminder emails for matching gifts: Soon after a donation is made, you’ll want to automate reminder emails to encourage donors to submit their matching gift requests. These reminders can be sent at regular intervals to ensure that donors don’t forget to complete the process.
Donor segmentation: Use automation to segment your donor database by giving history, location, or employer. This enables you to send targeted messages to various donor groups, enhancing relevance and boosting engagement overall.

By integrating automation tools, nonprofits can save time while improving the donor experience. Automation ensures that no donor slips through the cracks and that every opportunity to maximize contributions is seized.

Maximizing your year-end impact

The end-of-year fundraising season presents a tremendous opportunity for nonprofits to increase their contributions and support. By creating a sense of urgency, utilizing multi-channel communication, simplifying the donation process, and maximizing corporate giving opportunities, nonprofits can set themselves up for a successful year-end campaign.

Remember: the end of the year is your chance to engage donors in a meaningful way. Be sure to capitalize on corporate giving opportunities and ensure that your mission continues to grow in the coming year.

Interested in diving even deeper into these ideas and strategies? Check out the full webinar replay to learn more!