HBH Consultants

The Network for Good recently released the results of its seven year Online Giving Study that brings to light some important observations about donors’ online-giving behavior from 2003-2009. While it recognizes the nearly exponential growth of online giving, the groundbreaking research emphasizes how the virtual donor experience affects giving over time.

The study asserts: ”By looking at donor relationships, not just donor transactions, we’ve “uncovered” something a lot of people already knew: The level of connection to an organization that a donor experiences online is directly tied to their likelihood of giving more—and more often. Even small upgrades to the donor experience make a measurable difference in online giving.”

Some key findings include:

1. More than 22% of gifts made online during the year will be made on December 30 and December 31.
2. Recurring giving is a major driver of giving over time and should be strongly encouraged in the giving experience.
3. The online giving experience has a significant impact on gift levels, loyalty and retention.
4. Giving happens between 9am and 5pm during the workday. Wednesday appears to be the most popular day for giving.
5. Donor loyalty is highest on charity websites with personality that build direct relationships with donors.
6. December donors have a three-year cumulative value that’s 51.8% higher than donors in the other 11 months.
7. The study looked at the most generous states by household according to average gift size and gifts per household. Minnesota ranks high on both counts in 2009, largely as the result of a large, statewide campaign to encourage online giving.

I’ve heard so many times, “We have a donate now button on our website but haven’t had a donation on there for two months.” While technology is making it easier than ever to receive donations, fundraisers must resist the urge to treat donors like an ATM machine. Furthermore, just as in traditional fundraising, there must always be a call to action to motivate a donor to take action.

Simple steps such as making online giving the centerpiece of your website’s homepage during the holidays can increase online gifts significantly. Donors are craving a deeper relationship with the charities they give to. Use social networking websites to thank them after they make a gift. Take a few minutes to update the giving page of your website. Add the give now button to every page within your website. Send a prompt and personal e-mail (or even better, a phone call) in addition to the automated receipt they receive within 24 hours of receiving a gift. Show them on your Facebook page how their gift is working right now. Let them know your fundraising goal and progress. Lay-out a strategy for e-mail marketing in December, with messages tailored to segmented audiences.

*Please note that this study contains data from donors giving through The Network for Good. Further research into online giving behavior (and how offline cultivation activities affect that behavior) will provide a broader picture of online giving patterns and motivations. Stay tuned for more on how to leverage this research to enhance your online fundraising success!

-Katrina

This entry was posted on Friday, December 17th, 2010 at 9:06 pm and is filed under News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.