Imagine receiving two postcards in the mail, each from a different nonprofit. Both are printed on high-quality paper and feature eye-catching designs. Yet, while one celebrates a nonprofit’s hard work and includes a lengthy list of accomplishments, the other thanks you by name and describes the life-changing impact of your recent donation. Which one will you read and which ends up in the recycling bin?
We all crave acknowledgement for our unique gifts and contributions. Donor-centric fundraising capitalizes on this need via personalized, segmented messaging that prioritizes donors’ specific motivations and interests. The result is a passionate donor pool of individuals personally invested in your cause and eager to spread the word.
While donor-centric fundraising requires an adjustment in strategy—namely regular, more personal communication and engagement, along with more data analysis and segmentation—the benefits are obvious.
What Is Donor Segmentation?
A major component of donor-centric fundraising, donor segmentation involves dividing your donor pool into subgroups such as location, age, education level, lifestyle and areas of interest.
From here you can create “donor profiles,” which group donors based on shared subgroups. Most nonprofits keep several donor profiles on file to suit different campaigns and fundraising objectives.
Donor Segmentation Tips
Identify Key Donor Segments
Here are some sample subcategories to segment your donor pool and create your donor profiles:
- Demographics – Age, gender, ethnicity, geographic location, education, income, marital status, profession
- Lifestyle and Values – Religious affiliation, social status, activities and interests, opinions, motivations
- Giving Patterns – Size and frequency of past donations, preferred causes, responses to appeals
- Communication Style and Frequency – Preferred channels (e.g. e-mail, text, mail), responsiveness, social media engagement
Feel free to layer and combine the above attributes as your nonprofit sees fit. Depending on your fundraising goals, it might make sense to create highly targeted donor profiles (e.g. seniors residing in the Midwest who give between $1,000 and $5,000 annually and prioritize healthcare access). The more refined your segments, the more precisely you can customize the donor experience and maximize engagement.
Monitor & Adjust Your Donor Segmentation Strategy
As your nonprofit list grows, your donor segmentation strategy should grow with it. Evaluate your donor segmentation efforts by asking these key questions:
- How have our organization’s goals changed since we last segmented our donors?
- Should we incorporate any new donor segments?
- Which donor segments elicit the most responses? Which segments do we rarely hear from?
- Can we merge and layer our donor sub-groups?
- Are we effectively using our donor data?
Tailor Messages to Different Segments
Once donors are segmented into predetermined groups, you can time and tailor your messages accordingly. Donors will know when you reach out, there’s a reason. They’ll also appreciate your efforts to respect their motivation, interests and preferred communication channel.
Donor Segmentation Tips
Incorporate Storytelling
While it’s important to share your organization’s accomplishments, donors need to understand where they fit in. Simply including a laundry list of achievements gives the impression your organization is doing just fine without them.
Sharing stories and updates about the impact of their giving, however, makes donors feel like part of the solution. Including phrases like, “Thanks to your help,” “With your support,” or “Can we count on you?” draws donors in and builds urgency.
When sharing anecdotes, make sure they illustrate the ways in which donations change lives.
Personalize Your Message
Personalization is essential to a donor-centric approach. Generic messages make donors feel unimportant and removed from the cause.
Tailor your communications to reflect and reference their personal interests and previous contributions and use their preferred engagement method, whether by mail, text, email or phone call. This will go a long way toward making donors feel valued and respected
Make It Easy to Give
Create a dedicated donation page that’s easy to find and navigate on ALL platforms, especially mobile. A confusing or cumbersome donation process will cause donors to give up or pledge their time and money elsewhere. Using pre-set amounts along with a personalized amount generally increases the average donation.
Test links in e-mail messages and social media posts and make sure a donation button features prominently on your home page.
Leverage Multiple Channels
These days, it’s vital to target donors across multiple channels to maximize visibility and engagement. United GMG’s Omni-Bridge 2.0® platform seamlessly integrates traditional AND online marketing efforts to create a unified, seamless omni-channel experience.
Take Your Non-Profit Appeals Campaigns to the Next Level with United GMG
Trusted by nonprofits nationwide, United GMG offers everything organizations need for donor-centric fundraising appeals, including expert advice on design (e.g. letter formats, full-bleed envelopes, response cards), packaging, copywriting, production and mailing. We offer solutions for any size budget (including many custom options!) to make your campaign stand out.
Contact us to get a free quote or call to speak to a United GMG representative today.
