The Importance of Building Relationships in Nonprofit Fundraising
Nonprofit organizations are dependent on donations and contributions to achieve their mission and make a difference in the world. To do so, they need to build strong relationships with donors and supporters. There is a clear difference between transactional donations and transformational donations and we believe the key difference is the depth of the relationship.
The relationship between the donors and leadership, the donors and the board, fundraising team, volunteers, ultimately, the relationship between the donors and the mission. This relationship is strengthened by establishing trust and instilling confidence in the donors.
Donors want to know that their contributions are making a real impact and that the organization is using their funds effectively. By building a relationship with them, nonprofits can reassure donors that their money is going to a good cause. This leads to increased donations. When we have a direct line to our donors, we can call them up on the phone, we see them out throughout the week, they’re involved in our mission on an active basis, we’re able to ask them to support us more.
If they’re engaged, they’re hearing about their impact more, and that enables them to continue to invest knowing they can trust the organization to use their dollars wisely. As we continue to deepen the relationship, they will increase their donations in size as well. We want for donors to give annually, be engaged in a pledge for a larger gift, and to leave us in their will. Each of these steps happens with time, with trust, and with a healthy knowledge of the impact of their gift.
A few additional benefits of focusing on relational fundraising:
Word-of-Mouth Referrals: Happy and engaged donors are more likely to refer friends and family to the nonprofit organization. By building relationships, nonprofits can tap into this powerful marketing tool and expand their reach through word-of-mouth referrals.
Building Community: Donors who feel connected to a nonprofit are more likely to participate in events, volunteer their time and talents, and become ambassadors for the organization. By building relationships with donors and supporters, nonprofits can create a community of advocates who will help spread the word about the organization's work and support its mission.
Feedback and Insights: Donors who have a relationship with a nonprofit are more likely to provide valuable feedback and insights. They may have suggestions for new programs or improvements to existing ones. By listening to donors and incorporating their ideas, nonprofits can strengthen their programs and make a greater impact.
Building relationships is an essential part of nonprofit fundraising. When it comes to strengthening all giving levels within a philanthropy program, consider where your organization can expand your giving from transactional to transformational by making your relationships a priority.
Have more questions about building relationships in the nonprofit world? We can help! Send us a message and you can schedule a chat with one of our team members.
