What do NBA star Stephen Curry’s 91.1% free-throw percentage and your nonprofit’s donor retention rate have in common? More than you might think.
When Curry steps up to the free-throw line, he has an unflinching routine: he taps the nail at center court, sets his feet the exact same way, dribbles once, then shoots. Every. Single. Time. Elena Delle Donne, with a 93.4% free-throw percentage (the highest in NBA and WNBA history), has followed the same routine since eighth grade.
This same relentless consistency is necessary to transform fundraising results.
The average retention rate for first-time donors is about 18%, according to the Fundraising Effectiveness Project. Yet, organizations that apply relentless stewardship practices see retention rates of 80-90% (Source: Lynne Wester, Donor Relations Group).
That means a 10% improvement in donor retention can increase your revenue by nearly 50%.
If you’re struggling with donor retention, you’re not alone. Overall donor retention rates across the nonprofit sector have declined for four consecutive years, hovering between 40% and 45% (Fundraising Effectiveness Project). That means for almost every donor you gain, you’re losing one.
But it doesn’t have to be this way.
Here are seven proven strategies to increase donor retention and grow giving through gratitude.
1. Find Your Pareto Line (and Focus Your Efforts)
The Pareto Principle states that 20% of your effort typically achieves 80% of your desired results. In fundraising, this means 20% of your donors give 80% of your dollars.
But do you know who they are?
Your best donors tend to be:
- Your largest givers
- Your most frequent givers
- Those with the most longevity
Action step: Use my Relentless Worksheet to identify your Pareto line. Figure out who your top 10-20% of donors are, then commit to giving them personal attention.
2. Thank Donors Within 48 Hours
Every donor should receive a thank-you within 48 hours of making a gift to create a joyful giving experience.
I once made an online gift to my local Big Brothers Big Sisters organization, including a note about serving as a former Big. Within two hours, the director of development called to thank me.
Use this three-step model for treating every donor like a major donor:
- All donors receive a thank-you within 48 hours from the development team
- Donors who give $5,000+ get a call from the CEO within one week
- New donors receive a welcome kit within 30 days
Action step: Commit to calling or emailing your donors within 48 hours of every gift. Make it a non-negotiable part of your process.
3. Master the Thank-You Sandwich
One of the most important tools in your fundraising toolkit is the “Thank-You Sandwich,” a framework that makes stewardship calls effective and enjoyable.
Think of thanking donors like a peanut butter and jelly sandwich (always on white bread):
Top Bread: Open with a warm, hearty thank you.
Peanut Butter: Uncover the donor’s passion (e.g., Why do you give? What connects you to our mission? Who makes giving decisions in your household?).
Jelly: Sweeten the experience by offering an engagement opportunity (e.g., site tour, volunteer opportunity, behind-the-scenes access).
Bottom Bread: Close with another warm thank you.
Here are six additional things to keep in mind to make effective thank-you calls:
- Disarm people at the start: “I’m just calling to say thank you.”
- Ask open-ended questions and listen.
- Reflect back on what you heard.
- Verify their contact preferences (email, text, phone).
- Have two to three impact stories ready to share.
- Always offer a next step.
If you think you don’t have time to make thank-you calls, consider what you could be missing by skipping this critical step. One donor I worked with grew from $1,000 to $5,000 in one year after receiving a simple thank-you call. Another donor who gave an unsolicited $10,000 gift and received a thank-you call with an invitation to tour the facility made a $250,000 donation on their third visit.
Action step: Commit to making two to three thank-you calls this week.
4. Activate Your Board (They’re Your Secret Weapon)
A CEO once told me this: “I’d much rather call and say thank you than call and ask somebody for money.”
That mindset shift transformed the entire organizational culture.
When a board member or volunteer calls to thank a donor, various research and giving studies have shown that donor is 60-70% more likely to give again.
Action step: At your next board meeting, dedicate 30 minutes to thank-you calls. Provide scripts, talking points, and a list of donors. Share successes to build momentum.
5. Create 7+ Touch Points Per Year with No Asks
Like any relationship, people don’t want to hear from you only when you need something. Retaining donors requires year-round cultivation, communication, and connection. A well-executed communications plan should include at least seven thank-you touch points throughout the year to simply express gratitude (no asks).
Here’s a sample annual stewardship plan with seven touch points:
- Tax receipt/acknowledgment (From operations team within 48 hours)
- Thank-you call (From development team for all donors; CEO for $5,000+)
- Welcome kit (New donors, within 30 days)
- Newsletter (At least three times per year with impact stories)
- Annual report/impact report (Once per year)
- Tax statement (January reminder of their giving)
- Holiday card (With client testimonial and hand-written note, NOT in a donation envelope)
Additional touch points:
- Valentine’s Day cards with thank-yous from those who benefit from your mission
- Board thank-a-thon in September (perfect timing before year-end giving)
- Hand-written notes from leadership
Remember, these are thank-you touches, not “thasks” (thank you + ask). Don’t pair gratitude with a donation envelope.
Action step: Map out a minimum of seven touch points for the year. Assign ownership and deadlines to each.
6. Create Engagement Opportunities That Multiply Giving
According to research from Bank of America and Indiana University, affluent donors who volunteer give more than those who don’t. By providing your donors with meaningful opportunities to engage with your mission, you can help them experience your mission firsthand and feel compelled to continue to support it.
For example, here are some meaningful engagement opportunities and personalized touches:
- Metropolitan Ministries’ Holiday Tent offers opportunities for donors to volunteer. The team follows up with a thank you that includes photos.
- Ronald McDonald House invites donors to select art for rooms they sponsor, with a book for families to write messages to donors.
- Habitat for Humanity gives volunteers an apron on their first build, with a new tool added each year.
- ECHO sends ornaments to monthly and major donors to feel special and valued.
Action step: Create three to five engagement opportunities specific to your mission. Tie them to donor interests discovered in your thank-you calls.
7. Be Relentless
Stephen Curry and Elena Delle Donne don’t practice free throws when it is convenient; they do it relentlessly — even when they’re tired; even when it’s hard.
Here’s what being relentless looks like in fundraising:
✓ Make thank-you calls every single day or week (whatever’s realistic for you).
✓ Use your CRM system/database to track and facilitate stewardship.
✓ Set up accountability dashboards and report weekly.
✓ Share successes with your team to reinforce the culture.
✓ Block time on your calendar to show gratitude, either the first or last thing you do each day.
✓ Smile when you call (yes, people can hear it).
✓ Use the rule of three: call, email, send a hand-written note.
Action step: Commit to two hours of thank-you calls per week. Put it on your calendar as a recurring meeting with yourself.
The Final Word: Retention = Revenue
Ready to transform your donor retention? Use these four steps to get started today.
1. Watch Mandy’s free on-demand webinar.
Mandy recently shared her tips for donor retention on the Nonprofit Leadership Center webinar, Grow Giving With Gratitude: How to Relentlessly Build Relationships to Drive Donations
2. Start today.
Pick up the phone and make three thank-you calls this week.
3. Train your team.
Share this framework with your board, CEO, and development team. Encourage them to watch the webinar, too.
4. Track your results.
Monitor retention rates by donor level throughout the year.
