In today’s technological environment, payments made through the click of a mouse or the tap or a smartphone are becoming the norm. Why not offer donors this convenience for online giving? Can adding – or upgrading – an online giving system increase overall donations and benefit your donors? Absolutely!
1.) Convenience for Donors – Donors can give through any device such as their laptop, smartphone, or tablet at their own convenience 24/7. Donors also have the flexibility to choose from multiple payment options including their debit card, a credit card with rewards or cash back, secure transfer from their bank account or by echeck.
Online giving allows recurring donors the option to schedule a payment ahead of time or enroll in monthly or ongoing payments. This eliminates the need to write a check or mail an envelope and also allows donors who cannot attend an event or fundraiser in person to still support your cause online!
The online donor portal also allows donors to view their giving history, upcoming scheduled payments, and year-end tax statements!
2.) Increase Overall Donations – Scheduling online donations can increase overall giving. One study showed that donors who gave one-time gifts gave an average of $97 dollars in 2009, while recurring donors averaged $220 dollars for the year. Donors can break a large gift into smaller monthly payments throughout the year, and donors who give monthly are retained at a greater rate going into the next year. This allows your office to spend less resources on retaining and seeking out a new donor base.
Monthly donors are not only loyal and committed to your organization, they’re also more likely to attend your events throughout the year and champion your nonprofit to their friends and family
3.) Improve Cash Flow – Monthly/Recurring giving improves cash flow by guaranteeing a constant stream of revenue. Normally, 30% of annual giving occurs in December, causing a surge in year-end accounting entry. With one-time giving, donations tend to drop in the months following a large fundraiser, yet expenses often remain constant throughout the year.
4.) Convenience for your Office Staff – Online giving is excellent in reducing administrative drain and streamlining processes.It eliminates the need for manual data entry and reduces clerical errors, trips to the bank, and misplaced checks. Our online giving streamlines with many popular accounting software programs as well as our online tuition payment software. Donors can log in and update their debit/credit card info without having to call your office. Year-end tax statements can be easily accessed online by the donor or emailed by your office.
Online giving is right at your fingertips and is a win-win for both donors and office staff! We encourage you to give it a try and watch your giving increase!
Sources: https://www.classy.org/blog/top-5-reasons-to-invest-in-monthly-recurring-donations/#_ftn2
www.formstack.com/blog/2016/nonprofit-recurring-donations