9 Common Fundraising Mistakes: How Many Are You Making?

We all make mistakes. It’s a normal part of life, work, and fundraising. While some mistakes are unavoidable, there are a few common fundraising pitfalls that we see organizations regularly make. If you can avoid these or adjust the following issues in your current fundraising programs, it will set your programs and your organization up for success.
Explore these nine common fundraising mistakes to transform your tactics from well-meaning to wildly successful.
Mistake #1: Inconsistent Donor Outreach
Fail: You send one communication a month…maybe.
Fix: Automate your touchpoints to regularly get in front of your donors.
- New donors: As soon as a new donor gives to your organization, enroll them in a welcome cadence. This cadence can include a series of emails that thanks them for their donation, welcomes them to the organization, and shares additional resources to learn more about the organization.
- Mid-level donors: Send personal touchpoints like birthday messages and celebrate the donor’s anniversary with the organization.
- Major donors: Check in with major donors as often as possible. By using a donor engagement platform, you can automatically create donor plans that outline regular touchpoints for this donor group.
Mistake #2: A One-Size-Fits-All Communication Approach
Fail: Generic emails and letters are your go-to communication style.
Fix: Review your donor base and group donors into segments to create personalized communications that engage your supporters.
- Donor characteristics: Group your donors by similarities such as donor giving tiers (annual, mid-level, major gifts), program interests, and location. This will help you tailor your messaging to these different groups instead of sending one-size-fits-all communications.
- Channel: Always ask and record how and when donors prefer to be contacted. Use this information to guide your interactions, whether it’s through email, phone calls, or in-person meetings. Respect for their likes and dislikes shows you value their time and preferences.
- At the individual level: By analyzing donor data, AI tools for nonprofits can help tailor each message specifically to the donor’s interests and preferences.
Mistake #3: Too Much Time Dedicated to Annual Donors
Fail: You’re ignoring the donors who offer the most opportunity.
Fix: Pivot more of your attention to major donors. The top 20% of donor households account for about 80% of all fundraising revenue, also known as the Pareto principle.
- Create regular touchpoints: Regularly checking in with major donors helps you build a strong relationship and keeps your organization top of mind.
- Get them involved: Bring major donors into the fold by inviting them to see their impact in action, invite them to sit in on different programs, volunteer, and attend fundraising events.
- Meet in person: Nothing beats person-to-person communication for relationship building. Meet your major donors for coffee or lunch two to three times per year (depending on their location).
Mistake #4: Recurring Giving Has Slipped from Your Priority List
Fail: Your organization focuses exclusively on one-time donations.
Fix: Refocus your energy on building a monthly giving program. Recurring giving offers predictable revenue that can help your organization thrive.
- Reach out to one-time donors: Pull a list of your one-time donors. Who consistently gives annually? Who gives every time there’s an ask? These donors are already regularly donating to your organization, so reach out to see if they’re willing to donate on a monthly cadence.
- Share the impact: Explain the impact of a recurring gift on an organization, such as providing predictable revenue that opens new opportunities for the mission.
- Include them in other appeals: Just because they donate monthly doesn’t mean recurring donors will say no to a one-off appeal. In fact, 50% of recurring donors make additional gifts, so don’t be afraid to make the ask!
Mistake #5: Your Tools Are Disconnected
Fail: You’re working in silos with disconnected systems, making reporting a challenge and causing duplicative work.
Fix: Take a step back to review your workflows and choose tools that seamlessly integrate with your CRM. Here are a few key considerations to keep in mind.
- Data synchronization: To avoid copying and pasting information from one system to another, look for tools that seamlessly sync data to your CRM in real time. This helps keep your data up to date, improves reporting, and saves you time.
- Integrations: Before adopting a tool, check its integration capabilities with your current workflow. You want to make sure the tool streamlines your workload instead of adding to it. Blackbaud’s Partner Marketplace provides a list of integrations, such as Momentum’s AI-powered platform, that work seamlessly with its ecosystem.
- Automate your workflows: Are there tasks that you do over and over again, such as updating contact reports or building out and updating donor stewardship plans? Look for tools (perhaps AI-powered ones) that can automate those repetitive tasks.
Mistake #6: Neglecting Data and Metrics
Fail: Decisions are based on anecdotes rather than data-backed evidence.
Fix: Build a culture of data-informed decision-making.
- Track key metrics: Review donation retention rates, average gift size, cost per dollar raised, and lifetime donor value. When fundraisers understand your nonprofit’s key metrics, they’ll recognize the organization’s priorities and where they can make the most impact.
- Campaign analytics: Set clear goals for each fundraising campaign and measure results against benchmarks. This helps you and your team understand when a campaign is a home run or a flop.
- Learning cycle: Regularly analyze what worked and what didn’t, then apply those insights to future campaigns.
Mistake #7: Not Optimizing Your Website’s Donation Forms
Fail: Your donation form is hard to find on your site, it isn’t optimized for mobile, and it doesn’t offer multiple payment options.
Fix: Make it as easy as possible for your donors to give online.
- Recurring giving: Build your recurring giving program and sustainable income by offering recurring giving as an option on your donation forms.
- Multiple payment options: Whether it’s via credit card, Apple Pay, or Venmo, give your donors the ability to give via a variety of payment methods. If giving is easy and convenient, website visitors will be more likely to donate.
- Mobile-first design: Make sure your form looks just as good on mobile as it does on desktop. Mobile drives more internet traffic than desktop, so it’s critical that you optimize your donation pages and forms to be mobile-friendly.
Explore Blackbaud’s Donation Forms, designed to help you raise more money for your cause.
Mistake #8: Focusing Too Much on Acquisition Instead of Retention
Fail: You’re hoping for a response instead of building a movement. Plus, it costs $1.25 to raise $1 from a new donor.
Fix: Flip your goals from gaining to keeping supporters by creating experiences and a compelling narrative to keep donors committed to your cause.
- P2P donors: Roll out the red carpet for past participants. Returning participants to your P2P events know how to fundraise and love your cause.
- One-time donors: Kick off new relationships with a donor welcome email series and keep supporters engaged on social media (Blackbaud Institute found 60% of spontaneous donors say they’re “very likely” to give again).
- Major donors: Stop treating major donors like piggy banks. Cultivate real relationships with them by showing them the impact of their support and advancing the donor’s hero story.
Mistake #9: Underestimating the Power of Gratitude
Fail: Not thanking donors promptly and sincerely.
Fix: Thank your donors as soon as possible after receiving a donation.
- Immediate email: As soon as a donor gives to your organization, send an automated email to their inbox thanking them, not just a receipt.
- Personal communications: A handwritten note, a personal phone call, or a tailored email can go a long way.
- Public recognition: Additionally, recognizing their contributions publicly, with their consent, can reinforce their importance to your organization.
Avoiding Fundraising Mistakes and Building a Holistic Strategy
These fundraising mistakes are all connected as part of your organization’s overarching strategy. Inconsistent donor communication directly influences donor personalization, which also affects retention rates. Similarly, neglecting data and metrics makes it challenging to effectively optimize your website forms or measure the success of your recurring giving program.
If you’re making any of these mistakes, that’s okay! It’s not too late to adjust your approach. Instead of trying to fix everything at once, you can address any of these issues in stages.
- Stage 1: Review your tools and CRM systems. Do they work seamlessly together? Are they capturing the metrics that matter most for your organization? Creating an ecosystem of tools that streamline your day-to-day workload will set up the rest of your fundraising initiatives for success.
- Stage 2: Implement a donor segmentation strategy and create personalized communication plans for each segment, with special attention focused on major donors. Leveraging AI-powered tools can help you identify donor segments and tailor your communications.
- Stage 3: Optimize your website’s donation forms and launch (or revamp) your recurring giving program. Donors are more likely to give if it’s easy. Providing donors with multiple donation options and frequency choices gives them more opportunities to support your organization.
Remember that fundraising isn’t about perfection—it’s about meeting donors where they’re at and fostering a sense of connection. By addressing these challenges, you’ll build a stronger, more sustainable fundraising program that creates lifelong supporters for your cause.
Free Resource
Major Giving with Blackbaud Raiser’s Edge NXT®: A Lookbook for Fundraisers