Donor Cultivation

Donor Acquisition: The Process of Attracting New Supporters

August 11, 2025 | 4 min Read

What Is Donor Acquisition?

Donor acquisition is the process organizations use to attract new supporters who will contribute financially or through in-kind donations to their mission. This applies to nonprofits, schools, hospitals, religious organizations, and other institutions that rely on philanthropic support.

The donor acquisition process serves as the foundation for any fundraising strategy, ensuring organizations can maintain and expand their programs long-term. Without new donors joining regularly, even well-established organizations can see their funding base shrink over time.

Why it Matters

Organizations lose donors naturally over time. People’s financial situations change, their interests shift, or they simply move on to supporting other causes. Acquiring new donors helps replace those who leave and provides the foundation for growth.

  • Sustainability and financial stability: Regular donor acquisition helps maintain steady funding even as some supporters naturally stop giving. This prevents organizations from becoming overly dependent on a shrinking donor base.
  • Growth and expansion: New donors provide the resources needed to expand programs, serve more people, and increase overall impact. They’re often the key to taking on bigger projects or reaching new communities.
  • Risk reduction: A larger, more diverse donor base protects organizations from major funding disruptions. When support comes from many sources, losing one or two major donors won’t threaten operations.
  • Community engagement: Bringing in new supporters increases awareness of your cause and creates more advocates in the community. These new donors often contribute beyond financial support by volunteering or spreading the word.
  • Fresh perspectives: New donors can bring different ideas, networks, and approaches that lead to innovative partnerships or program improvements.

How Organizations Attract Donors

It can be a challenge to extend an organization’s reach without straining the budget. To bring the right prospects into the pool of potential donors, organizations can consider targeted lead-generation ads. The Google Ad Grants program offers eligible organizations the opportunity to create free search ads to boost visibility.

Regular wealth screening and predictive modeling can flag likely donors as early as the first time they interact with an organization. Using insights from wealth and predictive modeling, fundraisers for the Los Angeles Regional Food Bank gained insights that resulted in 15 times more new donors.

Events can help organizations to tap into a large pool of prospects. The University of Detroit Jesuit High School and Academy hosts an annual auction-gala and two golf outings. Through these campaigns and others, the school has amassed more than 45,000 constituent records.

Follow up lead acquisition with a multichannel marketing and engagement strategy that can include any or all of the following channels:

Digital Marketing

Social media advertising, email campaigns, text-to-give, and search engine optimization help reach targeted audiences online. These methods allow for precise targeting based on demographics, interests, and online behavior.

Direct Mail

Traditional postal mail campaigns remain effective for reaching certain demographics, particularly older donors who may be less active online. This includes solicitation letters, newsletters, and informational packets.

Events and Fundraising Activities

Galas, charity runs, auctions, and community events provide opportunities to meet potential donors face-to-face while raising funds and awareness.

Peer-to-Peer Fundraising

Existing supporters reach out to their personal networks on behalf of the organization. This leverages personal relationships and trust to expand reach organically.

Grant Applications

For eligible organizations, applying for foundation grants, government funding, or corporate giving programs can bring in significant new funding sources.

Partnership and Referrals

Collaborating with other organizations, businesses, or community groups can introduce your cause to their supporter networks.

Online Crowdfunding

Platforms like JustGiving, GoFundMe, Kickstarter (for specific projects), or specialized nonprofit crowdfunding sites can attract donors from beyond your usual reach.

Key Acquisition Metrics

Understanding performance through measurement helps organizations evaluate their acquisition efforts and make informed decisions about resource allocation.

Donor Acquisition Rate

Donor Acquisition Rate is the percentage of new donors gained over a specific period compared to total donor base.

  • Formula: (New donors gained / Total donors at start of period) × 100
  • Application: Compare costs across different acquisition methods to optimize budget allocation

Cost Per Acquisition

Cost per acquisition is the total amount spent to acquire each new donor.

  • Formula: Total acquisition costs / Number of new donors acquired
  • Use Case: Includes all related expenses like marketing, events, and staff time to evaluate cost-effectiveness of different methods

Return on Investment (ROI)

ROI is the financial return generated from new donors compared to acquisition costs.

  • Formula: (Revenue from new donors – Total acquisition costs) / Total acquisition costs × 100
  • Application: Determine which acquisition campaigns are worth continuing or expanding

Donor Conversion Rates

Donor conversion rates are the percentage of prospects who become actual donors measured at a particular campaign stage.

  • Examples: The percent of event attendees to eventual donors, the percent of email opens to donations, etc.
  • Application: Identify which stages of your acquisition process need improvement

What Makes Donor Acquisition Difficult?

Donor acquisition can come with significant obstacles that organizations must navigate to build their supporter base.  About 47% of nonprofit leaders cite donor acquisition as their biggest challenge, according to the 2024 Nonprofit Leadership Impact Study. Here are a few of the hurdles organizations face:  

  • High costs: Substantial upfront investment in marketing, advertising, and staff time can strain budgets, especially for smaller organizations.
  • Intense competition: Organizations compete for attention in a crowded space where potential donors receive appeals from numerous causes.
  • Donor fatigue: Constant solicitation requests can overwhelm people, leading to decreased responsiveness and engagement.
  • Scaling difficulties: Strategies that work for small organizations may not translate effectively as they grow beyond personal networks.
  • Measuring effectiveness: Tracking which methods actually work is complex when donors are influenced by multiple touchpoints.
  • Quality vs. quantity: Balancing immediate fundraising needs with building donors who will engage long-term.

Donor Acquisition Resources from Blackbaud

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Blackbaud Staff

Blackbaud Staff

Blackbaud staff contributed this article.

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