Survey says donor fatigue not a top issue for retention

While donors give because they feel connected to a mission, fundraisers at many nonprofits struggle to sustain that connection beyond the first gift. Donor trust influences retention. Nearly one in four donors (24%) stopped giving due to a lack of transparency about how their contributions were used.

That’s some of the data contained in the new report “Mission Retainable: Research-Backed Strategies to Inspire Donor Loyalty” from giving platform Bloomerang. It is based on survey responses from 380 fundraisers and 1,000 donors across the United States this past November.

What’s going on in Washington, D.C. did not go unnoticed. “Changes in federal funding priorities have rocked the nonprofit sector over the last few weeks, underscoring how important reliable revenue is for charitable organizations,” said Dennis Fois, chief executive officer at Bloomerang. “Building sustainable streams of revenue for the months and years to come will require not only funding diversification, but a renewed focus on donor retention,” he said via a statement.

In the give the customer what they want department, or in this case donors, 24% of donors prefer digital wallets, making them the third most popular donation method, fewer than 3% of fundraisers believe PayPal, Venmo, Cash App, and similar digital wallets are the preferred payment method for their donors. Fundraisers who prioritize mobile-friendly platforms often see 34% higher engagement.

Other key findings from the report include:

• Resources, not donor fatigue, is the biggest hurdle fundraisers face with retention, with 82% of fundraisers citing limited staff and resources as the biggest challenge to increase donor retention rates. Donor fatigue ranked as the greatest challenge by only 30% of fundraisers.

• Text messaging is an untapped engagement tool. Despite ranking as donors’ third most preferred communication channel, only 13% of fundraisers use text messaging to engage supporters.

• Impact updates are key but underused. While 65% of donors want regular updates about their impact, only 36% of nonprofits provide them.

• Advanced technology remains underutilized. Nearly one-third (32%) of fundraisers don’t use AI, machine learning, or analytics for donor engagement, leaving untapped potential.

  Retention strategies can’t just follow trends, they need to set them, according to the report’s authors. Donors expect that giving should be simple, their role should feel meaningful, and they want to know their impact. “The best retention strategies combine technology and human connection,” Joshua Meyer, vice president of market engagement at Bloomerang, said via a statement. “In today’s digital age, donors expect seamless, meaningful interactions, and meeting those expectations is key to turning first-time donors into lifelong supporters.”