More Money, Fewer Donors

A recent data drop from the AFP's Fundraising Effectiveness Project made me pause—and maybe it should make you pause, too.

It confirms what many of us have sensed for a while: giving continues to trend up, but loyalty is shrinking.

The dollars may look good in a fiscal year-end or president's report. But beneath them is a quieter story—an erosion of trust, connection, and commitment.

This really clicked during a run on Monday while listening to a podcast about the subtle ways digital communication can either build or erode trust—and all the little things we do or don’t do—that might be costing us more than we realize.

That disconnect? It’s usually not because your mission is off. Or because your strategy is bad.

It’s because donors hear from us—but rarely feel seen by us.

👇 Let’s talk about how to fix that.

It’s Not a Pipeline Problem. It’s a Follow-Up Failure.

According to the latest Fundraising Effectiveness Project data:

• Total dollars raised are up 3.5%
• Number of donors is down 4.5%
• Donor retention is now just 42.9%
• 69% of donors gave only once in 2024

One standout? Donors who gave 7+ times had an 87% retention rate.

That’s not just a stat—it’s a strategy.

Loyalty pays. But it isn't automatic. It's the result of deliberate, relationship-centered communication.

Here are five areas advancement teams and communicators can shift:

1. Stop chasing transactions. Start sustaining momentum.​
   A first gift, an event RSVP, a survey response—these are invitations to deepen a relationship, not boxes to check. Make sure follow-ups are baked into your workflows.
2. Build follow-up into your comms DNA.​
   That welcome email? Needs a follow-up. That event attendee? Deserves a moment of thanks. That $25 donor? Should feel like a $25,000 one in how you respond. Use timely, specific, and personal touchpoints that reflect what the donor actually did. Build simple playbooks for post-gift or post-event outreach. A quick video, a tailored thank-you, a brief note—small touches matter when they’re real.
3. Create messaging tracks for behavior, not just wealth.​
   Frequency is a stronger predictor of future value than gift size. Segment based on giving patterns—not just capacity. Use hyper-personalized content that acknowledges what the donor attended, gave to, or clicked on. Referencing someone’s last action shows you’re paying attention.
4. Rebuild from the middle.​
   Mid-level donors are often ignored—but they’re the sweet spot for scalable relationship-building. Personal, but not high-cost. Warmed up, but often overlooked. Use this group as your proving ground: try custom updates, feedback loops, or an occasional unexpected thank-you.
5. Communicate like you mean it.​
   Donors want to be recognized and appreciated. Your tone should be warm, your follow-ups genuine, and your outreach rooted in relationship-building—not just another campaign cycle. People respond when it feels like someone genuinely cares.

What I’m Paying Attention To

📌 2024 Fundraising Effectiveness Project Q4 Report​
A reminder that big numbers can mask big problems. Use it to kick off a deeper conversation about loyalty.

📌 “What a Higher Endowment Tax Would Mean for Colleges” – Higher Ed Dive From student aid to donor trust, this proposed tax could shift the entire narrative. Pay attention to how your institution is preparing to message around this possibility.

Final Thought

The first gift isn’t the finish line. And neither is the first event attended, the first volunteer shift completed, or the first time someone interacts with your content on social media.

All of these are starting points. Moments of potential.

Let’s stop letting donors ghost us—and start showing up for them in ways that feel genuine, consistent, and deeply relevant.

Quick reply: What’s one thing you wish donors—or attendees or volunteers—remembered after their first interaction? (I read and respond to every reply.)

That's all for this week.

Make it matter.

Dan

P.S. If you're considering bringing in a partner to help evolve your donor or constituent engagement strategy after the fiscal year turns over—reach out. I'm currently booking strategic engagements, workshops, and speaking sessions for the fall and beyond, and availability is limited. Now’s the time to start the conversation if FY26 planning is on your radar.

Whenever you're ready, here are 3 ways I can help:

🎯 1:1 Consultation: Book a paid 45-minute session to tap into 20 years of high-impact experience. We'll tackle your most pressing strategic challenge, and you'll walk away with clarity and an action plan.

🎤 Speaking & Workshops: Looking for a speaker, podcast guest, or workshop leader to inspire your audience or team? Schedule a free discovery call to explore how I can bring fresh ideas to your organization.

🔍 Strategic Assessment: Invest in an evaluation of your team, brand, or campaign—with data-backed insights and strategic recommendations to optimize your efforts and drive results. Learn more about my services.​