Unlocking Donor Loyalty: Your Guide to Monthly Giving Programs

Monthly giving programs are one of the most effective ways for nonprofits to secure steady, reliable funding. But how do you start and grow such a program, especially if you’re working with limited resources?

To get answers, I sat down with Dana Snyder, the author of The Monthly Giving Mastermind: A Framework to Build, Grow & Sustain Subscriptions for Good and an expert in digital marketing for nonprofits, to explore the ins and outs of building a successful monthly giving program. Dana has also been a personal friend from the founding days of HeartSpark, and I’m honored to work with her twice a year as the web designer for her Monthly Giving Mastermind program!

In this interview, Dana shares her insights on everything from attracting and retaining donors to leveraging technology and overcoming common challenges within your organization.

Dana answers key questions you may be asking about monthly giving and how to navigate this important (but overlooked) segment of fundraising.

Why should I have a monthly giving program? Isn’t it the same as recurring or monthly gifts?

I might love football, but I’m a fan of specific teams. I turn on the TV to watch my teams, I buy swag and tickets to attend specific games featuring my teams. Your monthly giving program is your “team of super fans,” the community that believes in the long-term mission of your cause. It’s one thing to have a button where someone can select to give monthly on your donation form. It’s a whole different experience when someone lands on a web page dedicated to telling the story of why joining “(Your Program Name)” is so meaningful. A monthly giving program is a new “product” to share stories about, build excitement, and invite people into something that’s greater than themselves.

Should small nonprofits with limited budgets start a monthly giving program?

Absolutely! I’d even encourage small nonprofits to ask for a recurring gift from first-time donors to ensure greater sustainability and predictability. The retention rate of one-time gifts usually averages in the 40% range versus monthly donations around 80-90%! If you’re a small team, focus resources on asking for a lasting contribution.

What do I need to have in place before starting a new program (e.g. a specific number of email subscribers or number of donors)?

It’s not a one-size-fits-all solution. Nearly every nonprofit I’ve talked to wished they would have started their monthly giving program sooner. Yes, it’s wonderful to have a substantial email list or social following to make the initial pitch for this type of program. But, if you’re just getting started, I’d focus on making sure your donation experience is set up for monthly giving to be seamless and easy. This is outlined in my book, Chapter 7 – Step 2 is “Make It Easy.” Is it easy for the donor to make a recurring gift? To update that gift later on? To access receipts? AND is the backend easy for you? Does your front-end donation tool talk to your CRM and email provider? Head to Chapter 7 in the book for a checklist of questions you should ask yourself before selecting a technology platform.

What if I already have a monthly giving program? How do I know if it could use a refresh?

There are a few different ways to conduct an analysis. 1. Visually – Does the name, copy, branding still identify with your organization and mission? 2. Data – Are people joining? What’s the conversion rate of your donation tool? If you feel like you’re in a good spot visually and data is OK, but not seeing the level of growth you’re looking for, it’s time to focus on marketing. Your monthly giving program should be top of mind and part of every ask!

Should my monthly giving program have a name?

I’m a big believer in monthly giving programs having a name because it creates a brand, credibility and community. Every product has a name. Why? To be able to market it and create word-of-mouth demand. In the Monthly Giving Mastermind, I love doing the Naming Exercise call with you! I outline the full process in the book, but there’s a series of questions we run through and some of them are:

• Does it feel like a group I can join, i.e. say “I joined ______ or I’m a part of _______ or I belong to ______” how does it sound?
• Is it easy to read and pronounce?
• Does it speak to a shared sense of identity with your donors?
• Does it feel consistent with your parent brand?

If you feel like your brand isn’t steady enough to support a new giving program right now, it might be time for an image overhaul. Last year, Dana and I dished about branding on an episode of her podcast, Missions to Movements. Listen to our convo first if you’re planning to rebrand anytime soon.

When’s the best time to launch a new monthly giving program?

Now. Today. Yesterday! Grants, corporate gifts and major donors usually stick to individual one-time gifts. They’re not promised every year. Having a base of smaller recurring gifts not only opens you to grow a diverse donor base, but it also provides that consistent cadence needed to just breathe…knowing that you have steady income rolling in.

So, why did you write The Monthly Giving Mastermind?

The data is also polling up for monthly giving – the 2023 Giving USA Report stated that monthly giving rose by 6%, accounting for 31% of all online revenue in 2023 (up from 27% in 2022).

But for anyone doing the work, you really just want to know – WHAT actually WORKS?

There are SO many articles online that give general information on monthly giving programs, and loads of stats about recurring gifts, but if you’re like me, I want the details. And that’s why I wrote this book.

What are some creative ways you’ve seen nonprofits promote their monthly giving programs?

In the book, I share the framework I teach when building monthly giving programs, but my FAVORITE part of the whole process was interviewing 15 nonprofits of ALL sizes and causes to share their case studies with you.

I’m incredibly grateful to each organization that said, “YES!” to sharing their experiences, ideas and learnings so we can all grow together. You’ll hear from:

• charity: water
• Dressember
• Because International
• Feeding Westchester
• Miry’s List
• The Adventure Project
• Brown Bagging for Calgary’s Kids
• The Water Project
• Daily Giving
• Tim Tebow Foundation
• International Justice Mission UK
• Queer Women of Color Media Arts Project
• The Hope Booth
• Chamber of Mothers
• Roots Ethiopia

Every time Dana and I get to work together on a monthly giving program, I’m amazed at how much energy and excitement it sparks in the organization. It doesn’t have to be a huge involved process. In fact, the more aligned it is to your current brand, the better!

And Dana gets that. Last year, I got to dish about branding with Dana on an episode for her podcast, Missions to Movements. If you’re considering rebranding before launching a monthly giving program, listen to our conversation first.