Phoenix, AZ โ October 1, 2024 โ Virtuous, the leading responsive fundraising platform, announced today the release of its Nonprofit Fundraising Benchmark Report, providing crucial insights into the seven key performance indicators (KPIs) that drive the sustainability and growth of nonprofit organizations. This annual report delivers data-backed strategies and insights for mid-sized US-based nonprofits to understand, compare, and optimize their fundraising performance.
You can download the full benchmark report here. Additionally, Virtuous will be hosting a webinar today at 2 p.m. ET to review the key findings in the report. Register to watch the live webinar or get the on-demand replay here.
This report includes a comprehensive analysis of giving data from 370 nonprofits across the Human Services, Education, Faith, and Healthcare sectors. This year’s findings underscore the significant role that donor retention, gift size growth, and recurring giving programs play in nonprofit resiliency and how even small changes in these areas can lead to exponential growth in fundraising outcomes.
Key Findings from the Report Include:
- Donor Retention as a Critical Driver: Organizations retaining 68.5% of their donors saw a noticeable reduction in the need for constant new donor acquisition, creating more stable and predictable revenue streams. Improving donor retention rates remains the most impactful strategy for long-term nonprofit success.
- Growth in Gift Size: Nonprofits that prioritized upgrading gift amounts, especially from mid-level donors, saw considerable returns. Top-performing organizations in the report increased their average and median gift sizes, driving revenue growth without the need for expensive new donor acquisition campaigns.
- Recurring Giving for Stability: Organizations with robust recurring giving programs enjoyed smoother revenue flows and increased donor retention. The report reveals that, on average, 13% of revenue comes from recurring donors, positioning recurring giving as a game-changer for sustainable nonprofit funding.
- Balanced Donor Portfolios: Nonprofits that maintain a strategic balance across small, mid-level, and major donors reduce their financial risks. By diversifying their donor portfolio, these organizations achieved greater stability and future growth potential.
- Maximizing Donor Lifetime Value (LTV): The report highlights how top nonprofits successfully increase LTV through strategies prioritizing recurring giving, donor upgrades, and enhanced engagement tactics, fostering long-term donor loyalty and financial health.
- Improvement in Donor Acquisition: While retention is often the more cost-effective strategy, top-quartile organizations demonstrated excellence in new donor acquisition, with some achieving up to 64.23% new donors in 2023. These organizations strategically invested in acquisition channels with strong retention rates, yielding higher long-term returns.
“Nonprofits are navigating a complex fundraising landscape, and the insights in this yearโs benchmark report are designed to provide actionable steps to improve performance,” says Gabe Cooper, CEO of Virtuous. “Our data shows that nonprofits focusing on retention, recurring giving, and donor engagement are best positioned for resilience and sustained growth in this challenging fundraising environment.”
About the Virtuous Benchmark Report
This year’s benchmark data includes nonprofits with at least three years of consistent giving data. The report provides both aggregate insights and a breakdown by nonprofit revenue bands, offering tailored insights for organizations at various stages of growth. It also includes actionable strategies to help nonprofits address areas where they may underperform compared to benchmarks, sparking critical conversations about aligning fundraising strategies with organizational goals.
How Nonprofits Can Use the Benchmark Report
The Virtuous Nonprofit Fundraising Benchmark Report empowers nonprofit leaders to evaluate their fundraising health against their peers. No two organizations are alike, but the insights from the report offer a framework for optimizing key fundraising metrics and driving future success. The report includes practical tactics and next steps for improving performance, helping nonprofits turn data insights into measurable action. For more information on the Nonprofit Fundraising Benchmark Report and to download the full report, visit www.virtuous.org/benchmarkreport.
About Virtuous
Virtuous is the leading provider of Responsive Fundraising software dedicated to empowering nonprofits with modern and innovative tools specifically designed to increase generosity by building more personal relationships with donors. Tens of thousands of nonprofit professionals use Virtuous CRM, marketing tools, and analytics solutions. Nonprofits using Virtuous software have seen significant increases in donor retention and average gift size while reducing administrative expenses. Virtuous has made the Inc. 5000 list for three years in a row, has been recognized as a Leader in the G2 Nonprofit CRM grid, and has been named one of Inc. Magazine’s 2023 Best Places to Work. For more information, visit virtuous.org.
Media Contact:
Virtuous Media Relations
602-609-2006
