Fundraising Renewal Letters: Four Goals to Strive For With Each One You Write

In the fundraising profession, appeal letters that you mail to existing donors are called renewal letters. They are designed to solicit a gift, but, more important than that, they aim to persuade your current donors to renew their support of your organization. Donors renew their support with their cash, of course, but they also renew it with their commitment-with their hearts and minds. And that's why renewal letters are so vital. They help you maintain your broad base of support year after year, cost-effectively.

Renewal letters are part of a year-long program that is usually called the Annual Giving Program. "Annual" does not mean that you mail just one letter a year (you shouldn't). It simply means that you look at your fundraising efforts as a year-by-year activity, one where you must persuade your active donors to renew their commitment each year.

Goal #1: Renew donor commitment
The primary goal of your annual appeal letters, then, is donor renewal. Some donors give only once a year. Others give regularly. And others send a few gifts during the year, but sporadically. You cannot expect that any of these donors will stay with your organization until death, theirs or yours. "Donor renewal is not automatic," says James Greenfield, in his book, Fund Raising: Evaluating and Managing the Fund Development Process.

This means that each letter you mail should aim to re-motivate, re-invigorate and rejuvenate your donors, encouraging them, explicitly or implicitly, to renew their commitment to your organization, or, more accurately, to the people that your organization serves. This is often done with the first appeal letter of the year, but donor renewal is really a year-long activity that takes place with every contact you have with each donor, whether it's a phone call, a personal visit or their presence at a banquet or other event.

Goal #2: Renewed gift
Naturally, your goal with every renewal fundraising letter is also to raise funds. So you must ask for a gift in each renewal letter you mail. Wherever possible, make a mention of the last gift that your donor sent, and thank them again for their support. And remember, the most effective renewal letters are those that ask for funds for a specific need, usually a project.

Goal #3: Upgraded gift
This goal is optional. In some of your letters during the year (usually at year-end), you have the option of asking your donors to renew their support at a higher level. This usually means asking donors to increase the size of each gift. For example, as Christmas approaches, you can mail your donors a letter that says, "I am inviting you to renew your commitment by 10 percent this year, to help us keep pace with inflation, and to meet our ambitious goals for the coming 12 months."

Goal #4: Conversion to monthly giving
Does your non-profit organization have a monthly giving program? If you do, then you know how gratifying it is to have donors who send you a gift each month automatically from their bank account or credit card. Annual renewal letters are a perfect way for you to convert your annual givers to monthly givers. There are a few ways to do this:

1. Send a letter whose primary goal is to persuade annual givers to join your monthly giving program. Spell out the benefits that the donor and your organization enjoy from monthly giving.

2. Use your postscript (your PS at the bottom of each letter) to invite annual givers to join your monthly giving program.

3. Include a buckslip or liftnote in your letters, describing your monthly giving program and inviting donors to sign up.

Asking recent donors to send you another gift is a lot easier and less expensive than acquiring a new donor. That's why renewal letters play such a vital role in helping your non-profit raise funds affordably. Most donors who respond by mail do not send with their first gift enough money to recover your costs of acquisition. That's why their second gift and subsequent gifts are so crucial. My hope is that your fundraising letters will persuade your donors to stay with you for a long, long time.

About the author
Alan Sharpe is a professional fundraising letter writer who helps non-profits raise funds, build relationships and retain loyal donors using creative fundraising letters. Learn more about his services, view free sample fundraising letters, and sign up for free weekly tips like this at http://www.fundraisingletters.org.

---

Funnel Your Way to Marketing Success

A funnel is a good way to think of the... Read More

Fundraising: How To Avoid Three Common Mistakes

I'm a board member of a local nonprofit and we... Read More

Send Postcards To Save Money and Cut Through E-mail Clutter

Use your computer to send personalized color postcards in quantities... Read More

Ten Deadly Proposal Preparation Pitfalls

Let's face it, the name "proposal" is a great misnomer,... Read More

Make More Sells With Colors

How Colors Effect Our Emotions?One of the most interesting things... Read More

Your Secret Marketing Weapon

As a professional service provider, you're paid for what you... Read More

Data Map Charting for Mobile Businesses

As we study the demographic regional variations for small service... Read More

Marketing is More Than Advertising

Marketing is a business process about which much is written,... Read More

Good Vibes/ Bad Vibes

Have you ever walked into a store or business and... Read More

Motivating Your Target

There's just no time to waste in a cyber day;... Read More

Target Your Market

Your market is not everybody, as so many small businesses... Read More

To Swag or Not to Swag: Tip to Brand Your Tchotchkes on a Shoestring

It's interesting to see how resourceful people become when starting... Read More

Business Leads

Anyone who runs their own business can tell you how... Read More

What Your Customers Want

Your customers don't know what they want. And to assume... Read More

Making Your Mark With The Millennials

Generation Y--The second-largest crop of young people in America's history,... Read More

Ten Crucial Questions

Ten Crucial Questions for Your Business Future I'm... Read More

Is A Marketing Plan The Same Thing As A Communications Plan?

How does a marketing plan relate to an organization's communications... Read More

Adapting Blog Technologies To Corporate E-Newsletters

Every January, trade publications put out a list... Read More

Devious and Deceptive Packaging

Have you read anything in the news lately about childhood... Read More

What Does Your Business Card Say About You? - Making A Great First Impression!

Interesting article in USA Today that I read this week... Read More

21 Must-Have Web Site Elements

Your Web site should be the cornerstone of your client... Read More

Marketing On The Cheap: Become a Joiner

Recently I wrote an article on the benefits of joining... Read More

The Advantages of Full Color Brochure Printing

A brochure can be a great promotional tool, whether it... Read More

Effective Tips For Telemarketers

I had a telemarketer call me recently. Here's a rough... Read More

CD ROM Business Cards - Offline Marketing For Online Promotion

It's a great concept, - and it has a 'cool... Read More

Tackle a Newsletter and Come Out On Top

Unlike any other marketing vehicle, newsletters give you the opportunity... Read More

Packaging Trends You Cannot Overlook (part #1):

1) People are buying in smaller quantities. Our busy lifestyle... Read More

Top Four Marketing Secrets of Building a Professional Practice

Building a coaching or consulting practice can be rewarding and... Read More

Are We There Yet?

Small business marketing is not like taking a family vacation.Did... Read More

How to Write Fundraising Letters That Motivate Donors To Make Donations to Your Non-Profit

Motivating strangers to give their money away is one of... Read More

Corporate Branding and Trade Shows - 8 Tips for Marketing Managers

Trade shows are part of the marketing mix and the... Read More

Beware of Magazine Style Yellow Pages Ad Design.

I have been designing Yellow Page ads for the past... Read More

Burnout

Today I want to share a question from a reader... Read More