Have you ever experienced the excitement of securing that first donation from a supporter, only to feel the connection slowly fade away? It’s a common frustration among nonprofit leaders—like trying to hold water in your hands; no matter how tightly you grasp, it slips through your fingers.
This isn’t just a feeling. It’s backed by data. The 2025 Virtuous Benchmark Report reveals that the average gross donor retention rate across nonprofits sits at just 50.4%. That means nearly half of donors disappear each year. First-time donors? The numbers are even bleaker—up to 70% never give again.
But here’s the good news: retention isn’t some elusive mystery. In fact, it’s simpler than most of us think. Virtuous modeled a scenario where a nonprofit raising $4.2M annually with a 50% retention rate improves to 60% over two years. The result? A 20% boost in revenue over five years—without adding a single new donor.
And no, this growth doesn’t come from flashier campaigns or bigger budgets. It often starts with something beautifully simple: just saying thank you.
In The Power of Moments, Chip Heath and Dan Heath unpack why some experiences stick with us: they evoke elevation, insight, pride, or connection. They break the routine and leave a lasting impression.
When nonprofits say thank you with genuine intent, they create these powerful moments for donors. A heartfelt note. A sincere phone call. A story highlighting real impact. These aren’t just to-do list items—they’re meaningful opportunities to show donors that their gift mattered, and more importantly, that they matter.
And those small moments can change everything.
The first gift often comes from a spark—a compelling story, a friend’s nudge, or a moment of urgency. But the second gift? That’s where the magic begins. That’s when a donor starts to feel like they’re part of your community, not just a one-time supporter.
Virtuous’ data makes this clear: treating the second gift like a milestone is one of the strongest predictors of long-term donor loyalty. Yet, too often, it’s just processed like any other donation.
What if we slowed down and said, “We saw your second gift. Thank you for taking this next step with us. You’re part of this journey now.” That simple acknowledgment transforms a transaction into a sense of belonging.
We often think growth means finding new donors. But real growth often comes from deepening relationships with the donors you already have. Why? Because donors who feel connected stick around—and give more generously.
This insight reframes stewardship. A thank you isn’t just polite—it’s the gateway to retention, recurring gifts, and even legacy support. It’s the spark that ignites the second gift, the monthly commitment, and eventually, a lasting legacy.
What Memorable Thank Yous Look Like
How do we turn gratitude into something that sticks? Here are a few simple ideas:
- Quick, heartfelt acknowledgments. A thank you within 48 hours—via a handwritten note, a personal call, or a brief video—shows donors you value them, not just their money.
- Share stories of impact. Within 15–30 days, connect their gift to real outcomes. This timing significantly boosts the likelihood of a second gift.
- Celebrate milestones. Recognize anniversaries or cumulative giving: “This month marks five years since your first gift. Because of you, 3,000 families have found housing.”
- Create a sense of community. Consider launching a branded recurring giving program. Top nonprofits in Virtuous’ study reported that 33.5% of their revenue came from recurring donors—who also had significantly higher retention rates. Inviting monthly donors into a named group strengthens their sense of belonging.
Individually, these may seem small. But together, they foster the kind of pride, connection, and lasting impact that truly resonates.
At its heart, fundraising isn’t about dollars—it’s about people. Real people with hopes, dreams, and values. Donors don’t just want to give; they want to feel like their gift made a difference. They want to be part of something bigger than themselves.
When we take a moment to say thank you in ways that are sincere, personal, and meaningful, we’re doing more than just good manners. We’re building loyalty. Inspiring generosity. Fueling growth.
So go ahead, say thank you. But don’t say it like it’s just another task. Say it like it’s the most important moment you’ll create all year—because for your donor, it just might be.
Gratitude isn't simply good manners – it's a good strategy. This month, the team here at DBD Group is focused on the art and science of donor appreciation, sharing practical ways to make your thanks meaningful, memorable, and motivating for continued engagement.
