A 5-Step Comprehensive Guide to Fundraising Strategy & Planning for Nonprofits

Fundraising can be hairraising for a nonprofit if not managed properly! There are SO MANY aspects to it - identifying the goals, creating a strategy, finding donors and managing them, building good relationships and of course, reporting and evaluation. Every step of this journey is crucial and necessary to attract resources to fulfill the mission of the nonprofit. 

Of the aforementioned steps, having a good strategy in place can make or break the entire fundraising process. Every other step falls in place once the strategy is set for success. In this article, we are exploring the ins and outs of a good fundraising strategy. Let’s find out what exactly it takes to succeed in crafting an effective fundraising strategy.

From developing a compelling case to garner support to executing acquisition plans, we'll cover everything you need to know to boost your fundraising efforts.

There are five steps involved-

• Understanding the Cause
• Develop an Acquisition Plan
• Fundraising Activities & Timings
• Cultivating Donor Relationships
• Monitoring and Evaluation

Step 01: Understanding the Cause

Salesforce's constituent relationship management (CRM) capabilities allow you to store and analyze data about your organization, including its Mission, Vision and Values. This information is crucial while demonstrating why potential donors should invest their resources to support a cause. To create a compelling case for support, consider:

Create a compelling case for support by showcasing your unique selling points, captivating stories, and aligning them with the values and aspirations of your audience.

Step 02: Develop an acquisition plan

Salesforce's CRM features enable you to track and manage prospects, donors, grant-giving organizations, corporate sponsors, and individual supporters. You can use Salesforce's robust reporting and analytics capabilities to prioritize prospects based on their potential value and likelihood of support.

Prospect Research: 

Prioritize Prospects:

Use Salesforce's segmentation and tagging features to categorize prospects based on their potential value and likelihood of support. You can also assign tasks and set reminders in Salesforce to ensure effective follow-up and cultivation strategies for each tier of prospects.

• Utilize segmentation and tagging to categorize prospects by value and likelihood of support.
• Assign tasks, set priorities and reminders for effective follow-up.
• Implement targeted cultivation strategies using integrated communication tools.
• Track interactions and schedule personalized follow-up activities.

Develop a Value Proposition

Use Salesforce's robust reporting and analytics capabilities to prioritize prospects.

• Create compelling value propositions customized for each category of prospects, highlighting the benefits of partnering with your organization.
• Utilize Salesforce's customization options to tailor value propositions and messaging to align with the specific interests of each prospect category.
• Store and track value proposition details in Salesforce to maintain consistent and personalized communication with prospects.

 You can read more about this in a detailed case study here

Step 03: Fundraising Activities and Timings

Salesforce's campaign management tools can help you plan and execute fundraising activities across diverse channels such as direct mail, online campaigns, events, corporate partnerships, and major gifts. You can create an annual fundraising calendar in Salesforce, schedule activities, and track progress towards your objectives using Salesforce's dashboard and reporting features.

Step 04: Cultivating Donor Relationships

Salesforce's CRM functionality allows you to personalize communication with donors by storing their preferences, interests, and engagement history. You can segment donors based on their giving levels or other criteria and tailor your messaging accordingly. Salesforce's email marketing and automation tools enable you to send personalized communications at scale.

• Promptly and sincerely acknowledge and appreciate donors' contributions using Salesforce's donor management capabilities.
• Provide regular updates to donors, sharing the impact and outcomes of their support, leveraging Salesforce's donor management features.
• Utilize Salesforce's contact management and communication tools to tailor communication to individual donors
• Leverage Salesforce's email templates and personalization features to convey the value of donors' contributions and highlight the difference they are making.

Step 05: Monitoring and Evaluation

Salesforce's reporting and analytics capabilities enable you to establish metrics and key performance indicators (KPIs) to measure the success of your fundraising efforts. You can track total funds raised, donor retention rates, average gift size, and other relevant metrics in real-time. Salesforce's dashboards and reports provide insights into fundraising data, donor trends, and campaign performance, allowing you to make informed adjustments to your strategy.

• Leverage Salesforce's reporting and analytics features to track and measure key performance indicators, including total funds raised, donor retention rates, and average gift size.
• Regularly review and analyze fundraising data, donor trends, and campaign performance to identify areas for improvement.
• Utilize Salesforce to regularly review fundraising data and performance metrics, enabling you to make informed adjustments to your fundraising strategy and drive continuous improvement.

Overall, Salesforce provides a centralized platform for managing donor relationships, tracking fundraising activities, analyzing data, and optimizing your fundraising strategy. It helps you streamline and automate processes, improve efficiency, and enhance the effectiveness of your fundraising efforts.