Is there a point at which single-gift donors outperform monthly or recurring donors, and should we, therefore, not attempt to convert donors who hit a certain giving threshold to monthly?
We reviewed the impact of converting one-time donors into monthly donors. The primary objective was to determine if there was a point at which we risked downgrading a donor by converting them to a monthly giver.
Setup and Timeframe
We looked at donor value 12 months after conversion to a monthly donor and then again 24 months after conversion. The measurement was a lift in donor value compared to the single-gift donors within the same cumulative value tiers at the point of conversion.
- Group A (Control): Donors remained one-time givers.
- Group B (Test): Donors converted to monthly sustainers.
Results
- Monthly Donor Conversion Increases Value: Across all donor tiers, donor value was immediately lifted in the 12 months following conversion.
- Converting Also Improves Retention Rates: Sustain donors retained at 86%, compared to 53% for non-sustainers.
Key Learnings and Recommendations
When targeting audiences to convert them to monthly donors or recurring relationships, don’t limit donors based on their current value. Converting to a recurring relationship improved retention and value across all cumulative giving tiers.
Make the recurring offer part of general, mid, and major donor communications.