2024 brought significant shifts in nonprofit marketing and fundraising. Together with our friends at MissionWired, a premier agency for nonprofits, we released a crucial report on digital fundraising trends and texting. How we fundraise over text has changed a great deal since 2010 – today, texting offers nonprofits another avenue for proactive outreach to supporters, and rather than accepting donations through a phone carrier, we’re now driving supporters straight to mobile-responsive engagement experiences and donation pages.
The results of the report: implementing a comprehensive and holistic digital fundraising strategy that includes texting is vital. Here, we highlight key statistics and strategies from the report that your nonprofit should adopt in time for Giving Tuesday, year-end giving, and beyond.
The Importance of a Holistic Multi-Channel Strategy
Relying solely on email or direct mail will not suffice to meet your fundraising goals. The report indicates that while not all channels show equal growth, nonprofits that employ an integrated multi-channel approach see increased revenue. A holistic approach, including email, direct mail, SMS, and paid media, lifts all fundraising channels. And, in 2023, 4 out of 5 nonprofits have a texting program or plan to start one. As an example, one MissionWired client achieved a 93% increase in overall revenue and a 108% increase in gifts by integrating a peer-to-peer texting program, driving a 357% ROI during the year-end giving season.
Highlights from the Texting Insights Report
The report presents data from over 200 million nonprofit text messages sent by 15 organizations in 2023, illustrating the impact of text messaging on fundraising and engagement. Nonprofits sent an average of 46 texts annually, balancing fundraising and non-fundraising messages, with cultivation and engagement texts achieving higher click-through rates than fundraising messages. The study also found that texting programs using short codes, which allow for mass distribution of texts quickly and efficiently, saw a median conversion rate of 0.073% for fundraising messages. Additionally, nonprofits that integrated cultivation texts before fundraising appeals experienced a significant increase in average donation amounts, highlighting the importance of relationship-building through text messaging.
Texting: A High-ROI Channel
The use of SMS for nonprofit fundraising and engagement soared in 2023. Organizations sent an average of nine messages, with SMS showing a 150% year-over-year growth compared to other channels. Notable organizations like March of Dimes and Alzheimer’s Association have found significant success by incorporating texting into their strategies.
Text messages boast a 99% open rate and a 90% read rate within 3 minutes of sending. At Tatango, we’ve helped organizations raise over $400 million, learning that the best practice for SMS is to use it as a direct and engaging communication tool. SMS is not limited to donation asks but can also be used for event engagement, crisis updates, and internal communications.
Best Practices for Nonprofits in 2024
To achieve their goals and maximize impact, nonprofits should follow these best practices in digital fundraising:
•Personalization: Personal touches, like using a recipient’s first name or donation history, can make communications stand out. In 2023, 64% of high-ROI multimedia texts were personalized.
•Compelling Graphics: Visuals like videos, graphics, emojis, and GIFs can effectively tell your nonprofit’s story and increase ROI. Analyzing top-grossing text messages, we found that multimedia content is a common factor in their success.
•Urgent Language: Using urgency in messaging motivates donors. For example, a text stating, “We’re almost at our donation goal. Any gift sent in the next 4 hours will be matched!” can drive last-minute donations. Including a link to a mobile-responsive donation page further increases effectiveness.
Implementing These Strategies in 2024 And Beyond
This report serves as a foundational resource for nonprofits looking to refine or launch their texting programs, offering metrics and strategies to optimize their text messaging efforts. As you plan your 2024 campaigns, consider integrating these strategies. By doing so, your nonprofit can increase donations and amplify its mission. If you’re ready to explore SMS fundraising further, contact the Tatango team today.
