Do you know if your nonprofit is failing? If so do you know the reasons why or what you might do differently? Most organizations are under-performing and don’t even realize it until it is too late. The 2015 Fundraising Effectiveness Project Report from AFP and the Urban Institute have some very interesting data.
In 2014 for every 100 new investors, there was a attrition rate of 103 therefore, a 3% loss of investors. Also in 2014 for every $100 gained, $95 was lost through gift attrition which means organizations are loosing ground every year. Unfortunately the retention rate in 2014 was 43% which was not an improvement over 2013. The dollar retention rate for 2014 only increased by 1% to 47% when the retention rate should be over 50%.
Many believe that the solution to the retention is the lack of common sense which needs to become the common practice of every nonprofit if they want to survive over the next ten to fifteen years. Push your staff to do more analyzing of data, understand who and what your investors want, set goals and build strong relationships.