How to Build Stronger Donor Relations: A Nonprofit Marketer’s Perspective

In the nonprofit sector, the strength of your donor relationships is often the most reliable indicator of long-term success. Research shows that the cost to acquire new donors can run 50% to 100% more than the dollars collected from them. Put another way, that means you’re spending $1.50 to $2.00 on donor acquisition for every dollar you raise from them. Retention, on the other hand, typically costs around 20 cents for every dollar raised.

That math makes it pretty clear: maintaining your existing network of support is critical to funding your organization. Building trust and fostering loyalty with your supporters—whether they’re first-time givers or long-standing major contributors—requires a thoughtful and proactive approach.

Remember: donors aren’t just contributing financially; they’re partners in your mission, and their continued involvement hinges on showing them they’re valued, keeping them informed, and connecting them to the outcomes they help achieve.

This blog post examines key strategies for enhancing your donor relations efforts, from foundational stewardship practices to advanced techniques utilizing digital tools and data analytics. Whether your goal is to improve donor retention, personalize engagement, or enhance your communication systems, the insights shared here will provide a framework for elevating your organization’s donor experience.

 

What Is Donor Relations?

Donor relations is the practice of building genuine, long-lasting connections with the folks who fuel your mission, whether they give $5 or $50,000. At its core, it’s about cultivating authentic relationships by treating donors like valued partners rather than just transactional contributors. Effective donor relations focuses on expressing gratitude and demonstrating the impact of contributions, reinforcing the connection between giving and mission success.

Here are some key ways to build strong donor relations:

• Acknowledge Contributions and Express Gratitude: Thank donors promptly and personally for their generosity.
• Demonstrate the Impact of Their Gifts: Share updates on how their donations are being utilized, highlighting positive outcomes and the results you’re striving to achieve.
• Cultivate Ongoing Relationships: Build connections with your donors through regular communication and personalized outreach.
• Build Engagement: Invite donors to participate in events, volunteer opportunities, and other activities that reflect their interests and values.
• Encourage Repeat Giving: Employ donor retention strategies to keep them informed, engaged, and motivated to continue providing support.

Central to this process is Donor Relationship Management (DRM), a comprehensive framework that guides organizations in nurturing loyalty and trust at every stage of the donor lifecycle. DRM integrates consistent communication, tailored stewardship, and data-informed engagement to ensure each donor interaction is thoughtful, timely, and aligned with the individual’s preferences and giving history.

Strong donor relations lead to real, tangible outcomes. Organizations with robust stewardship practices consistently see higher donor retention rates, more recurring gifts, and deeper long-term investment from their supporters.

Why Should Nonprofits Focus on Donor Relations?

Think about the nonprofits you’ve given to, or even just the companies you prefer to do business with. Often, it’s some little detail that wins your affection: a small way that the organization went above and beyond to provide a better service or show you that they valued your support.

Donor recognition initiatives, such as individualized thank-you notes, donor honor rolls, or curated events for loyal supporters, convey your sincere appreciation and signal that each gift is meaningful. These gestures, especially when tailored to your donors’ preferences and giving levels, help ensure that your supporters feel seen, valued, and inspired to remain involved.

Ultimately, strong donor relations aren’t just about fundraising—they’re about relationship-building. By making stewardship a strategic priority, you strengthen the bonds with your current donors and create a culture of gratitude and transparency that resonates throughout your entire organization.

Strategies to Attract New Donors

So far, we’ve discussed the importance of donor retention. But what strategies are most effective for building strong relationships with new donors?

Here are some of our favorite approaches.

Storytelling and Testimonials

People don’t fall in love with line items—they fall in love with stories.

To attract new donors, start by ditching the jargon and telling real, human stories about the impact of your work. That could be a parent whose life stabilized thanks to your housing program, a public awareness campaign that gave people the courage to speak out for the first time, or a rescued animal now thriving in their new forever home. Whatever your mission is, put faces to the outcomes.

The magic is in the details. What did it feel like? What obstacles did they overcome? And, critically, what role did your donors play in that success? Use quotes, testimonials, and short interviews with beneficiaries, volunteers, and even long-time supporters to provide social proof. (If you can include video testimonials, even better!) These all show potential donors that your community is worth joining.

If you’re ready to level up your narrative game, we’ve got something for you. Download our e-book on nonprofit storytelling to get tips, templates, and strategies to make your mission impossible to ignore.

>> Download Your Guide to Nonprofit Storytelling

Social Media and Webinars

If you’re looking to connect with new potential donors in 2025, chances are you’re finding them online. Through social media, you can offer consistent and accessible insights into your organization’s work. Short videos, program updates, and day-in-the-life snapshots allow you to humanize your mission and illustrate the real-world change your supporters help make possible. Which social media channels you choose for your message should be determined by the audience you want to reach and the content you’re able to share.

Hosting webinars is another effective way to reach new audiences, offering opportunities for deeper, more interactive engagement. You might host a live Q&A with your executive team, facilitate a panel discussion with community partners, or present a detailed program update to a specific donor segment. These formats enable you to build credibility and foster trust through transparent communication.

When possible, consider collaborating directly with beneficiaries to tell their stories. Including their voices—either through recorded testimonials, co-hosted events, or guest content—adds authenticity and reinforces the impact of your work. This collaborative storytelling not only informs your audience but also strengthens the emotional connection between your mission and the people who support it.

Existing Donors and Recurring Donors

Before you start chasing new fans, don’t forget to send a love note to the ones already in the room.

Your existing and recurring donors are your inner circle—the people who’ve already raised their hands and said, “Yes, I believe in this.” The smartest way to build donor relations is to keep these folks happy, engaged, and inspired to give again (and maybe even give more).

To that end, you should implement segmentation and personalization in your donor communication strategy. By grouping donors based on characteristics such as giving history, preferred causes, or engagement level, you can tailor your outreach to match their interests. Personalized messages (whether through email, phone calls, or handwritten notes) demonstrate that you see your donors as individuals, not just data points.

Consider offering exclusive opportunities to show appreciation and foster a sense of belonging. Invite recurring donors to private in-person events, behind-the-scenes tours, or small-group meetings with leadership to provide a more intimate view of your work and help reinforce their role as trusted partners.

Loyalty, Trust, and Transparency

Want loyal donors? Start by showing them exactly where their money’s going.

Your supporters want to know that their contributions are being used effectively, and it’s your responsibility to provide that clarity. Open communication about how funds are allocated reinforces your organization’s integrity and reassures donors that their generosity is directly supporting meaningful impact.

You can strengthen this trust through consistent and detailed stewardship activities. Annual reports, program updates, and milestone announcements are all great opportunities to demonstrate transparency and accountability. Include personalized thank-you messages, donor spotlights, or campaign follow-ups to help your supporters see themselves as essential members of your mission.

Technology and Tools

As you work to strengthen donor relationships, the right technology can serve as a powerful ally. Constituent Relationship Management (CRM) systems are designed to help you manage, track, and deepen engagement with donors in a more organized and strategic manner. With a CRM, you can centralize donor data, automate key communications, and gain a clearer understanding of each individual’s journey with your organization.

By leveraging these tools, you can implement automated outreach workflows that ensure timely and consistent communication. For instance, you might create a welcome series for new donors, set up personalized thank-you messages based on gift amounts, or develop re-engagement campaigns for supporters who have gone quiet. Many organizations using platforms like HubSpot (our favorite!) have found that automation not only saves time but significantly improves donor response and retention.

Your CRM can also help you use data and metrics to inform your donor relations strategy. Analyze donor behaviors—such as giving frequency, communication preferences, or event participation—to tailor your messaging and outreach more effectively. Understanding these patterns will help you identify opportunities, anticipate donor needs, and continuously refine your stewardship approach.

Measuring and Improving Donor Relations

If donor relations is an art, measurement is the science that keeps your brushstrokes focused.

You can send beautiful thank-you notes and run well-attended events, but if you’re not tracking what’s working, you’re just guessing. And in a resource-squeezed nonprofit world, guessing is expensive.

Start with a few key metrics that give you real insight into donor loyalty and behavior, such as:

• Donor Retention Rate: How many of your donors are coming back year over year?
• Average Gift Size: Are your supporters growing in generosity or shrinking?
• First Gift-to-Loyalty Timeline: How long does it typically take someone to go from a first-time donor to a recurring supporter?

Watching these numbers over time can help you identify where your stewardship is strong and where it needs improvement.

And data doesn’t have to be cold and impersonal. Surveys are a great way to bring warmth into your measurement strategy. Ask donors why they give, how they prefer to hear from you, and what kinds of updates they value most. You might be surprised; some supporters would love more behind-the-scenes content, while others just want a quarterly email that shows their gift made a difference.

Once you’ve got the feedback, don’t just let it sit on a dashboard. Use analytics platforms (often baked into your CRM or email tools) to A/B test your messages, segment more strategically, or refine your cadence. Maybe major donors respond best to personalized video thank-yous. Maybe lapsed donors come back when shown program outcomes. The data will tell you—if you’re listening.

Let’s Strengthen Your Donor Relations

Ready to put these strategies into action? Whether you’re refining your existing systems or designing a new approach to donor engagement, Big Sea is here to support you.

Contact our team of donor relations professionals to strengthen your nonprofit marketing and donor stewardship strategies and build lasting relationships with the people who make your work possible.

FAQs About Donor Relations

What Is Team Stewardship?

Team stewardship refers to a collaborative, organization-wide approach to building and maintaining strong donor relationships. Instead of leaving stewardship solely in the hands of marketing or a single donor relations team, team stewardship engages staff, board members, volunteers, and even program leaders in showing appreciation and communicating impact, creating a more authentic connection between donors and the organization. This holistic approach reinforces the message that every part of your nonprofit values and supports its donor community.

What Is the Difference Between Donor Stewardship and Cultivation?

Donor stewardship and cultivation are two sides of the same coin, but they happen at different stages of the donor journey.

Cultivation refers to the process of engaging and nurturing potential donors before they give: building awareness, trust, and interest through thoughtful outreach, storytelling, and personalized communication. It’s about laying the groundwork for that first “yes.”

Stewardship, on the other hand, kicks in after a gift is made. It’s the ongoing effort to thank, recognize, and meaningfully engage donors so they feel valued and inspired to give again. While cultivation opens the door, stewardship keeps it open for the long haul.