How Much Should I Spend on Fundraising Technology?
It's an exciting time to be in the nonprofit world, especially with all the digital tools available to help us achieve our goals.
But let's face it, with so many options out there, it can be overwhelming to choose the right fundraising technology for your organization. That's where we come in!
Together, we'll explore the key aspects you should be looking for when comparing fundraising technology, and offer some helpful guidance on how much you should spend. But first...
What to Look for in Fundraising Technology
You should look for a platform that improves user experience, is easy to use, secure, integrates with their existing systems, and provides robust reporting and analytics. Let's break these down...
Donor Experience: Nonprofits should prioritize the donor experience when choosing fundraising technology. The technology should provide a smooth and user-friendly experience for donors, from the donation process to communication and follow-up. This will help to build trust and increase engagement, leading to greater donor retention and support for your cause.
Ease of Use: Nonprofits should look for a fundraising technology that is user-friendly and requires minimal training. The technology should be intuitive and allow fundraisers to easily manage donations, communicate with donors, and track progress.
Donor Management: The fundraising technology should provide a robust donor management system that allows nonprofits to track donor information, communication preferences, and giving history. This will help nonprofits to create personalized communication and marketing strategies to increase engagement and donations.
Security: Nonprofits should ensure that their chosen fundraising technology is secure and protects donor information. The technology should comply with data protection regulations such as GDPR and CCPA.
Integration(s): Fundraising technology should integrate with the nonprofit's existing systems and platforms, such as their CRM, email marketing, and social media. This will allow nonprofits to streamline their fundraising efforts and create a seamless experience for donors.
Reporting and Analytics: The fundraising technology should provide detailed reporting and analytics, allowing nonprofits to track donations, donor behavior, and campaign success. This data can be used to refine future campaigns and increase donation revenue.
How Much Should Nonprofits Spend on Fundraising Technology?
The amount nonprofits should spend on fundraising technology depends on several factors, including the organization's size, budget, fundraising goals, and the specific needs and goals of the organization. But remember, investing in technology can lead to significant returns in the long run.
A general rule of thumb for nonprofits is to allocate around 5-10% of their budget towards technology, including fundraising technology. This can vary depending on the specific needs of the organization and the goals they hope to achieve through the use of technology.
And guess what, for less than $100 a month, you can join Harness Giving's Basic plan which includes automation tools to get you started. We’ve seen plenty of great nonprofits start with something basic and grow into bigger things as they continue to succeed.
Just remember that as your organization grows so should your tech stack.
In fact, even a smaller non-profit should be focused on making sure their technology is meeting their goals today while keeping an eye on what it will take to meet their goals tomorrow.
You want to find affordable ways to improve your donor experience while automating fundraising efforts. Harness Giving's affordable pricing and robust feature-set makes it an appealing option for nonprofits looking to take their fundraising to the next level.