According to a study by Salesforce, the use of AI in fundraising helps nonprofits increase their donations by 20%.This growth is achieved by the fact that AI can study donor profiles and their giving behavior and communicate with them effectively. Moreover, as an increasing number of nonprofits are now competing for donations, using AI can be a great way for organizations to reach out to their donors and raise more funds. In this blog, we are going to discuss how nonprofits can use AI, along with some digital fundraising strategies to help you get started.
What does AI in Nonprofit Fundraising account for?
AI for nonprofit fundraising is used to help organizations identify potential donors, send personalized messages to the donors to encourage them, and predict upcoming or expected donations. Moreover, AI can analyze huge amounts of data quickly and in a way that is otherwise impossible for humans to manage simultaneously. This enables the nonprofits to identify the potential donors and decide on strategies that will appeal to them individually.
Take the AI tools offered by Salesforce Nonprofit Cloud as an example. They are designed to analyze the past contributions of your existing donors and try to figure out when a donor may donate again. Potential donors can also be identified from social media platforms. Therefore, with the help of AI or by using it in everyday tasks, nonprofits can save time with their human resources, reduce costs, and enhance their organization’s fundraising efforts. So, instead of sending the same message to everyone, AI allows organizations to send targeted messages that are more likely to inspire donations.
Our expertise on Salesforce Nonprofit Cloud combined with innovative AI solutions can boost your fundraising efforts
Digital Fundraising Strategies Using AI for Nonprofits to Increase Donations
Nonprofits can use AI in a multitude of ways to improve their digital fundraising. The most common practice, however, is personalized fundraising campaigns. These campaigns are based on the donor’s donation history, interests, and level of engagement. Following are some digital fundraising strategies backed by Salesforce Nonprofit Cloud, which will help nonprofits like yours to optimize their fundraising efforts:
Einstein Summarization for Personalized Donor Interactions
Einstein Summarization can be described as an AI tool that helps nonprofits in their efforts to engage donors on a personal level. It basically works by compiling donor information from various internal and external sources, including past gifts, emails, and event attendance. This summary is the life and blood of nonprofits as it helps them to better understand their donors’ concerns and giving behavior in order to send relevant messages. For example, if you notice a donor who likes to support environmental causes and has done so in the past, Einstein Summarization can suggest sending them information about your nonprofit’s current environmental projects. On the flip side, if you come across a donor who has recently attended a fundraising event, the nonprofit can follow up with a “Thank You” letter and information on how their support is helping to make a difference. This kind of engagement helps in maintaining better relations with the donors and makes them want to give again.
Major Gift Proposal Drafting that Resonates with Donors
Getting major gifts from donors is a big goal for many nonprofits, and AI can help create proposals that resonate with donors to achieve this target. But how? The answer is that AI tools can analyze the donor’s previous donations, interests, and preferred communication channels to develop customized proposals that match the donor’s values. This raises the chances of getting the donation because the proposal is more meaningful to the donor.
Donor Engagement Summary to Assess Giving History
To make fundraising more targeted, AI helps nonprofits create donor engagement summaries that present key information, such as the frequency of giving, the amounts being donated, and the campaigns supported. This helps nonprofits to know their most generous donors and how to reach out to them in order to get them to donate again.
For example, if a donor has been donating small amounts of money on a regular basis, you can thank them for their continuous support and suggest how they can increase their donations. On the other hand, if a donor has made big donations in the past but has not done so recently, you can send a message as a reminder showing the impact of their previous donations and ask them to donate again. These personalized messages make the donors feel important and connected to the cause of the nonprofit.Notes Summary for Accessing Information Quickly
AI can also summarize notes for you from your interactions with the donor, making it easier for nonprofits to access important information quickly for follow-ups. If a donor, for example, casually mentions their interest in supporting education during a phone call with you, AI tools can include this detail in the summary. In this way, it helps fundraisers personalize their future interactions with the donor, building stronger relationships.
Moreover, having easy access to the summarized notes is really convenient for big nonprofits with a long list of donors. Instead of looking for the information in jumbled records, the fundraisers or your human resources can get the essential information in seconds. This saves time and prevents a situation where every contact seems general and unsuitable.Advanced Donor Segmentation for Targeted Outreach
Another area where AI helps nonprofits in their fundraising efforts is through advanced donor segmentation. This segmentation is done by using donor data and creating segments, or you can say separate groups of donors based on characteristics like frequency of giving, amount given, and interests. This allows nonprofits to share messages that are likely to be relevant to each segment or group of donors.
For instance, AI can identify a group of donors who give every now and then but in small amounts. The nonprofit can send these donors messages encouraging them to increase their donations for a big cause. Another segment or a group might include donors who only give during certain or special times of the year, such as holidays or Thanksgiving, for charity purposes. The nonprofit can send these donors messages reminding them to give during their preferred giving seasons. Therefore, by customizing messages to each segment, nonprofits can increase their response rates and raise more funds quickly than ever before.Grantmaking with Customizable AI Experiences for the Donors
AI can make analyzing past grant applications and funding decisions easier for nonprofits by creating stronger grant proposals. This is done by first identifying the key factors that lead to successful applications and then suggesting ways that can somewhat improve the draft of the proposal.
Now, think of a day or scene where if a grantmaker is interested in supporting projects that have quantifiable outcomes, AI can suggest that the proposal should also include some more elements. Furthermore, other than suggesting the elements, AI can also estimate or guess the probability of a proposal being funded, thus allowing nonprofits to target their efforts toward the most likely sources of support. This greatly increases their chances of getting funding and reduces the time they spend applying for grants that they think are not likely to be approved.Program Management to Track the Campaign Outcomes
AI tools are great at collecting from various sources and providing real-time insights into program performance. This helps nonprofits track their progress and make data-driven decisions to improve the results of their fundraising efforts.
For example, if a nonprofit runs a job training program for the underprivileged, AI can track the number of participants who were successful in finding jobs after completing the program. It can also identify and pinpoint the factors that lead to successful outcomes, such as specific training modules or support services. In this way, by using AI to monitor or track their programs, nonprofits can improve their campaigns and demonstrate their impact to donors and grantmakers.
How Can Plumlogix Optimize Your Nonprofit Fundraising Efforts?
At Plumlogix, we specialize in Salesforce Nonprofit Cloud and can assist organizations in integrating AI tools that enhance donor management, engagement, and campaign outcomes. Our extensive experience in the field vis-a-vis our deep bench of certified experts allows us to make sure that nonprofits are able to get the most out of their AI solutions, which in turn helps them generate more funds and further their cause.
In short, by partnering with Plumlogix, nonprofits like yours can take advantage of advanced AI features like Einstein Summarization, predictive forecasting, and customizable donor segmentation. This allows them to connect with donors more effectively, improve their fundraising results, and make a greater impact in their communities.
Final Words
The use of AI in nonprofit fundraising is truly changing the way in which the organizations can understand their donors and adjust their communications, as well as identify potential donors and the amount they are likely to give. With the help of AI tools like Einstein Summarization, advanced donor segmentation, and predictive forecasting, nonprofits can enhance their fundraising efforts and build more meaningful relationships with their donors.
