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Fundraising Strategies to Make Your Year-End Efforts Even More Successful

Fundraising Strategies to Make Your Year-End Efforts Even More Successful

Chapter Leadership Brief 8.22.25

by Gary Weinberg
President, DM Pros

AFP's Fundraising Effectiveness Project (FEP) reported in July that while total dollars raised increased 3.6% in the first quarter, this growth was driven largely by larger donors. Donations from smaller donors are declining. However, there are proven strategies you can put to use now to make your year-end direct mail and direct response campaigns more successful.

The Foundation: Three Ways to Raise More Money

Years ago, one of my fundraising gurus shared a simple truth: "Gary, there are only three ways to raise more money from individual donors—(1) acquire new donors, (2) get existing donors to upgrade their gifts to larger amounts, and (3) get existing donors to give more often."

This leads us to the "leaky bucket" theory. Your current donors are the water inside, new donors and reactivated donors flow in from the top, lapsed donors drain out the bottom. The goal—stop the leakage while increasing the inflow.

Strategy 1: New Donor Acquisition for Year-End

If you're not acquiring new donors, your donor pool is shrinking. Start with people already familiar with your organization—volunteers, gala attendees, program participants, and other lists you may have. Send these prospects a letter expressing your appreciation for their involvement and asking for a special year-end gift.

For organizations ready to make a larger investment, formal acquisition programs offer greater long-term potential. This approach costs significantly more because you're renting multiple prospect lists and testing different packages and messages to find what works best, and the response rate will be relatively low.

While the initial metric is response rates and dollars raised, lifetime value is the bigger picture and long-term goal. Lifetime value is the total amount each donor gives over time. Example: You acquire 100 new donors at $25 each ($2,500 total). If acquisition costs $50 per donor, you won't see positive return until the third gift. By Year 5, perhaps only 20 donors remain but give $200 each ($4,000 total). Lifetime value also helps to plan your acquisition budget investment.

Acquisition Techniques:

  • Direct mail campaigns: Test different formats, envelopes, and messaging
  • List rental strategies: Test prospect lists and co-op databases matching your demographics
  • Online lead generation: Use paid advertising to drive traffic, then add leads to email and direct mail

Strategy 2: Lapsed Donor Reactivation

Reactivating lapsed donors costs much less than finding completely new ones. These people already know your mission and have given before—they just need the right invitation to return.

Reactivation Strategies:

  • Write personal reactivation appeals that acknowledge their history. For example, if Mary last donated $100 3-years ago: "Mary, thank you for your past support. Please consider renewing your support with a gift of $100 or $125. Even a gift of $50 would go a long way to help feed New Yorkers facing hunger."
  • Include the impact of the last gift: "You made a difference in 2023—will you do it again this year?" or even more specific, "We miss you. Your past support helped feed 320 families—thank you."

Strategy 3: Upgrade Existing Donors

Your current donors are your most important supporters. Beyond keeping them, focus on growing their gifts. Show the impact to encourage larger gifts: "Mary, thank you for your continued support. This year-end, would you consider increasing your gift to help us reach more people in need?"

Strategy 4: Increase Gift Frequency

Turn annual donors into multiple-gift supporters. If Mary gave two gifts of $50 last year, and gives three gifts of $50 this year, you've raised more money.

Develop your monthly giving program and include the option on all donation response devices. Monthly giving creates more committed donors while providing steady income. Ask monthly donors for an extra gift at year-end (of course, after thanking them and acknowledging them as a monthly donor).

Additional Tactics:

  • Strategic appeal calendar: Plan targeted appeals throughout the year for more giving opportunities
  • Email campaigns: Increase your mix of informational emails and donation requests
  • Urgent appeals: Respond to current events with extra emergency appeals

Donor Retention and Stewardship Strategies

Keeping current donors is cheaper than finding new ones. Stewardship is an investment to bond and retain donors:

  • Prompt acknowledgment: Thank donors within 48 hours—show the impact of their gift
  • Regular communication: Send newsletters and updates between appeals
  • Personal touches: Select the top 100-200 donors in your fundraising appeal list and have your production firm return them to you assembled and stamped but unsealed, for you to write personal notes and mail from your office
  • Recognition programs: Create giving circles based on higher giving levels
  • Infographics: Use graphics to visualize your impacts

Additional Direct Response Strategies

Several other tactics can boost your year-end results:

  • Matching gift opportunities: Announce challenge grants that double the donor's impact with a deadline for urgency
  • Deadline urgency: Use December 31st deadline to encourage immediate action—donations received before the end of the year help you start the new year strong, ready to serve more people and expand your impact

The Critical Role of Impact Demonstration

I've used the word "impact" here many times. I can't overemphasize the value of demonstrating your impact at every opportunity.

City Harvest does an outstanding job showing gift impact on their website donation form: "$36 helps feed 11 NYC children for a week… $52 helps feed 1 NYC family for a month… $83 helps feed 8 NYC seniors for 3 weeks… $135 helps feed 10 New Yorkers for a month."

Conclusion

The decline in small-donor participation requires action. By focusing on new donor acquisition, lapsed reactivation, donor upgrades, and increased frequency—all supported by strong stewardship—your year-end campaign can be even more successful.

Fundraising is about building relationships. Every message you send should deepen donor connection to your mission. Start planning these strategies now for your year-end campaign and continue them into the new year. With careful testing, clear messaging, and strong stewardship, your efforts can deliver exceptional results.

 

Gary is a specialist in individual giving. He has been a leader in direct mail and direct response fundraising communications for over 35 years. He takes a holistic approach, focusing on the complete giving cycle from direct mail and digital solicitation, through acknowledgment and stewardship activities.

He currently serves on the AFPNYC Board of Directors, Chairs the Government Relations Committee providing advocacy for charitable giving issues in NYS and on The Hill in DC, and is active in the Professional Advancement Committee that organizes the Chapter’s regular seminars. In addition, serves as Vice Chair on the Board of the Lehman Center for the Performing Arts in the Bronx.

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