Infographic: Supersize your donation with covered processing fees
Peer to Peer Fundraising Best Practices April 3, 2017 By Kevin Wolfe
Our latest DonorDrive infographic examines the trend of giving your donors the option to cover the processing fees associated with their donation. We all know (including your donors) that it costs money to raise money. There are fees associated with receiving and processing donations online and today donors want to help you cover these costs by giving a little bit more. So why is this trend happening? As a society we expect to pay a little extra. The price of anything is never the real price anymore. There are always fees for something: shipping, service, upgrades, etc. The big difference when it comes to giving is that donors understand that the extra fees they’re paying are enabling the organization to do that much more good with the full force of their donation.
When given the option, 52% of donors cover processing fees.
In examining the stats in DonorDrive, organizations that have enabled the feature are seeing more than half of their donors chose this option. We’re now at the point that the option is an expectation among your donors. And as donors have this option in more and more events and campaigns, you can expect to see this percentage rise.
Ask for 7%. More donors opted in when asked for this amount.
For whatever reason 7% is the magic number. It got more donors to check the box than 6%, 8% or other percentages. (Incidentally, asking for a percentage has proven to be much more successful than asking for a fixed-dollar amount.)
Organizations saw a 3% increase in overall event or campaign revenue when they offered the option.
Whether your event or series is small or big, 3% is a respectable increase, especially since all the organization has to do is check a box to enable it (if their fundraising software offers it.) So what is a 3% increase in real dollars to an organization?
It took less than a year for NAMI to receive over $50,000 in processing fees covered by their donors.
The National Alliance on Mental Illness instituted donor-covered processing fees for their NAMIWalks program and have had great success. We’ve put these impressive stats (and more) into a sharp-looking infographic. If some within your organization are reluctant to institute donor-covered processing fees, email them the infographic. We think it will change their mind.