In the changing non-profit work environment, every organization needs a clear roadmap that enables it to achieve its mission effectively and sustainably.

Because random planning is no longer effective, this paper provides you with six practical steps to build a comprehensive strategic plan in the field of fundraising, based on realistic tools, measurable indicators, and clearly distributed tasks among the team.

Whether you are launching your organization's first plan or developing an existing one, these steps will help you to:

Link funding to the mission

Engage stakeholders

Adopt SMART goals

Select effective methods

Automate processes and distribute roles

Measure success and improve performance

Start here to lead your organization towards effective growth and deeper impact.

1. Define Fundraising Goals.

We recommend starting strategic planning by envisioning the final outcome you wish to achieve.

What will your non-profit organization look like when it achieves its goals? How will your ability to fulfill your mission evolve over time?

Use your organization's budget to determine how much you need to raise to achieve your charitable goals.

Then, outline the plans and strategies you will use to secure this funding.

For example, you might decide to raise:

  • 50% of the funding from individual donations to your annual fund
  • 20% of the funding from planned gift programs, memorial gifts, and endowment fund
  • 20% of the funding from corporate giving programs
  • 10% of the funding from grants

Each non-profit organization has a different distribution for its fundraising goal, depending on its current fundraising initiatives and donor capabilities.

2. Get Input from Key Stakeholders.

Next, ask stakeholders for their opinions on your fundraising goals.

Provide the necessary context for your goals and objectives, explain how each goal will impact your mission, and request feedback on the plan.

Among the stakeholders you should communicate with are:

  • Board members
  • Team members (staff)
  • Key partners from the private sector and local community
  • A fundraising consultant

Presenting the plan to everyone will ensure that your goals are achievable and manageable by your team.

Stakeholders may raise alarms if the fundraising amount significantly differs from the previous year, or if you are relying on strategies that have proven ineffective in the past.

Illustrative Example:

Suppose your non-profit organization has a good track record in grant writing.

You have won 80% of the grants you applied for, so you decide to allocate a large portion of the fundraising revenue plan from grant funds. Seems reasonable, right?

But, a grant writer might point out a valid point: that you have been successful only because you have been extremely precise in choosing the type of grants for which you apply.

While the percentage looks great, there aren’t enough grants in the market to achieve the target you set.

This type of insight allows you to adjust your strategy to achieve as much success as possible.

3. Define Your Core Fundraising and Marketing Strategies

You may want to conduct a SWOT analysis (Strengths, Weaknesses, Opportunities, Threats) of your previous fundraising efforts, to understand the areas where you already have strengths and those that can be improved.

This table can help clarify strengths, weaknesses, opportunities, and threats in a clear and concise manner:

Positive (POSITIVE) | Negative (NEGATIVE)

Internal (INTERNAL) | What is your non-profit organization doing well? | Weaknesses Where is your non-profit organization struggling?

External (EXTERNAL) | What opportunities are available to your organization that could support growth? | What external factors threaten your organization's position?

Some fundraising and marketing strategies that your organization should consider include:

  • Major Donor Fundraising:

    Fundraising from major donors often constitutes a significant portion of your revenue. If it isn't already, this is an area of your strategy that should be improved.

  • Donor-Centric Stewardship:

    Donor stewardship leads to better retention rates and better long-term fundraising outcomes. This is closely related to your marketing strategy and ensures that you communicate regularly and effectively with donors.

  • Attracting and Retaining New Donors:

    The second gift from a donor is considered the "golden donation," because most donors stop after the first gift. After the "golden donation," there is almost a 60% chance that the donor will make an additional donation.

  • Online Fundraising:

    While most revenue may come from direct conversations with major donors, most donors prefer to donate online. It’s a convenient option as long as your fundraising page is well optimized.

  • Peer-to-Peer Fundraising:

    Peer-to-peer fundraising is a great strategy for attracting new donors while raising additional funds from your committed supporters. Leverage the power of social networks for fundraising through this avenue.

  • Monthly Donations:

    Recurring gifts are crucial as they are a stable source of revenue. If someone sets up a recurring donation, you can likely rely on that donation continuing over a long period, incorporating it into the organization's future budget.

Set lower fundraising goals for areas that need improvement compared to those in which your organization already excels.

This way, you can try different strategies to strengthen these elements without too much pressure.

Illustrative Example:

If you know that your organization has a strong major donor fundraising program, determine that a larger portion of fundraising will come from that side.

If you know that retention rates for new donors need improvement, you can set a lower goal for that, using this opportunity to experiment with new things such as contacting new donors or setting up a welcoming email series.

4. Set SMART Goals

When establishing your fundraising goals, ensure they follow the SMART framework:

  • Specific: Target a particular area for improvement
  • Measurable: Can be expressed in numbers
  • Attainable: Achievable based on your past successes
  • Realistic: Reasonable according to the resources available to you
  • Time-based: Linked to a specific timeframe

Illustrative Example:

Suppose you have a specific goal to increase individual donations to your annual fund.

Here are some examples of SMART goals targeting this purpose:

  • Attract 500 new donors through the online donation page within one year.
  • Contact 100% of new donors within 90 days of their donation.
  • Attract 200 new donors through a two-week peer-to-peer fundraising campaign.
  • Expand the monthly donation program by adding 100 donors within a year.
  • Retain 70% of last year’s donors.

These goals include specific numbers and timeframes, helping to guide strategic planning towards measurable indicators.

5. Choose Supporting Tactics for Each Goal

Utilize reporting tools in your donor management system and marketing platforms to help your team stay committed to achieving goals.

Assign a specific role to each team member that they are responsible for.

Here is an example of a table clearly illustrating each activity, the staff member responsible for it, and the deadline:

Activity | Team Member | Deadline

Create a list of new donors and contact them | Ahmed | Last day of each month (within 90 days of first donation)

Set up recurring donation options on the organization’s online donation page | Rawan | March 15

Write a welcome email series to send to new donors | Saleh | February 28

Create email marketing materials for the fundraising campaign | Munira | April 1

When everyone is clear about their role in the organization and how their actions will affect the overall mission, you ensure that everything gets done.

Additionally, everyone will feel a sense of purpose and meaning in their role as part of the team.

In addition to distributing roles among team members, you can also automate some processes to save staff time.

For example, if you're manually sending the monthly newsletter or personally managing every social media post, consider investing in new marketing software as part of your strategic plan.

Ask yourself some of the following questions:

  • What areas of our work need more time?
  • What can we automate?
  • Who in our organization is performing repetitive tasks that take time away from more important work?

Sometimes, the answers to these questions lead you to invest in new software specifically for non-profits, such as a new CRM system to automate donor engagement efforts, or volunteer management tools to simplify volunteer scheduling.

6. Measure Success

Track the key indicators associated with your goals to evaluate the success of your strategic plan.

This may include key performance indicators such as:

  • Donor retention
  • Attracting new donors
  • Donor participation in the monthly donation program
  • Return on investment (ROI) for each fundraising method
  • Cost per dollar raised
  • Average donation size

Regularly evaluate these indicators as a team on intervals, such as monthly or quarterly, to track progress towards your goals.

Identify performance dips, investigate root causes, and adjust your strategic plan as needed.

Remember the SWOT analysis process while assessing fundraising results, and consider that not all threats are within the control of your non-profit organization.

For example, a decline in average donations may be due to an economic downturn.

However, there are measures your organization can take to mitigate these threats, such as diversifying revenue streams or focusing more on donor stewardship.

Towards Impactful Planning

Strategic planning in non-profit organizations is not just a document that sits on the shelf; it is an ongoing practice that keeps the organization on track between its mission and its reality.

The six steps we reviewed—from defining funding goals to measuring success—form a comprehensive cycle that enhances effectiveness, provides the team with a unified vision, and makes every donation, effort, and decision part of a greater success story.

Remember that the best plans are those that are reviewed, corrected, and executed with transparency and flexibility.

Start with what you have now, and take advantage of every small progress, as great impact in the non-profit sector does not start with huge steps but with smart and clear ones.

Source: bloomerang