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While no single approach is considered “right” or “wrong” for today’s nonprofits, research has shown that there are clear guidelines for engaging with today’s donors. Industry experts have reported that in an era of digital connectivity, donors have come to expect authentic, meaningful relationships rather than just transactional appeals for money.
This guide will help you navigate modern donor engagement with a structured approach. By exploring traditional fundraising models—such as the donor funnel and pyramid—but adapting them for contemporary expectations, you can strengthen connections and create sustainable support.
Understanding today’s donors
Modern donors are more independent, and therefore pretty skeptical of pressure-driven fundraising tactics. With unlimited information at their fingertips, they want to feel inspired rather than be told what to do. So, what motivates them? Authentic connections!
In the digital age, philanthropy thrives on meaningful relationships rather than monetary exchanges. The most effective way to enhance donor engagement is to prioritize ongoing personal connections over immediate financial contributions. In other words, donors want to give their time and money to an organization that shares their values, often inspired by something that happened in their lives or affected a close family member.
What are donor engagement models?
A donor engagement model is a strategic framework that nonprofits use to cultivate relationships and secure long-term financial stability. Derived from traditional sales models, they were created to sustain nonprofit programs and supporter relationships.
By prioritizing engagement, these models enable nonprofits to:
- Increase revenue
- Improve donor relationships
- Allocate resources efficiently
- Ensure long-term sustainability
Research indicates that 90% of the largest nonprofits rely on a single dominant source of revenue, such as major gifts. Similarly, donor engagement models work best when built around a specific engagement goal, such as expanding a monthly giving program or reducing donor attrition. However, it’s important to note that diversifying your funding strategy to include the entire spectrum of support (including volunteers and advocates) can help promote greater sustainability.
Put simply: A donor engagement model visualizes your fundraising activities, ensuring each step moves you closer to a specific goal.
Choosing the right donor engagement model
Different engagement models serve different nonprofit goals. They vary based on engagement type (e.g., communicative vs. monetary), goal (e.g., reducing donor churn), and motivation (e.g., personal connection vs. philanthropic journey).
Below are the four donor engagement models created by DonorPerfect:
- The Donor Engagement Funnel – Converts supporters by filtering a broad audience into a committed donor base.
- The Donor Engagement Pyramid – Increases participation by encouraging donors to elevate their giving.
- The Donor Engagement Loop – Reduces donor churn by establishing continuous engagement touchpoints.
- The Donor Engagement Network – Identifies potential supporters through relational connections (akin to “six degrees of separation”).
Nonprofit professionals should align their donor engagement model with their current fundraising goals. While multiple models can be used simultaneously, each should have a distinct focus.
For instance:
- Building upward relationships? Use the pyramid.
- Narrowing prospects down? Use the funnel.
- Establishing loyalty? Use the loop.
- Tracking connections? Use the network.
Modernizing your donor engagement approach
Since modern donors seek authentic connections, your model should guide them to their next contribution (of time, money, or advocacy) based on their interactions with your organization. The goal is to foster deeper engagement through shared interests.
1. Develop donor personas
Identifying donor personas and utilizing a multichannel engagement approach will help create tailored engagement opportunities. This strategy aligns with any donor model—whether it’s a funnel, pyramid, loop, or network.
2. Prioritize donor-centric engagement
Avoid heavy-handed donation requests. Instead of dictating actions, guide donors toward insights that inspire them to give organically based on their interests and how they want to make an impact. Make them curious to learn more!
3. Identify engagement cues
A modern engagement model should provide multiple entry points for potential donors. Here are examples of engagement cues:
- A donor prospect opens your email
- They click a link in your content
- They scan your QR code for more information
- They engage with your social media
- They download your free resource
- The timing of their donation
- Any interactions hinting at their interests
By monitoring these cues, nonprofits can tailor their outreach and guide donors along their giving journey.
Beyond personalization: Effective donor engagement requires data-driven strategies
Successful donor engagement will extend beyond surface-level personalization in 2025. This approach challenges fundraisers to think outside the box of traditional engagement and toward the future of nonprofit relationships.
For example, an organization can go beyond adding a donor’s first name to an email—they can pay attention to their donor’s motivation for giving and interest in specific programs. For a systematic approach to collecting this information, all it takes is the right tools!
Here are some fundraising system features to consider:
- Data analysis to understand what attracts donors to your mission
- Tools to analyze their engagement preferences
- Solutions for systematic personalization
- Diligent recordkeeping to track interactions and refine engagement efforts
Finding opportunities for improved engagement
With more tools to measure engagement comes more opportunities to improve it. By analyzing how donors interact with emails, letters, social media posts, and more, fundraisers can identify gaps or weaknesses in their current engagement strategy.
For example, a nonprofit email marketing platform can show how many thank-you messages resulted in an additional contribution. If the rate is lower than expected, perhaps the messaging could be improved by including relevant opportunities based on donor motivations and interests.
Here are a few questions to help you brainstorm:
- Do your current data procedures allow you to understand each supporter’s story?
- Are your appreciation methods personal, meaningful, and actionable?
- Do you solicit donor feedback and incorporate it into your strategy?
Focusing on the relationship first
You might think, “Connections don’t keep the lights on,” but they do provide lasting value by attracting new supporters and unlocking new opportunities. Prioritizing relationships will naturally lead to greater financial sustainability.
While financial support is essential, remember that not all donors give immediately. Before making a gift, some may advocate for your mission, volunteer their time, or encourage their friends to contribute.
Think long-term: Even if a donor isn’t financially contributing right now, fostering their connection to your nonprofit can lead to future support.
Mapping engagement from the first action forward
Here’s an example of how donor engagement can be nurtured systematically:
- Awareness – A potential donor sees a compelling story on your program flyer.
- Interest – They scan a QR code on the flyer, leading to your website.
- First action – They sign up for volunteer alerts, and their contact info is saved.
- Engagement – They receive a personalized email with volunteer opportunities.
- Follow-up – They open your email, but don’t sign up. They receive a gentle reminder next quarter, including a link to your website to learn about other programs.
- Involvement – They sign up to volunteer and opt into your monthly newsletter.
- Encouragement – You send them a thank-you email with impact stories, highlighting the opportunity to combine small monthly gifts with volunteering.
While traditional fundraising models have been around for decades, today’s donors expect authentic, ongoing engagement rather than one-time financial transactions. By focusing on relationships first, nonprofits can establish trust, loyalty, and long-term support.
The key is to provide multiple engagement pathways—whether through volunteering, advocacy, or micro-giving—so that donors feel inspired to deepen their connection at their own pace. With a thoughtful donor engagement model, you can build a stronger, more sustainable nonprofit community.