The Virtuous Benchmark Report offers valuable giving data from 370 organizations; the report includes nonprofits from sectors such as Human Services, Education, Faith, and Healthcare. To provide the most relevant insights, this data has been analyzed both in aggregate and broken down by the revenue bands of the nonprofits included.
All of the organizations in the report are Virtuous customers. Because Virtuous clients generally perform better than their peers across key benchmark metrics, the data in the report may skew slightly higher compared to similar studies that use different data sets.
In addition to the benchmark data, the report provides actionable next steps for each KPI, helping you turn these insights into measurable improvements. While understanding current performance is essential, the real value lies in how you use this information to make data-driven decisions that improve your organizationโs results.
The 7 Metrics that Matter with Benchmarks
This benchmark study focuses on seven key KPIs critical in determining the health of a nonprofit’s fundraising efforts:
- Gross Donor Retention
- Average and Median Gift Amount
- Donor Expansion
- Recurring Giving
- Portfolio Balance
- Donor Lifetime Value
- New Donor Acquisition
Taken together, these KPIs can help predict the sustainability and potential risks in your fundraising revenue. While improving any single KPI can boost your fundraising results, making improvements across multiple KPIs can have a compounding effect, leading to accelerated growth.
Key Findings in the Virtuous Benchmark Report
The report’s findings emphasize the importance of measuring key fundraising metrics and implementing targeted strategies to improve them. Nonprofits that focus on data-driven decision-making, retention, and donor engagement are better positioned for growth and resiliency.
Key findings include:
1. Donor Retention is Crucial: The report underscores that donor retention is the most important factor for nonprofit sustainability. Top-performing organizations retain 68.5% of their donors, reducing the need for continuous new donor acquisition while ensuring a steady revenue stream.
2. Gift Size Growth Matters: Acquiring new donors is expensive, but growing the giving levels of existing donors offers a more cost-effective way to increase revenue. Nonprofits that focus on upgrading donor gift amounts, particularly from median-level givers, are seeing substantial returns.
3. Recurring Giving as a Stability Engine: One of the most powerful tools for nonprofits is a robust recurring giving program. Organizations with strong monthly giving programs report smoother revenue streams and better donor retention.
4. Portfolio Balance Reduces Risk: Maintaining a balanced donor portfolio is essential for long-term stability. Nonprofits relying too heavily on either major or small donors face significant risks.
5. Maximizing Donor Lifetime Value (LTV): Understanding and maximizing donor lifetime value (LTV) is crucial for nonprofit success. Organizations focusing on increasing LTV through recurring giving, donor upgrades, and ongoing engagement strategies tend to be more resilient.
6. Improvement in Donor Acquisition: While donor retention is more cost-effective, high-performing organizations still excel in new donor acquisition.
What to Expect from the Virtuous Benchmark Report
Ultimately, the Virtuous Benchmark Report offers a roadmap for nonprofit leaders looking to enhance their fundraising performance. By aligning your strategies with these benchmarks and taking action on the insights provided, your organization can build a more sustainable and impactful future.
Download the 2024 Virtuous Benchmark Report now!
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