The Benefits of Recurring Donations

How to boost your church's financial stability and donor engagement

Online giving has made it easier than ever for donors to establish regular, ongoing contributions.  

As consumers realize the convenience of subscription-based services, more donors are apt to prefer to schedule their giving on a regular basis, much in the way they would subscribe to an entertainment or meal delivery service—recurring donors agree to automatically donate at specified intervals, typically monthly or annually.

A recurring donation allows congregants to spread the financial impact of their giving across the year, making it a more budget-friendly option. While recurring gifts make it more convenient and financially viable for donors to support church programs, congregations also realize significant value from these financially sustainable gifts.  

• A stable revenue stream. The sporadic nature of donations can be challenging for church administrators who need to budget for annual needs. Most church members tend to give the most during the holiday season—almost 15% of total annual donations are received in the month of December. But recurring donations even out the giving cycle and allow administrators to plan based upon a predictable revenue stream, so there are no surprises during months when giving isn’t as robust.  

• Increased revenue. Recurring donors tend to give more overall than one-time donors. Donors who enrolled in recurring giving donate 121% more in their first year than the average one-time donor, according to Giving USA.

• Greater donor lifetime value. According to Giving USA, recurring donors continue to give for an average of eight years, with the retention rate for recurring donors reaching 2X that of one-time donations (77% compared to 34%). Supporters who gave across multiple years contributed 1,519% more over time than those who gave once.

• Improved long-term planning. Because recurring gifts enable church administrators to predict revenue, they can better plan programming and financial investments knowing that there is an income stream to support initiatives. Administrators can also avoid unwelcome financial fluctuations that can necessitate terminating programs and investments, or postponing much-needed strategic projects.  

• Greater community engagement. Recurring donors make a long-term commitment to your congregation. This creates opportunities to deepen engagement and foster a sense of belonging to the community. That can (and should) involve regularly acknowledging recurring donors and expressing appreciation for their on-going commitment, as well as reinforcing the impact they are having and the key role they play in supporting your congregation.  

Encourage Recurring Donations

When offered the opportunity to give, the majority of donors prefer a monthly recurring gift, and believe it makes a greater impact than a one-time gift. That’s good news for congregations! It’s also why it’s so important to familiarize your congregation’s members with this easy and convenient option. Here’s how:  

• Urge current supporters to move to a recurring donation. Existing supporters are more likely to be receptive to the idea, as they are already giving to your congregation and may appreciate the added convenience.  

• Prominently add a giving button to your website. Make the recurring donation option the easiest one for donors visiting your website. Highlight how easy it is to click once and seamlessly donate every week (or every month)—without any additional steps required.  

• Promote the impact of recurring giving during service announcements. When you explain how making a weekly or monthly gift supports your mission—for instance, how just $25 per month can fund one child for a summer mission trip—congregants see the tangible impact of their on-going financial support.  

With Servant Keeper’s all-in-one management platform, churches can seamlessly offer recurring giving options to congregants and better manage revenue streams to improve operations. And, because our integrated platform allows you to boost engagement with personalized and relevant communications, you can express gratitude instantly and automatically to strengthen the bonds between your church and its members.

Discover how to benefit from recurring gifts with Servant Keeper. Learn more here: Servant Keeper | Platform | Online Giving

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