In Back to the Future, Doc Brown says the Flux Capacitor is “what makes time travel possible.” For nonprofits, our partner Tim Kachuriak at NextAfter says the Flux Capacitor is what grows online revenue.
And while the movies may have predicted hover boards they could not predict the amount of information and power that we all now hold in the palms of our hands. In fact, more data has been created in the past two years than in the entire history of the human race. We have so much data that identifying which metrics are important to your organization can be overwhelming.
Thankfully, when it comes to driving online revenue, there are only three key metrics that matter: web traffic, conversion rate, and average gift size. Multiplying these together will give you your online revenue. Increasing one, two, or all three of these metrics, even by a small percentage, will have a major impact on your online fundraising revenue.
The Key to Time Travel
The Keys to Online Revenue
T=Traffic C=Conversion A=Average Gift R=Revenue
According to Nonprofit Tech for Good, 92% of nonprofits worldwide have a website but a surprisingly low percentage actually focus on driving traffic. Any communication you have with your donors or prospective donors should point them back to your website. From email appeals to social media posts to direct mail, make sure there is a clear link to a landing page on your website (need more fundraising social media tips)?.
To attract more traffic, consider a content marketing approach. For example, try publishing articles, blog posts or eBooks that drive interested visitors back to your website in order to view or download the content. The most important thing to remember here is that every time you send out communications, regardless of the type or channel, you must drive them back to your website.
Now that you’re driving traffic to your website, you need to focus on converting those visitors into donors – this is your conversion rate. There are many things you can do to improve your conversion rate and they all revolve around catering to your donor’s needs and expectations. Donors are looking for a quick and easy donation experience and you should be able to provide that to them.
To start, make sure you’re not sending your donors to a third-party webpage to donate. Mobile for Good found that Donors are 6 times more likely to complete a donation when kept on your organization’s website. You should also avoid forcing your donors to create an account or go through multiple pages to complete their donation. You need simple online giving forms, because the “friction” this creates is often enough to cause a donor to abandon the donation process altogether.
Not only do your donors want a simple donation experience, but they also want to know how their money is being used. Showing your donor the impact of their gift, as they are entering their donation information, greatly influences their decision to complete the donation.
These three key metrics are the foundation of our digital fundraising platform. We designed it with the donor experience in mind and with the goal to drive online revenue in big ways for your organization. Our customers have seen exciting results that have allowed them to focus on the most important part – fulfilling their mission in ways they never thought possible.