How to Use Data to Build a Sustainable Fundraising Foundation for Your Nonprofit
As a nonprofit leader, every decision you make shapes your ability to achieve your mission. But how often are those decisions backed by reliable data versus well-meaning guesswork?
By the end of this blog, you’ll understand how to use data to guide your strategy and how to do so sustainably without adding countless hours of work to your plate. Plus, I’ll walk you through creating a simple dashboard to put all that data to work—no tech degree required.
If, by the end, you’re ready to dive deeper, download my free eBook, How to Build a Fundraising Foundation & Consistent Revenue. In this PDF guide, I take you step-by-step through creating a sustainable, data-informed fundraising program that will fuel your mission for the long term. It even includes an interactive table of contents that allows you to click on the resource you want to review and jump right to it.
Now, let’s get on to the data.
Why Data Matters for Nonprofits
Nonprofits face the challenge of doing more with less. Every dollar and hour must count. So how do you ensure your efforts lead to meaningful results? By letting data drive your decisions.
When you track and analyze the right metrics, you gain the power to:
Understand Your Audience: Learn what motivates your donors and the communities you serve.
Track Progress: See what’s working, identify gaps, and continuously improve.
Adapt Quickly: Make informed adjustments to your strategy instead of relying on trial and error.
Nonprofits that embrace data see higher donor retention, stronger campaigns, and a greater impact.
The Data Metrics That Matter Most for Nonprofits
To make data work for your mission, focus on tracking metrics that directly support your fundraising, programs, and marketing. Here are the essentials:
Fundraising Metrics
Donor Retention Rate: How many donors give again each year?
Cost to Raise a Dollar (CRD): Total fundraising costs divided by funds raised.
Average Gift Size: The typical donation amount for your campaigns.
Recurring Donors: Percentage of donors giving monthly.
Campaign Return on Investment (ROI): Revenue minus expenses, divided by expenses.
Program Metrics
Outcomes Versus Goals: Are your programs meeting their objectives?
Impact Per Dollar: What does it cost to achieve specific outcomes?
Participant Growth: Are more people benefiting from your work?
Beneficiary Feedback: What do the people you serve say about your programs?
Marketing Metrics
Email Engagement: Open rates, click-through rates, and conversions.
Social Media Performance: Engagement (likes, shares, comments) and follower growth.
Website Analytics: Page views, bounce rates, and time on site.
How to Build and Use a Dashboard
You don’t need fancy software to organize your data—a basic spreadsheet can do the job. Follow these steps to build a dashboard:
Set Clear Goals: Define measurable objectives, like increasing donor retention by 10%.
Choose Metrics: Track the data that matters most to your goals.
Gather Data: Use tools like your CRM, email platform, or social media analytics.
Keep It Simple: Color-code trends, add charts and make your dashboard user-friendly. Check out this post for visual tools you can use to improve your fundraising strategy.
Share Monthly:
Team Meetings: Highlight wins, challenges, and next steps.
Board Meetings: Provide a clear, big-picture overview.
Use your dashboard to spot trends and take action. For example:
If donor retention drops, focus on stewardship.
If email click-throughs are low, tweak your subject lines and calls to action.
Use Simple Tools to Track Data
Forget expensive software or complicated systems. A straightforward spreadsheet in Google Sheets or Excel is all you need to get started. Create tabs for fundraising, programs, and marketing. Update your data regularly, and soon, you’ll have a clear picture of what’s working and where you can improve.
Start Using Data to Grow
You don’t need to be a tech genius to make data work for you—you just need a plan. With the right metrics, a simple dashboard, and consistent updates, you’ll make better decisions, inspire your team, and increase your impact.
Need more guidance? Download my free eBook, How to Build a Fundraising Foundation & Consistent Revenue, for an in-depth guide to creating a sustainable, data-driven approach to fundraising. Inside, you’ll find a clear plan of action for using data to raise more for your mission.