Why Donor Acquisition Is Declining — and What Nonprofits Must Do to Fix It

For more than 30 years, I’ve been helping nonprofits clarify their message, deepen their influence, and strengthen their fundraising. And one theme continues to surface no matter the size, mission, or sophistication of an organization:

We are losing donors not because people don’t care — but because the experience we give them doesn’t match their generosity.

In this episode of The Influential Nonprofit, I sat down with David Blyer, Co-Founder of Arreva, who works with thousands of nonprofits across the country. His perspective is simple and powerful:

“There’s always a solution. But the first step is acknowledging the real problem.”

And the real problem isn’t lack of donors.
It’s lack of connection.

Let’s break down what’s really happening behind falling acquisition and retention rates — and how nonprofits can turn it around using smarter systems, better communication, and deeper engagement.

The Hard Truth: Donor Behavior Is Changing — and Many Nonprofits Haven’t Kept Up

You may already know the stats.
Acquisition is down. Retention is down.
But at the same time, overall charitable giving is up.

So what does that tell us?

It means donors are still giving… they’re just not giving to the same organizations every year. They’re spreading their dollars around based on:

  • where they feel the most connected

  • who acknowledges them quickly

  • which nonprofits make engagement easy

  • who demonstrates impact in ways they can clearly understand

In other words…

Donors aren’t disappearing — they’re redirecting.

And the reason is simple:
the experience matters more than the ask.

David shared a real story about a board member who gave a tribute gift and waited four months for the organization to acknowledge it. Four months. That donor didn’t just stop giving. He considered stepping off the board entirely.

This is not a fundraising problem.
This is a systems problem.

The Hidden Villain: Fragmented Technology

Most nonprofits (even tiny grassroots ones) are using:

  • one platform for email

  • one for events

  • one for online donations

  • one for peer-to-peer

  • one for donor management

  • plus spreadsheets, CRMs, and shared inboxes

When all those systems don’t talk to each other, here’s what happens:

Slow acknowledgement

If your event attendance lives in one system and donation data in another, someone has to manually move data over — which often happens days or weeks later.

Missed engagement moments

Someone hits reply on your newsletter to share a story or thank you… but because comms and development sit in two separate platforms, the fundraiser never sees it.

Team burnout

You’re not just managing donors — you’re babysitting software.

Donors feeling unseen

A late thank-you doesn’t feel like a thank-you at all.
It feels like an afterthought.

And when donors feel like an afterthought?
They move on.

Why Rapid Acknowledgement Matters More Than Ever

Studies show that if you don’t respond within 48–72 hours of a donor interaction, the positive emotional impact drops dramatically.

Think of donor enthusiasm like a heartbeat:

Event high → immediate dip → follow-up raises it again → dip → follow-up raises it again

But when the follow-up comes 30 or 45 days later?

There’s no heartbeat left to revive.

That’s why technology matters — not because software is exciting, but because donor experience is everything.

The Power of Integration: One System, One Database, One Seamless Experience

David explained it perfectly: if you want retention, acquisition, and engagement, you need an ecosystem that automates the steps for you.

Here’s what that looks like in real life:

✔ Event registration → enters database instantly

✔ Donation → instant thank-you

✔ Tribute gift → honoree notified automatically

✔ Board peer-to-peer page → new donors added immediately

✔ Staff alerted in real time → personal call within hours

✔ Segmentation → targeted communication for each donor type

✔ Stewardship → happens without chasing spreadsheets

This is how modern fundraising works.
This is how donors stay engaged.
This is how you stop money from slipping through the cracks.

Why Online Giving Must Be Easy (and Why Peer-to-Peer Is a Game-Changer)

Here’s a stat worth tattooing on your forehead:

61% of donors worldwide prefer to give online.

Shortened version you requested:
➡️ Most donors prefer to give online — so make it simple.

And peer-to-peer fundraising can double or triple your reach because donors trust their friends more than your marketing.

But here’s the key:

If your peer-to-peer tool isn’t integrated with your donor database, you're losing future donors every time.

A GoFundMe page will never send you donor data.
A true nonprofit P2P system will.

That means acquisition, retention, and stewardship — all done automatically.

Why The Website Still Matters

Your website is your front porch.
It’s where people decide in seconds whether you’re trustworthy.

You need:

  • a clear mission

  • compelling stories

  • mobile responsiveness

  • easy navigation

  • a prominent “donate” button

  • donation amounts tied to real impact

  • visuals and testimonials

  • simple forms with minimal steps

If your website feels outdated or confusing, donors assume the rest of your operations are too.

Partnering, Posting, and Showing Impact

Social media isn’t optional anymore.
It’s where donors learn, shop, connect, and decide.

You should:

  • use storytelling and emotion

  • show real faces, real outcomes

  • mix video, testimonials, and behind-the-scenes content

  • tailor content by platform (LinkedIn ≠ TikTok)

  • collaborate with local businesses, influencers, and media

  • use a consistent call to action

  • track what works — and adjust

Impact drives action.
Connection drives commitment.

Where Should an Executive Director Start?

If this feels overwhelming, you’re not alone.
Every nonprofit reaches a point where their systems can’t handle their impact anymore.

Here’s where I tell leaders to begin:

1. Get clear on what tools you’re using now.

List every platform, spreadsheet, login, and workaround your team relies on.

2. Identify where donor experience breaks down.

Late thank-yous? Lost messages? Slow follow-up?
Name the gaps.

3. Use ArREVA’s free checklist.

It’s a comprehensive guide to evaluating whether your systems support your mission or drag you down.

4. Choose integration, not patchwork.

One system, one database, one experience.
That’s the path to sustainable fundraising.

What’s Really at Stake Here

No nonprofit intentionally neglects donors.
Nobody wakes up thinking, “Let me ignore people today.”

But when the internal systems break down, the external experience breaks down with it.

And donors feel that.
Volunteers feel that.
Board members feel that.

The solution isn’t working harder — it’s working smarter.

And the organizations that shift now will thrive.

Final Thoughts: Your Donors Want to Feel Seen — Make That Easy

Fundraising is not about forcing people to care.
It’s about connecting with the people who already do — and treating them like the essential partners they are.

If your systems don’t support the experience you want to deliver, it might be time for something new.

David and the Arreva team have built an incredible library of free tools, guides, and resources to help nonprofits rethink their technology, streamline their processes, and build donor relationships that last.

You can find everything at Arreva's website — and I’ve linked their full checklist in the show notes of the episode.

If you want help building influence, strengthening your messaging, or elevating your donor experience, reach out to me anytime.

You deserve systems that support the impact you’re here to make.

Maryanne Dersch