How to raise funds for charity

There are plenty of ways to raise funds for your charity, but even the best efforts fall flat without a clear strategy. That’s especially true today as donor fatigue, economic pressure, and rising competition make it harder than ever to hit your fundraising goals. 

Success depends on having both an evidence-based roadmap and the right fundraising tools. Following a step-by-step approach helps your nonprofit raise more money, build lasting donor relationships, and drive long-term impact.

Set clear, mission-driven goals

Every successful fundraising effort starts with a clear goal. Tie that goal to a specific project, program, or urgent need because vague asks don’t convert. Donors give more when they know exactly where their money is going.

Make your goals SMART: Specific, Measurable, Achievable, Relevant, and Time-bound. For example, instead of having a goal of “raise money for scholarships,” make it SMART with “raise $75,000 by October 1 to fund 30 full scholarships for low-income students.” 

You can then use donor prospect research software to find potential donors who are interested in education, have funded scholarships in the past, and have the capacity to give a significant gift toward your target amount. The sharper the goal, the easier it is to track, optimize, and rally support around.

Build transparency into every stage to build donors’ trust. Share your campaign goal, your progress, and the impact each dollar will have (or has had in past campaigns). According to research, around one-third of potential donors research charities before giving (page 1 of the PDF), and many say they’d give more if they saw stronger results.

Ground your campaign in your mission and story

Your mission is the driving force behind every fundraising effort. It defines why you need support and what success looks like. Without it, campaigns drift, and donor trust erodes.

Clarify the story behind any appeal before launching it. A compelling story builds an emotional connection and helps donors see themselves as part of the solution. Begin by defining the following:

• What urgent need are you addressing?
• How will a donation create change?

Make your mission visible across your campaign page, emails, and social media posts. When donors understand your “why,” they’re more likely to give and continue giving.

Build a strategic fundraising plan

A strategic fundraising plan guides every step of your campaign, helping you stay focused, organized, and effective from start to finish.

Step 1: Evaluate your past campaigns

Take time to assess your previous fundraising campaigns before launching a new one. What worked? What didn’t? The answers will sharpen your strategy and help you raise more money, with less guesswork.

Start with a simple SWOT analysis by identifying your past campaign’s strengths, weaknesses, opportunities, and threats. For example, let’s say your last Turkey Trot attracted 500 runners but lost momentum afterward. A quick analysis might look like this:

• Strengths: Best turnout to date, with 500 entrants. Popular local course.
• Weaknesses: Low donor engagement post-event.
• Opportunities: New partnership in the pipeline to help promote next year’s run.
• Threats: Rising costs for permits, concessions, and participant swag that affect quality and ROI.

This kind of reflection helps you spot what’s working, where you’re losing steam, and how to improve future results.

Get more insights

Go deeper by reviewing donor data and campaign performance:

• Did you hit your fundraising goals?
• Were there unexpected costs or low-return channels?

Look for trends across the past few years, like patterns in donor behavior, drop-offs after first gifts, or seasonal spikes. This step helps you prioritize what to repeat, improve, or retire.

Tracking metrics is important to successful campaigns. Look at donor retention, average gift size, and conversion rates. It’ll help you avoid costly missteps and build smarter, more focused fundraising strategies going forward.

Step 2: Understand and segment your donor audience

Fundraising success starts with knowing who you’re talking to. When you understand your donors’ motivations, behaviors, and preferences, you can tailor outreach that resonates and converts.

Know who gives and why

Dig into your donor base and answer these questions:

• Who are your most consistent givers?
• Who donates once a year?
• Who gives one-off donations?

Look for patterns:

• Giving frequency
• Average gift size
• Response to campaigns

Use that data to answer these essential questions:

• What drives your donors to give?
• How do they prefer to engage (e.g., email, texts, live calls, in-person meetings)?
• How can you deepen those relationships?

Break donors into actionable segments

Donor segmentation lets you group donors by behavior or profile so you can speak to them in ways that feel personal and relevant. Common segments include:

• First-time donors
• Recurring givers
• Major donors
• Lapsed donors
• Event attendees
• Volunteers
• Online donors
• Local donors

Use this segmentation to tailor your messages to meet each group where they are. A first-time donor needs a warm welcome and mission clarity. A major donor expects impact-driven updates and strategic asks.

Use data to unlock deeper insights

Manual segmentation can only take you so far. Donor prospect research software with predictive modeling and analytics helps you identify giving capacity, philanthropic interests, and engagement signals. These tools help you prioritize your outreach.

Knowing your donor segments improves communication and increases donor conversion and retention across all your fundraising campaigns.

Step 3: Choose your fundraising approach

Your strategy to raise money should reflect your mission, budget, and audience. Choosing the right approach helps you maximize impact without wasting time or resources.

Offline fundraising strategies

Offline fundraising, like events, galas, community challenges, or silent auctions, builds strong emotional connections. These campaigns often result in larger gifts but require more planning, staff, and budget.

Best practices:

• Build in-person experiences that align with your mission.
• Plan logistics and budget early to avoid last-minute surprises.
• Use follow-up outreach to capture post-event donations.

Online fundraising strategies

Online fundraising is fast, scalable, and low-cost. Think online donation pages, crowdfunding, and social media outreach. These methods are ideal for reaching broad audiences, especially young donors who prefer digital engagement.

Best practices:

• Make your donation page mobile-friendly, with clear CTAs and minimal friction.
• Use segmented email campaigns for targeted outreach, which can lead to higher conversions.
• Consider SMS and text-to-donate to make giving easier in time-sensitive campaigns.
• Track clicks and conversions to refine messaging and channels over time.

Peer-to-peer fundraising (P2P)

Peer-to-peer fundraising helps you reach new donors by empowering your supporters to raise money within their own networks. Give them a supporter toolkit with branded graphics, message templates, and a link to your fundraising page. When it’s easy to share, your mission spreads faster and donations grow.

Best practices:

• Set a campaign goal and a leaderboard to motivate peer fundraisers.
• Celebrate and spotlight top fundraisers to boost morale and engagement.
• Equip supporters with content that makes it easy to tell your story.

Match the campaign type to your donors

Different donors respond to different formats. High-net-worth donors may respond to personal outreach, private dinners, or formal events with high-value auction items. Younger audiences might prefer to donate on your fundraising page or participate in fun runs or peer-led challenges.

Best practices:

• Use donor segmentation to guide your channel and format decisions.
• Consider donor expectations: some want recognition and others want transparency.
• Pair the right format with the right message to drive engagement.

Also consider what your organization can realistically support. Fundraising events demand more time, money, and coordination than digital campaigns, but they also offer deeper engagement with your donors.

Align your campaign with your brand

Not every campaign fits every organization. A health nonprofit might thrive with awareness challenges, while an arts organization may do better with performances or gallery events. Choose formats that reflect your values and resonate with your supporters.

Tip: For new ways to raise funds that align with your budget and donor base, explore our fundraising ideas guide.

Step 4: Define your campaign timeline and milestones

Set a clear timeline aligned with your SMART goals and key giving seasons like year-end or Giving Tuesday. A well-defined schedule helps your team stay on track and donors feel a sense of urgency.

Short-term campaigns should have strong hooks and clear deadlines to motivate fast action. Longer campaigns, like capital campaigns, need milestone goals and regular progress updates to maintain momentum and donor trust.

Step 5: Access resources and plan accordingly

Successful campaigns depend on having the right people, tools, and support in place. Identify everything you’ll need upfront to stay organized and avoid surprises.

Key resources include:

• People: Staff, volunteers, or contractors needed to execute your campaign.
• Software: Nonprofits can streamline fundraising by using the right tools:
  • Fundraising CRM software helps you manage donor data, track interactions, and coordinate outreach across teams. A strong fundraising CRM centralizes efforts, reduces friction, and increases donor retention.
  • Donor prospect research software helps you identify and prioritize high-value prospects based on giving history, affinity, and capacity.
  • AI for nonprofits automates and personalizes donor engagement at scale, making it easier to deliver the right message to the right person at the right time.
  • Marketing automation tools allow you to launch, monitor, and optimize multi-channel campaigns across email, social media, and paid ads.
  • Project management software keeps your team aligned, your timelines clear, and your fundraising campaigns on track.
• Venue: It’s essential for in-person events. Remember to book early to avoid scheduling conflicts.
• Permits, insurance, and licenses: Check the local requirements to ensure compliance.
• Goods and services: Plan ahead for food, beverages, porta-potties, swag, and other essentials.

A realistic resource plan helps your team focus on execution and donor engagement, not last-minute logistics.

Step 6: Build a focused fundraising team

You need a clear team structure to stay organized and hit your fundraising goal. Even small fundraising campaigns have many moving parts.

In many nonprofits, the whole team is involved in campaigns. This makes defining roles essential so that things don’t slip through the cracks. Build a team with the right mix of skills and accountability.

Key roles you need to cover include:

• Marketing and promotion: Plan messaging, run outreach, and drive campaign visibility.
• Partnerships and sponsorships: Secure support from businesses or major donors.
• Volunteer management: Recruit, train, and lead your volunteer force.
• Technology and tools: Oversee the fundraising software, donation platform, and integrations.
• Event coordination: For in-person fundraising events, manage logistics, vendors, and guest experience.
• Finance and reporting: Track donations, ensure compliance, and report on outcomes.
• Data analysis: Monitor performance, identify gaps, and optimize in real time.

Once you have your fundraising plan in place, it’s time to focus on outreach.

Launch your marketing campaigns

Marketing powers your fundraising outreach and puts your message in front of the right audience. A well-planned and marketed campaign ensures your cause gets noticed and inspires action.

• Choose the right channels for your audience. If you’re organizing a fun run at a local park, prioritize local community outreach using flyers, posters, community radio, and neighborhood Facebook groups. For national or online campaigns, use email, social media platforms, SEO, and paid digital ads to raise awareness.
• Use consistent branding. Your campaign name, images, tagline, and call to action should be clear and repeated across every touchpoint. Remember, repetition builds familiarity and familiarity builds trust.
• Consider paid marketing. If your budget allows, paid media can amplify your campaign. However, it must be used strategically, and targeting is key. Some options include:
  • Social media ads (Facebook, Instagram, LinkedIn)
  • Google Ads or PPC
  • Local radio or TV spots
  • Print media or mailers
  • Billboard or transit ads
  • Podcast sponsorships

Tip: If you decide to use paid marketing, set a clear budget and monitor your return on investment carefully. Make sure each dollar spent moves you closer to your fundraising goal.

Make giving easy from the start

Once donors land on your campaign page, don’t let a clunky online donation form or vague messaging stop them from giving. A smooth, compelling donation experience is essential for turning interest into action.

• Start with a short, mobile-friendly donation form. Limit the required fields, offer autofill, and test across devices to remove friction.
• Design a fundraising page that builds trust and urgency. Use a clear, action-driven title and a persuasive description that explains exactly how donations make a difference. Add a visible progress bar to show momentum.
• Give donors flexible ways to give. Include options for one-time donations, recurring gifts, matching donations, and digital wallets like PayPal or Apple Pay. Reinforce credibility with testimonials and create urgency with limited-time appeals.

Leverage strategic partnerships

Partnerships give your campaign access to wider audiences and shared resources. The key is alignment. Choose partners whose values and mission complement yours and who are trusted by your donors.

Start with shared goals. Whether it’s a local business, a corporate sponsor, or a community influencer, outline how your partnership benefits both parties. What do you both gain? Is it brand awareness, goodwill, tax benefits, or something else?

Make it easy to collaborate. Provide partners with marketing collateral and key messaging so they can help promote your campaign through their networks, newsletters, or customer-facing platforms. The right strategic partnerships will increase visibility, lower costs, and help you hit your fundraising goal faster.

Engage and steward your donors

You need to retain your current supporters while cultivating deeper relationships over time to grow your impact. Donor engagement needs to continue to develop rather than end after a gift. 

Keep your existing donors engaged

Start with the people who already believe in your mission.

• Donor retention is more cost-effective than acquisition. Before chasing new prospects, make sure you’re engaging the people who’ve already supported you.
• Start with strategic outreach. Identify which donors in your database are a good fit for your current campaign based on past giving history, giving capacity, and affinity to your cause. Use prospect research software to help you surface potential donors and spot new engagement signals.
• Make it personal. Personalized outreach performs better because it shows that you care. Mention past donations, volunteer work, or previous campaign involvement when reaching out. According to McKinsey, 71 percent of donors expect tailored communications from the nonprofits they support.
• Use multi-channel touchpoints. Emails, phone calls, texts, and handwritten notes all play a role in stewardship. Match the channel to the donor’s preference and giving level.
• Keep them engaged beyond the ask. Share campaign updates, impact reports, and behind-the-scenes content that shows how their gift is making a difference. Stewardship is about nurturing long-term relationships that sustain your mission.

Tip: Use AI for nonprofits combined with a fundraising CRM to automate personalized stewardship touchpoints. This will ensure your donors hear from you at the right time with the right message, without overwhelming your team.

Cultivate and secure major gifts

Major gifts often make up the bulk of your campaign revenue. In fact, the Pareto principle applies here: 80 percent of your funding may come from just 20 percent of donors. That makes a strong, personalized approach essential.

• Start by identifying the right prospects who have the propensity, affinity, and capacity to give. Prospect lists and donor research software help you zero in on the high-value donors most likely to support your cause.
• Build real relationships before making the ask. Major donors expect personalized outreach. Invite them to an event, offer behind-the-scenes access, or set up one-on-one meetings with your leadership team. Make them feel connected to your mission and invested in its success.
• After the gift, don’t go quiet! Share impact updates, invite continued involvement, and show them they are a key part of your organization’s future. Strong major gift stewardship builds trust and sets the stage for repeat support.

Evaluate your campaign performance

Monitoring progress during your campaign helps you spot issues early and optimize results in real time.

• Measure what matters. Review your KPIs and campaign goals at regular intervals. Are you on track, ahead, or falling behind? Useful metrics include donor conversion rates, average gift size, retention rates, and cost per dollar raised.
• Show your progress. Using visual tools like progress bars or thermometers showing money raised can keep both your team and donors motivated.
• Keep your data clean. Good data hygiene makes accurate tracking possible. Set clear procedures for how data should be entered, audited, and corrected. For example, assign one person to verify donor entries daily and flag inconsistencies.
• Adapt in real time. If something’s off, adjust quickly. Reroute more budget into high-performing channels or boost outreach to under-engaged donors. Don’t wait until the campaign ends to look back—optimize while it’s still running.

Build momentum that lasts

Raising funds for charity is about hitting a target and building momentum that lasts. To do that, you need creativity, structure, data, and the right tech to back it all up.

With mission-driven goals, smart segmentation, and clear workflows, your team can run campaigns that raise more money with less effort. Tools like prospect research software, fundraising CRMs, and AI-driven engagement platforms allow you to scale what works and build donor relationships in the process.

---

Bre Alexander

Bre Alexander is a writer and marketer focused on helping nonprofits, healthcare organizations and higher-education institutions improve their fundraising and advancement efforts to fuel their mission.