Here's a wild stat: Recurring church givers donate twice as much annually as non-recurring givers. That's from a giving study of 25,000 U.S. churches. Why? Because automated church donations make giving simple, predictable and stress-free. Church financial planning becomes easier. Church stewardship programs thrive. And the best part? Your members actually prefer it. Want in? Here's how to make it happen.
Table of Contents
- What is recurring giving and why is it important for churches?
- How can we set up recurring donations for our church?
- What are effective strategies to increase recurring giving in your church?
- How can we convert one-time donors into recurring givers?
- How can we measure and improve the success of our recurring giving program?
- Case Study: Average online giving increase of 159% in five years
What is Recurring Giving and Why Is it Important to Churches?
Before diving in, let's make we understand what church recurring giving is and why it's so important.
Understanding the Concept of Recurring Donations
Recurring donations are donations that happen on a schedule. They may be weekly, monthly or annual. They differ from one-time donations that are typically one-and-done.
A recurring donation is typically made through an automated process. When people give to your church, they will have the option to check off a box, allowing them to enroll in recurring donations. They can choose weekly church offerings or a monthly or annual donation and the donation amount.
Once the box is checked, automated systems automatically withdraw money from the account regularly. This system saves the church from setting up transactions for each payment. It also saves the donor the hassle of filling out a form whenever they want to donate.
Key Benefits of Recurring Giving for Churches
Recurring giving benefits churches in several ways. It provides the following advantages:
Financial Stability: Recurring donations mean almost guaranteed income. They enable churches to plan budgets and allocate resources to support their projects.
Increased generosity: Statistics show that small recurring gifts can add up to more giving over time. A Vanco study of 25,000 churches revealed that recurring givers give twice as much annually as nonrecurring givers.
Convenience for donors: Donors who wish to donate don't need to fill out a form with each donation, making the process more convenient. It also reduces decision fatigue over what to donate to and how much.
Stronger donor retention: Recurring donors are more invested in your church. They’re likely to offer support in ways that go beyond monetary donations.
How Recurring Gifts Enhance Church Financial Stability
Recurring church giving makes churches more financially stable. They:
Improve budget forecasting: Recurring donations help churches better predict their income to budget for various projects.
Reduce reliance on seasonal spending and fluctuating attendance: Churches often get inconsistent donations that depend on seasonal spikes and attendance. For example, they may generate more revenue during the holiday seasons when people are likely to attend church and experience droughts during the summer when people go on vacation. Consistent church donations ensure income throughout the year and make good church donation management much easier.
Enable long-term ministry planning and investment in outreach programs: Recurring donations help churches plan and budget for ministry activities and outreach programs that help them connect with and support their community.
How Can We Set Up Recurring Donations for Our Church?
The decision to set up church recurring giving should be a no-brainer. The question is how. The following sections will walk you through the process.
Choosing the Right Online Platform
Here are some features to look for in online giving platforms:
Security (PCI Compliance)
With donors entering personal information into your system daily, a secure platform is best. It should be PCI compliant, following standards and procedures that prevent fraud and protect customer data. Here are some PCI-compliant features to look for:
- Protection against viruses and malware
- Implementation of substantial access control
- Encryption of sensitive data
- Firewalls that protect data
- Regular updates that ensure your system aligns with the latest security standards
Integration
Your system should integrate with your existing software and account management tools. Smooth integration ensures a seamless setup process and saves you from purchasing additional technology.
Vanco is a donation platform you can trust. Our system integrates with over 60 church management systems to simplify tracking and administration. It adheres to the latest PCI compliance standards and measures.
Setting Up a User-Friendly Donation Form
Setting up a user-friendly donation form is the next step. Here are some processes that will support your goals.
Keep it simple: Avoid overly long forms people won't want to complete. Eliminate unnecessary fields to make donating easy.
Mobile-optimized design: Statistics show that 25 percent of donors use mobile giving apps. Ensure your donation form is mobile-friendly by creating fields that are large enough to fill out on mobile but don't overwhelm the screen. Create a responsive design that adjusts to various screen sizes. Enable auto-complete on fields like address and email to make it easier to complete forms.
Offer clear options: Allow users to check boxes rather than fill out their information to speed up the process. For example, you may create boxes for one-time and weekly, monthly or annual recurring church-giving. Include preset amounts like $25, $50 and $100. In addition to making the process more convenient, preset amounts can encourage more significant donations.
Provide a clear confirmation and thank you message: After the donation processes, ensure your system displays an explicit confirmation so the donor knows their confirmation went through. Automated church donations should also send a thank you message to their email to show appreciation and encourage ongoing loyalty.
Offer Multiple Payment Options for Recurring Gifts
People will also be more likely to give if they know they can use their favorite payment options. Offer various credit and debit cards and mobile wallets like PayPal, Google Pay and Apple Pay. You should also include ACH transfers, which are advantageous to churches because they offer low processing fees.
Churches should also provide clear instructions so people can easily cancel their subscriptions if they so choose. Although a cancelation is never a desired outcome, people will feel more confident signing up for recurring donations, knowing they can opt out whenever they choose.
What are Effective Strategies to Increase Recurring Giving at Your Church?
Since church recurring giving is so effective, churches should do their best to encourage it among members. Here are some helpful marketing strategies that support this trend.
Educating Your Congregation About Recurring Giving
The following faith-based fundraising strategies ensure your congregation understands recurring giving and its importance.
Talk about the importance of recurring church giving from the pulpit: Recurring giving should never dominate your sermons, but it may be mentioned regularly. Remind your congregation that their church member contributions support essential goals. Explain how they can easily set up regular contributions.
Create short explainer videos of visual guides: Setting up recurring donations should be easy, but short explainer videos ensure everyone understands the process. It lets them know how simple it is. Include them on your website near your donation forms to eliminate confusion.
Host a "Generosity Sunday": A Generosity Sunday can do more than collect donations that day. It can encourage people to sign up for recurring donations through your website. You may even have a computer available at the event so people can sign up live.
Promoting Recurring Donations Through Various Channels
Any channel you use for marketing can encourage recurring donations. Here are some examples.
Website: Your website is an excellent way to attract recurring donations. Use search engine optimization (SEO) elements to attract visitors. Then, place donation buttons at strategic locations on your website that take donors directly to your donation page.
Email Campaigns: Set up campaigns to solicit donations for a specific cause. Include links that connect to your donation page.
Social Media & Church App: Social media is an excellent way to encourage donations from your followers. You can also connect your church giving platforms with your church app so people can use it to donate. Use success stories and reminders to promote congregation donations.
Bulletins and Announcements: Bulletins and announcements typically update members with church news, such as events, new projects and recently achieved goals. They can be distributed via email, posted on the church website and hung on church bulletin boards. Each should include a gentle reminder to donate, even if they’re not directly related to charitable causes.
Sharing Impact Stories to Inspire Recurring Giving
People want to know they’re giving to a worthwhile cause. Impact stories show that donations go to good use. Here are some ways you can share them with your congregation.
Feature testimonials from members who have benefited from the church’s ministries: Donations are often used to support church ministries. Therefore, testimonials of anyone who has benefited from these ministries show the positive impact of donations.
Testimonials can come in text or video, although video is more engaging. You can place testimonial videos on your website, email them, post them on social media and include them in other marketing materials.
Real-world examples: Real-world examples show how donations can support church missions, activities and programs. Create videos, blogs and social media posts demonstrating how these videos help your congregation and remind users that donations make them possible.
Create short videos that showcase the impact of generosity: Videos may be the best way to share impact stories. They use audio and video elements to tell the whole story. Statistics show that 87 percent of people perform the desired action after watching a marketing video. Make videos short, engaging and concise to ensure you reach your goals.
Addressing Common Objections and Concerns About Recurring Giving
Recurring church giving is ideal for churches, but can cause church members to have concerns. Here are some common concerns and how to deal with them.
Trust Concerns
Considering the increasing number of cyber incidents, some people may be reluctant to share their financial information over the Internet. Churches can solve this issue with a PCI-compliant platform. PCI-compliant platforms utilize features like:
- Strong passwords: Choose passwords that are difficult to guess and need to be changed frequently
- Encryption of cardholder data: Cardholder data should be encrypted so it appears as code when viewed by unauthorized sources.
- Firewalls: Firewalls monitor incoming and outgoing traffic to ensure suspicious communication does not reach the network.
- Access Controls: Churches must ensure sensitive information can only be accessed on an 'as-needed' basis.
- System Updates: Systems should be updated regularly to meet the latest security standards.
- Risk Assessment: Churches should assess systems regularly to identify vulnerabilities and reduce risks.
Churches can make customers aware they are protecting sensitive information by purchasing SSL certificates. The browser title will appear HTTPS instead of HTTP, letting donors know the system is protected. They may also include a statement letting donors know they are donating through a secure site.
Flexibility Concerns
Donors may also be concerned that they won't be able to cancel their payments. They may think the church will continue billing them once they subscribe, even when they no longer wish to be billed. Churches can make donors feel more confident by offering options to cancel, pause or modify donation amounts anytime.
Offer Options to Give in Person
Some people may have been burned through online giving before and prefer to give in person. Make giving easy for those people by letting them know precisely when and where to donate. You may also offer hybrid options so people can enjoy the best of both worlds.
How Can We Convert One-Time Donors into Recurring Givers?
Churches can attempt to get new donors to give to their organization, but their efforts may be more effective if they try to convert one-time donors into recurring donors. They will reach out to people who are already interested in their organization, saving time and money. According to an Outbound Engine study, the success rate of selling to a customer you already have is 60 to 70 percent, while the success rate of selling to a new customer is 5 to 20 percent.
So, the question is, how can you get a one-time donor to convert into a recurring donor? Here are a few possible solutions.
Send a thank you email within 24 hours of receipt: Part of the satisfaction of giving is knowing that your donation was appreciated. Make donors feel appreciated by sending out a thank you email. Automate the process to ensure emails are sent out promptly and no donor is overlooked.
Personalize messages: A thank you will seem more heartfelt if personalized with the donor's name and the cause they donated to. You may also ask if they want to turn their donation into a monthly gift.
Follow up with gentle reminders and stories: Continue communicating with donors via email. Make them aware of the impact their donations have made. Explain what projects you’re currently working on. Each email should remind them that recurring church-giving options are available.
Highlighting the convenience and impact of recurring donations
Gentle reminders can be effective, but occasionally, you may want to get a bit more direct with specific information on how much recurring church donations can help. Consider writing a blog or sending out a newsletter with the following information.
Explain how effortless church recurring giving is: Provide an explainer video, text or images showing how easy it is to set up recurring donations. Ensure donors understand it's a set-and-forget process once recurring donations are implemented. You may also mention that your church donation software is secure and can be canceled anytime.
Use data points: Use data points to let donors know how valuable recurring donations are in helping the church fund programs that support the community. Statistics are ideal because they are presented as facts and increase transparency. A Vanco study reveals that recurring donors give 120 percent more than nonrecurring donors. You can use this statistic to demonstrate the value of recurring donations.
Include a visual infographic demonstrating long-term impact: People may quickly get bored of numbers. A visual infographic will ensure they digest the information you’re providing.
Offering Incentives or Special Recognition for Setting Up Recurring Gifts
Churches may inspire recurring online church donations by offering special incentives or recognition. Here are some practical reward suggestions.
Feature Recurring Donors in Newsletters: Designate a special section of your newsletters to recognize people who sign up for recurring donations or make sizable donations to your church. People may want to give, knowing they will receive this recognition. If you plan to mention someone in your newsletter, get their permission first to avoid unpleasant situations.
Offer Perks: Churches may also offer perks to members who sign up for recurring donations. For example, they may allow them to pre-register for events or receive VIP treatment at these events for no additional cost. Churches may also provide exclusive updates on project progress and other church news to reflect their gratitude.
Matching Gift: With this system, a church sponsor matches donor gifts, doubling the church's revenue. There is typically a limit to the matching amount. Donors are often inspired to give, knowing their donation has more impact.
How Can We Measure and Improve the Impact of Our Recurring Giving Program?
Churches should measure the impact of their recurring giving programs to determine what's working and what's not. Doing so involves tracking key metrics as follows.
Tracking Key Metrics for Recurring Donations
Monitor recurring church giving donor retention rates: Recurring donor retention rates measure engagement levels. Are your donors interacting with your emails and social media? High engagement leads to increased retention and long-term giving.
Track average monthly church donations per donor: Churches should keep track of donations from recurring and nonrecurring donors.
Identify drop-off rates: Churches must also consider when donors cancel or pause their giving. They can determine if the reduced income is related to specific incidents or changes within the church. The church may be able to avoid similar occurrences in the future.
Analyze Donor Retention and Average Gift Amounts
Compare one-time vs. recurring donor lifetime value: Recurring donors typically have a higher lifetime value. However, some recurring donors may be outdone by large gifts. Churches need to cater to their most significant sources of income.
Segment donors by frequency and amount: Segmenting donors by frequency and amount can help churches create more personalized marketing materials. For example, they may notice that amount and frequency are directly related to other demographics. They can tailor their communication accordingly to make it more engaging.
Use Exit Surveys: Churches must determine why donors pause or cancel their giving to try to avoid similar occurrences in the future. The best way to do this may be to provide exit surveys that pop up immediately after the donor cancels. Asking them directly may provide insight beyond data collection and feedback on church improvements.
Using Data Insights to Refine and Improve Your Recurring Giving Strategy
Identify trends in giving behaviors and adjust appeals accordingly: Data can provide insights into giving behavior, allowing churches to adjust their appeals. For example, if they notice inflation impacts giving, they may use an appeal like, "Every penny counts." If cyber events impact giving, they may mention the church's secure giving features.
A/B test different email elements: A church's marketing approach can also impact giving. Churches can use A/B testing to determine which elements of their marketing materials connect to customers and which turn them off. Small changes in subject lines, calls to action and donation form designs will help you pinpoint what's working and what's not.
Implement donor feedback: Data helps identify what's leading to various customer behaviors, but feedback provides more direct communication. Churches may consider sending out feedback forms, including automated forms on their website, or printing out physical forms to leave around the church to learn about donor favorites and pain points.
Case Study: Average online giving increase of 159% in five years
What if your church could grow online giving by 159 percent in five years? That's precisely what churches using Vanco's online giving platform achieved.
Through recurring church giving programs and digital giving solutions, these churches didn't just see short-term gains; they built a foundation for long-term financial stability and the impact didn't stop there. A study of 25,000 churches found that recurring givers donated twice as much annually as those who gave one-time gifts.
Want to see how your church can experience the same results? Explore the entire case study and start transforming your giving strategy today.
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