Introduction

Americans gave nearly $450 billion to charities in 2019, according to data from Giving USA, more than two-thirds of which came from individual donors. Charitable giving is the lifeblood of nonprofits. Which means that tools to manage donations and donor relationships are a critical need. Small and mid-sized nonprofits constrained by limited budgets and small staff need affordable tools to help them manage and grow their fundraising programs. Fortunately, today’s marketplace offers myriad options for nonprofits seeking low-cost fundraising tools. At its core, successful fundraising is built on relationships. For major gifts programs, these are one-on-one relationships between development officers and high net worth individuals. But this model is not feasible for direct response fundraising. For this group of donors, nonprofits look to donor engagement strategies that deepen connections between the organization and donors. In recent years, many donor management systems have broadened their offerings to keep pace with the growing desire of nonprofits to deepen engagement with their constituents. Fundraising software allows nonprofits to provide mass personalization—letting individuals know they are “seen” by a nonprofit and are integral to the organization’s success. To accomplish this, a system must be able to collect and repurpose a lot of data about…