Major Gift Fundraising: Key Tactics and Best Practices

Article from the Growth & Co Blog   |  Posted on November 8, 2023 by Larissa

As leaders committed to important causes, we recognize the important role fundraising plays in our organization's goals. Among the different fundraising methods, "major gift" work (securing donations in the thousands and millions) is an effective way to ensure the resources needed to make a long-term difference. In this blog, we explore the importance of major gift work, compare its cost-effectiveness to other strategies, and provide helpful advice for building and improving successful major gift programs in our organizations.  

Why Major Gift Work Matters:

Major gift work involves cultivating relationships with generous donors with the interest and capacity to make significant financial contributions. These gifts can significantly impact an organization's ability to accomplish its mission and create lasting change in communities. By focusing on major gifts, nonprofits can secure more substantial funding that can be used to expand programs, improve services, and reach more people in need. 

Cost-Effectiveness of Major Gift Work:

While various fundraising strategies exist, major gift work stands out for its cost-effectiveness. Studies have shown that major gift fundraising tends to have a lower cost per dollar than other fundraising strategies. Unlike events or direct mail campaigns that require substantial expenses and time, major gift work relies heavily on personal relationships and one-on-one interactions, often over a simple cup of coffee. This yields higher net returns on investment. 

Effective major gift fundraising tactics involve careful planning, relationship-building, and personalized stewardship. Here are some key tactics to consider:  

1. Research and Prospect Identification: Conduct thorough research to identify potential major donors. Look for individuals with a history of philanthropy, a connection to your cause, or a demonstrated interest in your organization's mission. Utilize wealth screening tools and data analysis to assess donors' capacity and inclination to give at a major gift level.  
2. Personalized Cultivation: Develop personalized cultivation strategies for each potential major donor. Focus on building authentic relationships based on shared values and interests. Arrange one-on-one meetings, site visits, and small, intimate events where donors can directly interact with your organization's leadership and beneficiaries.  
3. Tailored Solicitation Approach: Tailor your solicitation approach to each donor's preferences and interests. Clearly articulate how their major gift will directly impact your organization's mission and the communities you serve. Highlight specific programs or initiatives that align with their philanthropic goals and communicate the tangible outcomes their contribution will help achieve.  
4. Effective Stewardship: Implement a comprehensive stewardship plan to ensure that major donors are thanked and informed about the impact of their contributions. Provide regular updates on the progress of the programs they support, invite them to engagement events, and recognize their generosity in a way that aligns with the organization's and the donor's values.  
5. Peer-to-Peer Solicitation: Leverage existing relationships with board members, volunteers, and other major donors to facilitate peer-to-peer solicitation. Encourage influential supporters to advocate for your organization's mission and introduce potential major donors to your cause.  
6. Legacy Giving Programs: Integrate legacy giving programs into your major gift fundraising strategy. Educate donors about the benefits of planned giving and how they can leave a lasting legacy by including your organization in their estate plans. 
7. Utilize Technology: Leverage fundraising software and donor management systems to streamline your major gift fundraising efforts. Use technology to track interactions, monitor donor engagement, and personalize communications effectively.  
8. Continuous Relationship Building: Cultivate relationships with major donors continuously, even after receiving their gifts. Maintain open communication, demonstrate impact through success stories and data, and involve them in your organization's ongoing development and progress.  

By incorporating these strategies into your major gift fundraising approach, you can build strong and enduring relationships with donors, inspire continued support, and secure the resources needed to advance your organization's mission.  

If you want to strengthen your organization's major gift efforts, our team is here to support you. Contact us today for comprehensive major gift training, coaching, and support with prospect research.