Donor contributions are the fuel that keeps nonprofit organizations running. Without donors, nonprofits couldn’t stay operational and continue working toward their missions.
Sending donor thank you letters acknowledges the essential role donors play in keeping nonprofits afloat and helps nurture the relationship. Crafting the perfect message can be tricky, however.
This guide will teach you best practices for how to write a thank you letter to a donor, from formatting to personalization.
Introduction to donor thank you letters
Everyone, including donors, likes to receive thanks when they do something helpful or important for someone else. Even a simple thank you recognizes their contribution.
Your donor thank you letters can do more than offer simple “thanks,” though. A well-crafted thank you message shows your donors that you value them and that they’re making a difference.
So, how do you thank a donor in a letter? The essential components of a donor thank you letter are acknowledgment, gratitude, and an invitation to stay involved. You note that the donor contributed to your organization, thank them for that contribution, and provide the next steps or ways to keep in touch.
The role of gratitude in nonprofit donor relations
That raises a new question—how do you show gratitude to donors? It’s easy to tell when someone is offering insincere thanks. Make sure your thank you letters contain genuine gratitude for the donors’ donations.
These donors are making a sacrifice to contribute to your organization. Sincere messages of gratitude should recognize that sacrifice and appreciate the positive impact it will have.
The importance of timely and personalized thank you letters
Sending personalized thank you letters soon after donors contribute to your organization is a great way to maintain strong donor relationships. Personalizing the notes helps donors feel like more than just another number to your organization. Ensuring your thank you letters are timely shows you’re on top of things and didn’t forget about their contribution.
Impact of thank you letters on donor retention and relationships
It’s challenging to find new donors and entice them to contribute. Strengthening your existing donor relations and improving your retention rates is often a more effective strategy for ensuring a steady flow of donations.
In 2022, the average donor retention rate was 42.6%, meaning less than half of new donors contribute again to any given nonprofit organization. Some of the reasons why donors don’t stick around include:
- Not knowing where their money went
- Feeling unappreciated
- Thinking the organization forgot about them
- Receiving poor communication or having a poor donor experience
- Forgetting about the organization
A well-timed thank you letter can address almost all of these issues that lead to donors lapsing. Send timely thank yous to boost your retention and improve your organization’s relationship with donors.
Crafting impactful donor thank you letters
So, how do you write a thank you for a nonprofit? Here are some best practices to keep in mind:
- Send your thank you right away. Sending your thank you letter within the first three days of receiving the contribution helps solidify the relationship with the donor and shows you care.
- Use a warm tone. Overly formal thank you letters may not sound as genuine as messages with a friendly, warm tone.
- Be specific. When you tell donors how you’ll use their funds, use specific, accessible language. Phrases like “put to good use” or “going to a good cause” don’t mean much to donors.
- Personalize your message. Personalized messages that include the donor’s name and possibly other unique details stand out from bland, generic thank yous. People appreciate customized thanks.
- Add a call to action. You want donors to stay involved in your organization, so provide ways to do so. Avoid asking for more donations; include links to your social media accounts or website.
- Keep it short and sweet. Donors may not read through a lengthy thank you message. Cover your key points and direct them to your website for more details if necessary.
Incorporating donor-centered language and tone of voice
Remember that your donor thank you letters are about your donors and their contributions. Your thank you message won’t sound as sincere if you use language focused on your organization instead of the donors. For the best messages, use donor-centered language and an upbeat tone of voice.
For example, phrases like “our nonprofit is working toward” are less effective than “thanks to your support, we can…” The second phrase puts the focus on the donor and what they made possible, which will make them feel valued.
Try including some of these donor-centered phrases:
- Your gift/your contribution
- With your help
- When you give
- You made [blank] possible
- Without you, we couldn’t accomplish [blank]
Effective communication strategies
The exact contents of your thank you letters will vary depending on your organization’s focus and style. Use a donor thank you letter template for inspiration:
Thank you letters for nonprofits templates
General thank you example
“Dear [Name],
We are so grateful for your thoughtful contribution of $[X] to [Organization Name]. With your help, we will be able to do [X] and [Y]. Your gift will go directly toward [X project]. The impact of this project will be [X].
Thank you again for all you do. We would love to keep in touch. You can sign up for our newsletter at [link].
Signed,
[Name of someone at your organization]”
Recurring donation thank you letter example
“Hi [Name],
Thank you for your ongoing support of [X organization]. It’s donors like you who make what we do possible. Since your last donation, we have accomplished [X], [Y], and [Z] thanks to your support. We can’t thank you enough.
Take care,
[Name and role at organization]”
Adapt these templates to each donor and include details about your organization’s efforts. Try not to use the same template multiple times with the same donor, as that makes your thanks seem less genuine.
Donor thank you letter examples
These real donor thank you letter examples are incredibly effective.
Structuring your thank you letter
The general structure of your thank you message is a quick introduction, body, and conclusion. In the introduction, you greet the donor and thank them for their contribution to your organization.
In the body, you can include any details you think the donor will care about. Consider sharing stories of real people who benefit from donations in this section. These stories highlight the impact your organization has and the importance of donations.
In the conclusion, wrap up your message and invite the donor to stay in touch. Include a way to contact you if they have any questions or concerns. Thank them again, then sign off with the name of someone in your organization. Using a specific person’s name, whether it’s your president, the head of fundraising, or anyone else, feels more personal than sending the message from your entire organization.
Best communication channels for sending thank you letters
You have a few different channels available to send donor thank you notes. The two most popular are email and postal mail, each with its own pros and cons.
Physical mail
If you choose to send your thank you notes through the postal mail, you must decide between handwriting and typing those notes. Handwritten thank you notes are personal and make your organization seem more grounded, but they’re very time-consuming. Typed thank you notes allow you to copy and paste some sections that appear repeatedly in your message, saving time.
In either case, sending physical mail requires more supplies like paper, stamps, and envelopes. You must also deliver them to a post office or mailbox and risk them getting lost before reaching the donors.
Thank you email campaign
Donor thank you email campaigns eliminate these issues. With email, you don’t have to worry about any physical supplies or leaving the office. You can also save time using thank you email templates you can customize for each donor.
Email messages allow you to send images, links, and videos. Multimedia thank you letters like these may be more engaging for donors.
You also have the option to segment your contact list with email marketing. For example, you can group all the repeat donors and send them specific messages while writing other messages to new donors.
Another digital thank you option is sending texts, although it is less popular. SMS messages allow for shorter and faster communications.
Conveying appreciation beyond words
If you want your donors to feel appreciated, you may need to go beyond words.
More creative ways to thank your donors
Other than thank you letters, you can use other creative methods to thank your donors. Consider options like:
- Creating a donor appreciation wall at your in-person location
- Hosting donor appreciation events like dinners or galas
- Thanking donors over the phone
- Celebrating a donor appreciation day
- Shouting out your donors on social media
- Sending cards on your donors’ birthdays
- Giving donor gifts
Use some of these methods alongside donor thank you letters so donors know you appreciate them.
Measuring the impact of thank you letters
You may notice a difference in your organization when you start sending thank you letters. Measure their impact by tracking details like donor engagement, retention rates, and total contributions. Analyzing these metrics before and after sending the letters will show you the difference your thank you notes make.
Amplifying your message
A one-time thank you message is a great start, but don’t stop there. Amplify your message of gratitude by periodically thanking your donors again.
For example, send a holiday-themed thank you letter when the winter holidays roll around. Send periodic updates on what your organization is doing and how the donor’s funds have helped. An end-of-year donor thank you letter can summarize their contributions over the year, share your organization’s progress, and encourage them to stay in touch next year.
Ask your donors to share your message with their own friends and family. Word of mouth from people who believe in your cause and contribute to your organization is very powerful. Loyal donors can help you recruit more donors by talking about your organization.
Advanced donor acknowledgment tactics
Once you have the basics down, step up your donor acknowledgment with these advanced tactics:
Optimizing thank you emails with CTA and powerful subject lines
Thank you emails are only effective if donors actually open them and engage with them. Make sure they do this by writing powerful, compelling subject lines. Keep them short, between six and ten words, and use action verbs with descriptive nouns.
Personalizing donor thank you emails
Personalizing your donor thank you letter is essential. Start the letter with the donor’s name instead of a generic greeting like “hello donor” or “dear friend.” This simple personalized greeting will show the donor they’re more than a nameless, faceless number to your organization.
From there, consider customizing your message with other personal details. For example, if you want to thank a long-time donor, reference their history with your organization. If applicable, you could also mention any events the donor recently attended.
Include the amount the donor contributed in the letter, too. These personal touches make the donor feel special and strengthen your bond.
Email marketing tools like Constant Contact make this personalization easy. With one template, you can send thank you emails personalized with each donor’s name, title, and other relevant details. Sign up for a free trial with Constant Contact today to upgrade your thank you emails.
Taking your donor thank you letters to the next level
Genuine, prompt, and personal correspondence will solidify your donor relations when you receive donations. Effective donor thank you notes improve retention and help you raise more funds.
Send your thank you letters by email for the most flexibility and personalization options. Also, make sure to track details like engagement and retention rates to see the impact these notes have. To learn more about strategies for improving nonprofit fundraising, check out topics such as how to attract event sponsors and the best funding sources.
Download the checklist
