Nonprofit CRM: Effortlessly manage donor database and raise funds faster

What is a nonprofit CRM?

A Nonprofit CRM is a specialized software solution designed to cater to nonprofit organizations' unique needs and objectives. The overarching purpose of a nonprofit CRM is to provide a centralized repository for acquiring, managing, and nurturing relationships with donors, supporters, volunteers, and other stakeholders. Unlike traditional business CRMs that focus primarily on sales and revenue generation, nonprofit CRMs are geared towards managing contacts, fostering long-term relationships, driving engagement, and facilitating mission-driven initiatives that touch a million lives.

Nonprofits rely heavily on donations to sustain their operations and advance their causes. Nonprofit CRMs enable organizations to maintain comprehensive donor databases, track contributions, and segment donors based on various criteria. This segmentation allows nonprofits to understand their donor profile with a 360° view and personalize their communication and outreach efforts. One study showed that investing in a CRM resulted in a 21% increase in fundraising revenue, highlighting the importance of prioritizing a comprehensive CRM solution. 

Additionally, nonprofit CRMs often have the feature for managing fundraising campaigns, event registrations, and volunteer coordination. By centralizing and automating these payment processes, nonprofit CRMs help volunteers maximize efficiency, maintain transparency, and drive their missions cost-effectively.

Top 5 challenges faced by nonprofit organizations

1. Raising funds

Most people are willing to contribute if they feel strongly about a cause, but reaching these sets of people at the right time can be challenging. 

2. Keeping track of donor information

Nonprofits may collect information at various donation drives and community events. Still, the challenge here is maintaining the data in a single database that volunteers can access anytime. 

3. Customizing campaign messages

Your end goal is always noble, but making people understand your mission and delivering it in an appealing format is challenging for nonprofits with low budgets.

4. Tracking the impact of a campaign

According to Statista, 12% of nonprofits say that their biggest challenge is measuring the impact and outcome of their campaigns. You get your head down to organize donation drives, collect contacts, email them, and organize funds for needy causes, but do you track crucial metrics such as message reach, potential donors, and those likely to contribute again? 

5. Reducing manual effort

People like to volunteer their time but don’t enjoy the manual work involved. There is also a lack of transparency and compliance in funding events that can be hard to track. Automating manual tasks can incentivize volunteers, reduce workload, and improve transparency in operations.

Thankfully, nonprofit CRMs simplify donor data and communication while enhancing retention and fundraising effectiveness. This reduction in complexity empowers organizations to focus on their core missions and goals.

Why does a nonprofit need a CRM?

1. All your data in one place

Different volunteers help organize various fundraisers across the year. In this change of staff and numerous registries, valuable contact information, such as generous past donors, gets lost along the way.

A modern CRM helps centralize your contact data in one location, including past donors, event attendees, and regular donors. So your volunteers don’t have to toggle multiple screens.

2. Get more done in less time

Running a nonprofit also means building relationships with potential donors, but your team is stuck doing administrative tasks and needs more time to build new relationships. 

If you have an easy-to-use nonprofit CRM in place, it helps automate repetitive tasks with the help of workflows and saves time for your volunteers.

3. Know what donors look for

The quintessential question facing every nonprofit is whether people care enough to contribute. That's on every nonprofit owner's mind.

A CRM helps capture the donor's intent — are they replying to your emails, visiting your website, or signing up for your events regularly?

These signals allow you to gauge a donor’s likelihood to contribute.

How does a nonprofit CRM help with fundraising?

Nonprofit CRMs enhance fundraising efforts by providing organizations with a comprehensive view of their donors, enabling organizations to segment their donor base and target fundraising campaigns to specific groups.

Their automation capabilities streamline donation payment processing and integrate with online platforms for wider reach. They also have reporting features that enable organizations to make data-driven decisions that will optimize their future campaigns. These features make nonprofit CRMs indispensable tools for effective fundraising.

Not only does a CRM help optimize your payment processes, but it can also have substantial financial impacts. One report found that 8 out of 10 nonprofit organizations saw an increase in fundraising revenue in under three years of implementation.

Features to look for in a Nonprofit CRM software  

There are many CRMs available for different industries, but you need to choose a powerful one with features that optimize your team’s time.  Nonprofits often do not have the luxury of an in-house tech team to oversee complex software implementations or conduct extensive training sessions. This makes a CRM's simplicity and ease of use not just a preference but a necessity.

A modern CRM will help you get a complete view of your contacts, understand who is interested in engaging with your organization, and help suggest the next-best actions.

1. Simplicity & ease of use

Most nonprofits don’t have access to an in-house tech team to implement a nonprofit CRM or train personnel on how to use it. Because of this, nonprofits require intuitive CRM solutions that can be readily adopted and utilized. 

Modern, easy-to-use nonprofit CRMs like Freshsales allow staff and volunteers to focus on their core mission rather than grappling with complex software, amplifying their impact.

2. Single donor database with profile enrichment 

 With a nonprofit CRM, you can manage donor information and the details of your volunteers and other supporters. It's a single location for your data that you can tap to improve and grow relationships with donors. 

A CRM for nonprofits will allow you to track where donors are in their journey and help you answer some questions like:

• When did their journey start?

• How many emails have they received from you?

• How many fundraising events have they attended before?

• How much have they contributed?

It should ideally auto-enrich donor profiles with all the information it can find, including:

• Publicly available social profiles

• Contact information

• Past transactions

• Donor capacity

With a nonprofit CRM, you can streamline vital information and get full context on donor interactions to deliver personalized experiences.

3. Donation management 

 For nonprofits, your website is the face of your organization. People land on your website and want to contribute, but often the storefront is left unattended or needs to be more reliable. Having a landing page with your logo and deploying a web form can encourage donors to fill out their contact information or securely make a donation. 

Setting up an easy-to-fill, customizable web form can help donors navigate your website easily and share information about themselves. Automating this process also ensures you don't miss any information due to manual data entry. 

Set up web forms with ease for your nonprofit

4. Contact management

With countless donors to track, pertinent information can easily slip through the cracks. A nonprofit CRM with comprehensive contact management capabilities enables nonprofits to organize and maintain extensive databases of donors efficiently.

This functionality helps nonprofits better understand the donor persona and paves the way for targeted communication, personalized outreach, and tailored engagement strategies that cultivate stronger relationships and nurture long-term connections. They have the ability to segment contacts, track interactions, and manage communication preferences so nonprofits can optimize their outreach efforts, enhance donor stewardship, and advance their mission.  

Contact management within a nonprofit CRM such as Freshsales extends beyond mere organization; it offers a unified, 360° view of your contacts. This functionality gives nonprofits a comprehensive understanding of their contacts by aggregating data from various touchpoints, including donations, event attendance, and communication history so they can tailor their outreach efforts for maximum impact.

Freshsales empowers nonprofits to visualize and manage their contacts in a table or Kanban view to fit their workflow. Ultimately, Freshsales equips nonprofits with the tools needed to cultivate lasting donor relationships and drive meaningful outcomes. 

Learn how to manage your contacts from your nonprofit CRM 

5. Sales sequences for automated email outreach

Sales sequences for automated email outreach facilitate targeted and personalized communication strategies. With the ability to create predefined sequences of emails tailored to specific donor segments or campaign objectives, nonprofits can nurture relationships and expand their outreach more effectively. 

Data shows that personalized outreach, facilitated by donor segmentation tools in CRM software, can boost conversion rates by up to 10%. Automation features are vital for targeting outreach. 

This capability allows organizations to streamline follow-up emails, reminders, and updates, ensuring consistent engagement without taking up additional resources. It also increases the likelihood of donor retention and stakeholder engagement.

Moreover, the ability to track and analyze the performance of these sequences enables nonprofits to refine their strategies and enhance the effectiveness of their outreach efforts.

6. Make volunteers more efficient with automated workflows

Volunteers work for a few hours or over the weekends; they might not be able to give their undivided attention to nonprofit work unless you have them as your fulltime employees. Automating manual tasks like sending out emails, scheduling follow-ups, and sending reminders can be handled by a nonprofit CRM, thereby reducing administrative tasks.

A nonprofit CRM even provides templates that add to the professional look and feel of the email. With automation, you can set up email workflows in the CRM and ensure the email reaches the suitable donor at the right time. Send follow-up emails at the right time to ensure donors keep you at the top of their minds.

You can even choose from workflow templates, so you don't have to set up workflows from scratch. 

Learn how to set up workflows for your nonprofit

7. Enable volunteering on the go

A nonprofit that provides a desktop version and a mobile app is a bonus. With a mobile CRM app, volunteers can add contacts, manage the donor database, and campaign communication with their phones. 

You have all the data related to your NGO at your fingertips. Customize your CRM mobile app, collaborate with your volunteer team, and stay at the top of your game.

Connect on the go with Mobile CRM

8. Integrations with other websites 

A nonprofit by itself may solve many of your challenges. Additionally, it is dynamic software that can integrate with multiple other business software you may use for your nonprofit. 

A nonprofit CRM can be integrated with chat, helpdesk, and e-signature software, making your operations robust and well-rounded.

See what integrations you can set up for your nonprofit

8 best nonprofit CRM software on the market

To help you make the best decision for your organization, we’ve compiled a list of the 8 top nonprofit CRMs available:

1. Freshsales

Freshsales is a modern, easy-to-use CRM tailored for the unique challenges faced by nonprofits. Thanks to its simplicity and intuitive design, teams can quickly adopt and use the platform. Its notable features include:

• Multi-channel engagement: With Freshsales, nonprofits can engage donors and stakeholders across various channels, including email, phone calls, and social media, to foster meaningful relationships and expand outreach efforts.

• Customization: Freshsales provides extensive customization options, from custom fields and workflows to personalized dashboards, allowing nonprofits to tailor the CRM to their needs.

• Customer 360° view: Freshsales aggregates data from multiple sources to provide a comprehensive view of donors, volunteers, and stakeholders, enabling nonprofits to understand their constituents better and personalize their engagement strategies.

• Automation: Freshsales enables nonprofits to automate repetitive tasks, such as email outreach, follow-up reminders, and lead scoring, freeing up staff time to focus on mission-critical activities.

Pros:

• User-friendly interface

• Advanced customization and workflow automation capabilities

• Built-in multichannel engagement features

• Affordable pricing

• Go live within 24 hours

Cons:

• Limited features in Free plan

• Mobile app does not have advanced capabilities

Price:

• Free for up to 3 users

• Growth: $9/user/month billed annually

• Pro: $39/user/month billed annually

• Enterprise: $59/user/month billed annually

2. Bloomerang

Bloomerang is a well-regarded nonprofit CRM known for its user-friendly interface and focuses on donor retention and engagement. Its notable features include:

• Donor Management: Bloomerang offers a comprehensive donor database with advanced segmentation capabilities, allowing nonprofits to track donor interactions, manage memberships, and create personalized communications.

• Fundraising Tools: It simplifies fundraising efforts by providing tools for online giving, event management, and campaign tracking, helping organizations efficiently raise funds and engage donors.

• Reporting and Analytics: Bloomerang's robust reporting and analytics tools enable nonprofits to assess their fundraising performance, identify trends, and make informed decisions to optimize their strategies.

• Email Marketing: The CRM includes built-in email marketing features, allowing nonprofits to create and send targeted email campaigns, newsletters, and event invitations, enhancing their communication with supporters and stakeholders.

Pros:

• Emphasizes donor-centricity

• Robust fundraising automation

• Powerful donor segmentation tools

Cons:

• Limited integration capabilities

• Limited grant management features

• Limited event management features

Pricing:

• Starts at $125/month billed annually and increases based on the amount of contacts you plan to store in the database

3. Raiser’s Edge NXT

Raiser’s Edge NXT is a nonprofit CRM hosted by Blackbaud, known for its extensive capabilities. Its most notable features include:

• Constituent Relationship Management: Raiser's Edge NXT provides a comprehensive view of constituents, allowing nonprofits to manage relationships with donors, volunteers, and supporters effectively.

• Fundraising and Donation Processing: The CRM streamlines fundraising efforts with features for managing campaigns, processing online and offline donations, and automating acknowledgment processes.

• Prospect Research and Wealth Screening: It offers tools for prospect research, helping organizations identify potential major donors and cultivate relationships with high-capacity supporters.

• Mobile Accessibility: It offers mobile accessibility, enabling staff and fundraisers to access donor information and key CRM features on the go, improving efficiency and responsiveness in donor engagement efforts.

Pros:

• Comprehensive fundraising tools

• Robust donor engagement and relationship management capabilities

• Cloud-based accessibility

Cons:

• Integration may be challenging

• Steep learning curve

• May be overwhelming for smaller nonprofits due to its complexity

Pricing:

• Required to contact Blackbaud for pricing details

4. Neon CRM

Neon CRM is a versatile nonprofit CRM with a user-friendly interface and customizable features. Some of its notable features include:

• Donor Management: NeonCRM offers extensive donor tracking, allowing nonprofits to maintain detailed donor records, segment their supporters, and personalize communication to enhance donor relationships.

• Fundraising Tools: It streamlines fundraising efforts with features for online donations, event management, and peer-to-peer fundraising, making it easier for organizations to raise funds effectively.

• Reporting and Analytics: NeonCRM provides advanced reporting and analytics tools, enabling nonprofits to evaluate campaign performance, donor behavior, and financial data.

• Membership Management: The CRM includes membership tracking and renewal capabilities, simplifying the management of membership programs and ensuring member engagement.

Pros:

• User-friendly interface

• Robust fundraising features

• Advanced integration capabilities

Cons:

• Limited support for nonprofits outside of the U.S.

• Limited advanced reporting features

• Customization features come with a steep learning curve

Pricing:

• Required to contact Neon for pricing

5. DonorPerfect

DonorPerfect is a widely used nonprofit CRM system that specializes in donor management and fundraising CRM solutions. Its notable features include:

• Donor Management: DonorPerfect provides comprehensive donor profiles, tracking interactions, and engagement history to help organizations build and maintain strong relationships with supporters.

• Online Fundraising: The CRM includes tools for online giving, peer-to-peer fundraising, and donation processing, simplifying the process of raising funds through digital channels.

• Volunteer Management: It offers features for managing volunteers, tracking volunteer hours, and coordinating volunteer efforts effectively, enhancing community engagement.

• Grant Management: DonorPerfect assists nonprofits in managing grants, tracking application deadlines, and monitoring grant-related activities, helping organizations secure vital funding sources for their missions.

Pros:

• Online fundraising capabilities

• Robust donor segmentation and targeting tools

• Wide array of third-party integrations

Cons:

• Limited mobile functionality

• Limited grant management features

• Limited UI customization

Pricing:

• Starts at $99/month—nonprofits are required to contact DonorPerfect for personalized pricing

6. Keela

Keela is a nonprofit CRM designed to simplify nonprofit management tasks and improve donor engagement for organizations of all sizes. Its notable features include:

• Grant Management: Keela simplifies the grant management process by helping nonprofits track grant opportunities, deadlines, and application status, ensuring organizations can secure vital funding sources for their missions.

• Membership Management: The CRM includes membership tracking and renewal features, making it easier for nonprofits to manage membership programs, maintain member profiles, and facilitate member engagement.

• Volunteer Coordination: Keela supports volunteer management by enabling organizations to schedule volunteers, track volunteer hours, and coordinate volunteer activities efficiently.

• Task and Project Management: It provides task and project management tools, helping nonprofits organize and prioritize tasks, projects, and activities, enhancing overall organizational efficiency and collaboration.

Pros:

• Extensive customization capabilities

• Robust email marketing capabilities

• Comprehensive suite of nonprofit management tools from donor management to financial tracking

Cons:

• Limited reporting and analytics features

• Limited integration capabilities

• Limited workflow automation

Pricing:

• Pricing is dependent upon the number of contacts and chosen add-ons

7. CharityEngine

CharityEngine is a scalable nonprofit CRM that focuses on streamlining essential tasks. Its notable features are:

• Peer-to-Peer Fundraising: CharityEngine facilitates peer-to-peer fundraising campaigns, allowing nonprofits to empower supporters to fundraise on their behalf, expanding their donor base and engagement.

• Event Registration and Management: It offers event planning and registration tools, making it easier for nonprofits to organize and manage fundraising events, conferences, and workshops.

• Recurring Donations: CharityEngine supports recurring donation programs, enabling nonprofits to set up and manage ongoing donor contributions and ensuring a stable and predictable revenue stream.

• Donor Retention: The CRM includes donor retention features that help organizations track donor engagement, assess retention rates, and implement strategies to enhance donor loyalty and support.

Pros:

• Integrated fundraising tools

• Online fundraising capabilities

• Extensive event management features

Cons:

• Limited third-party integrations

• Limited support for nonprofits outside of the U.S.

• Scalability challenges

Pricing:

• Standard: $350-$700/month

• Professional: $700-$1,500/month

• Enterprise: Call for pricing

8. Giveffect

Giveffect is a nonprofit CRM with comprehensive tools that simplify every aspect of nonprofit management. Its notable features are:

• Matching Gifts: Giveffect helps nonprofits identify and track matching gift opportunities, ensuring they maximize their revenue by leveraging corporate matching programs.

• Volunteer Recruitment: It offers volunteer recruitment features, allowing organizations to attract and engage volunteers effectively.

• Grant Management: Giveffect simplifies grant management by helping nonprofits track grant opportunities, deadlines, and reporting requirements, ensuring compliance and securing essential funding.

• Peer-to-Peer Fundraising: The CRM supports peer-to-peer fundraising campaigns, enabling nonprofits to harness the fundraising power of their supporters, expand their donor base, and enhance engagement.

Pros:

• Extensive volunteer management capabilities

• Online fundraising capabilities

• Robust donor and grant management features

Cons:

• Limited third-party integrations

• Limited reporting and analytics features

• Steeper learning curve

Pricing:

• Starter: Starts at $399/month

• Ultimate Lite: Contact Giveffect for details

• Ultimate: Contact Giveffect for details

Case study: Windmill microlending

Windmill microlending was founded to empower skilled immigrants to achieve career success. One of their biggest challenges was to keep track of the numerous applications they received and assign funds to the right applicant. Since the process was very manual, the applicants' information was strewn across their desks in spreadsheets and sticky notes. There was no visibility into where each applicant was in the pipeline. 

The nonprofit immediately saw the need for a CRM and looked out for one that was easy to learn, use, and manage independently. With Freshsales CRM for nonprofits, Windmill Microlending's intake team was able to:

• Access all the applicant information on a single screen

• Automate their follow-ups with applicants

• Reduce their intake cycle from an average of 30 days to 3 days

Some of the features that Windmill Microlending really found useful were: 

• Sales Sequences: Windmill Microlending uses sales sequences to automate their follow-ups. This not only saves a lot of time for their intake team but also speeds up the application process

• Workflow and Automation: Windmill Microlending also uses workflows to automate everyday mundane tasks

• Pipeline Management: With a visual client pipeline, Windmill Microlending was able to easily understand the number of open applications, the status of each application, the expected number of clients, and much more

How to pick the right nonprofit CRM

Choosing the right CRM can be confusing as there are many options in the market. Pick a CRM that is simple and easy to use for your volunteers. Freshsales CRM offers all of the features that matter for nonprofits: 

• Maintain a single database for all donors and get their profiles automatically enriched with Freddy AI 

• Offers an easy-to-use and intuitive UI to access customer data, manage, and perform sales activities faster

• Streamline donor communication with email sequences, automated workflows, and text messaging from the CRM 

• Plan your fundraiser campaigns, track all data in report dashboards, share out-of-the-box reports effortlessly, and make data-driven divisions 

• In addition to this, Freddy AI identifies donors who are likely to convert and suggests the next best actions

Freshsales has a free trial version that you can sign up for to see if it works well for you. It is affordable and has different plans for all pocket sizes. Check out the pricing now.