Do donors really care about having their name on a plaque showing that they donated money to a healthcare facility, school or some other non-profit? Is there any data supporting this either way.
Yes, donors do care about recognition, and there is data to support this. Research shows that recognition plays a significant role in donor retention and satisfaction, particularly for major donors and those contributing to causes they feel strongly about. Alpha Chi Omega’s digital donor recognition project is a perfect example of this. Here are a few key points that support this:
1. Psychological Motivation for Recognition
- Donors often feel a sense of pride and fulfillment when their contributions are publicly acknowledged, which serves as a form of social validation. According to studies on philanthropy, the desire for recognition is one of the major motivations for charitable giving, especially for large donations. It fulfills an intrinsic need for donors to feel appreciated and valued by the organization and community.
2. Impact on Donor Retention
- Research from organizations like Penelope Burk’s Donor-Centered Fundraising has shown that donors who are properly recognized are much more likely to give again. About 90% of donors say that receiving a thank-you and some form of recognition influences their decision to donate in the future.
3. Influence on Larger Contributions
- Indiana University’s Lilly Family School of Philanthropy found that naming opportunities (like plaques or buildings) are a significant incentive for larger gifts. People tend to be more willing to donate large sums of money when they can have something named after them, or when their name is prominently displayed. In some cases, this has been shown to increase the size of donations by 20-25%.
4. Donor Recognition in Healthcare
- In healthcare specifically, donor recognition can help enhance the donor’s emotional connection to the facility, especially if they or a loved one have benefitted from the organization. This emotional connection can make donors feel more engaged, which not only encourages larger gifts but also fosters long-term relationships with donors.
5. Generational Trends
- While younger donors (Millennials and Gen Z) may value more impact-based recognition (such as seeing how their money is making a difference), older donors, especially Baby Boomers, tend to appreciate more traditional forms of recognition like plaques or named spaces.
6. Case Study Example
- A 2016 study by The Association of Donor Relations Professionals (ADRP) found that visual recognition (like plaques or digital displays) increased donor satisfaction in non-profit sectors, including healthcare and education. Some non-profits reported a boost in recurring donations when recognition walls or displays were installed.
While not all donors seek public acknowledgment, offering recognition options—such as a plaque, digital display, or naming opportunity—can significantly enhance relationships with many, particularly major donors.
Learn more about VIP Solution
A digital donor recognition solution can help your organization showcase and celebrate your supporters. Whether you’re a nonprofit, higher education institution, or another organization, donor recognition plays a key role in your ongoing stewardship strategies. If interactive donor recognition sounds like something your company needs, please contact VIP Solutions for more information or schedule a demo today.
