5 Reasons Why Give Now, Pay Later is a Game-Changer for Fundraising
In fundraising, any ask you make to a donor holds a lot of weight. A donor’s ability to see why they should give and their ability to make a gift effortlessly is the difference between success and a closed door.
So your ask and your donor’s journey must be relevant, timely, and simple to inspire supporters and donors. Give Now, Pay Later (GNPL) is changing donor journeys by easing the burden of giving, while directing immediate capital back to nonprofits.
While Give Now Pay Later (GNPL) is relatively new in the fundraising sector, it offers nonprofits some very specific benefits that are worth considering. Here are 5 ways your nonprofit can benefit from GNPL.
1. Remove Giving Barriers
Charitable giving comes with many giving barriers for donors. They may have tight monthly budgets, might not understand how their gift will go towards impact, and perhaps a culture of giving has yet to become a habit for the donor.
As fundraisers, the way we overcome giving barriers is to show the direct impact of giving and to create amazing donor experiences and journeys. Essentially, we look to boost donor satisfaction, because happy donors aren’t just inspired to give, they’re often inspired to continue giving.
Satisfaction increases when donors have choices about their preferred payment options, namely options that give them more control over spending decisions. Givzey’s Give Now, Pay Later flexible giving solution takes the approach of meeting donors where they are – not just by lessening the financial burden of giving, but by empowering them to make responsible financial decisions, while your organization receives its full gift when the initial donation is made.
2. Increase Giving
Everyone loves flexibility, whether it’s paying for a donation or paying for a dress. In a recent study, some 30% of folks who used a flexible payment option said they wouldn’t have made the transaction were it not for an installment plan. That means that simply offering GNPL eases the burden of giving enough to potentially expand your donor base by almost one-third.
And, taking it a step further, early nonprofit adopters of flexible giving and payment solutions have seen a 20% increase in giving (Classy). The truth is that not many nonprofits offer Give Now, Pay Later flexible giving options at this point, so standing out can be as simple as letting supporters and donors know about the offering – especially if you have timely fundraising goals.
3. Boost Average Gift Size from Annual Givers
Annual donors come in a wide variety. Some may give $50, while others may give $5000 or more.
Often, when a $50 donor sees that they could increase their gift to $200, but split it into four equal and risk-free payments of $50, they’re inclined to make that leap – not because they couldn’t afford a $200 gift before, but because $200 was too much to take from the monthly budget.
On the other hand, for larger and mid-major annual donors, GNPL via Givzey offers pathways to entering specific and aspirational giving circles that they’ve never felt comfortable giving into before.
In the for-profit sector, Buy Now, Pay Later (BNPL) flexible payment options have been shown to increase purchase sizes by up to 85% (Affirm & Klarna).
4. Increases Conversions on Giving Pages
The whole idea of a giving page is to convert a donor’s intent into the transaction of giving. While it’s not often discussed, abandonment on giving pages has been a growing problem as they have become table stakes for fundraising over the last two decades.
Baymard Institute estimates that worldwide, almost 70% of online transactions were abandoned in 2021. And, by far, the reason that people abandon their transactions is that they don't like the full out-of-pocket cost today. Adding Give Now, Pay Later flexible giving options can reduce this abandonment problem by empowering donors to pay over time, rather than all at once.
5. Gifts In Full
By making giving accessible to all, nonprofits with GNPL can benefit in amazing ways. But most of all is the whole point of fundraising – change the world organizations need capital today to make change for tomorrow. Givzey’s patent-pending Give Now, Pay Later flexible giving solutions pay nonprofits in full when a donor decides to give. Even though they get to pay for that gift in small installments, you receive the full intended donation up front, allowing you to confidently offer GNPL with no financial risk.
Give Now, Pay Later Pays Off
For nonprofits working to change our world for the better, GNPL flexible giving options pay off. And, with the Givzey Guarantee of 2x ROI in your first year, there is zero risk to empower your organization or your donors.