How to Build an Effective Stewardship Plan for Donors

By Kelly Perry

January 14, 2025

donor stewardship plan for donors

The Value of a Strategic Donor Stewardship Plan

A well-developed donor stewardship plan is essential for nonprofits aiming to cultivate long-lasting relationships with their supporters. Effective stewardship goes beyond asking for donations—it’s about expressing gratitude, showing donors the impact of their gifts, and keeping them engaged with the mission.

Those organizations that implement a strong stewardship plan reap the benefits. According to the 2024 Fundraising Effectiveness Project, the donor retention rate for organizations with robust stewardship plans is 62%. For those organizations without a strong plan, their retention rate dwindles to 45%.

While stewardship plans can be implemented manually, many nonprofits use automated tools to streamline and enhance their processes. This article explores the advantages and challenges of both manual and automated approaches to donor stewardship planning, offering practical insights to help your organization decide which approach may best support your donor relationships.

Understanding Donor Stewardship Plans: A Foundation for Lasting Relationships

A donor stewardship plan is a strategic guide for nonprofits, helping to manage ongoing donor relationships through meaningful engagement and consistent communication. Core components of an effective stewardship plan typically include:

  • Regular and Relevant Communications – Sending tailored messages that keep donors informed and involved.
  • Personalized Recognition and Acknowledgment – Expressing gratitude through thank-you notes, events, and other personalized gestures.
  • Demonstration of Impact – Sharing updates on how donations are used to achieve the organization’s mission.
  • Relationship-Building Activities – Creating opportunities for deeper engagement, such as events or virtual town halls.

By implementing a stewardship plan for donors, nonprofits maintain interest and loyalty, paving the way for future contributions.

Overview of Manual Donor Stewardship Plans 

A manual stewardship plan for donors involves tracking and managing donor interactions without the help of automated software. Tasks like segmenting donors, sending thank-you letters, and updating engagement records are typically performed through spreadsheets, personalized emails, or a basic donor management system.

Advantages of Manual Stewardship Plans

While labor-intensive, manual stewardship offers some advantages, especially for smaller organizations:

  • Personalized Control – Each donor interaction can be highly customized, which can strengthen the connection with donors. For example, a major gifts officer may regularly meet with their major donors. Within these conversations, the major donor may reveal personal reasons for supporting your organization such as a grandchild suffering with a debilitating illness that your organization researches. Within a major gift officer’s email, he or she may inquire about the donor’s grandchild’s health, or direct an ask in support of an upcoming campaign for pediatric research. An automated system may be unable to pick up on this level of detail.
  • Ideal for Small Donor Bases – For nonprofits with a small number of donors, manual methods can be effective and manageable.
  • Flexibility – Staff members can make immediate adjustments to outreach efforts based on each donor’s preferences or recent actions. This layer of oversight provides staff confidence in the relevancy of their outreach.

Challenges of Manual Stewardship Plans

However, as donor bases grow, manual plans often face limitations:

  • Time-Consuming – Handling individual communications, follow-ups, and updates manually can be very time-intensive. Each individual donor record must be reviewed extensively before conducting outreach. The more time spent pouring over donor records means less time sending communications.
  • Inconsistencies – Without a structured system, there is a higher risk of missing key follow-ups or neglecting important touchpoints.
  • Limited Data Analysis – Manual tracking makes it difficult to assess patterns in donor engagement and optimize future strategies.

Overview of Automated Donor Stewardship Plans

An automated stewardship plan uses software solutions, like StratusLIVE, to manage and enhance donor interactions at scale. By performing key tasks such as donor segmentation, automating acknowledgment emails, and conducting automatic engagement scoring, nonprofits can provide a consistent and impactful stewardship experience.

Imagine creating a donor segment based on an interest of education, a history of volunteering, and a strong propensity to give score. By placing this segment within an automated sequence, you increase the likelihood of a donation. This would be difficult to scale with a manual process.

Advantages of Automated Stewardship Plans

Automation offers numerous benefits that can make stewardship planning more effective and scalable:

  • Efficiency – Automation handles repetitive tasks like sending thank-you messages and tracking responses, saving staff time. Donors value immediate follow-up that acknowledges their donations. Online donor applications such as Donor Hub also provide a single online location for donors to access their tax receipting.
  • Consistency – An automated system ensures that every donor receives regular updates and timely acknowledgments, helping maintain a strong donor experience.
  • Data-Driven Insights – Automated systems provide access to real-time analytics, enabling nonprofits to track donor engagement, giving history, and communication preferences.
  • Scalability – As donor bases grow, automated systems can manage larger volumes without compromising on quality.
  • Stay Proactive – Automation allows donor stewardship officers to create reminders, so he or she never misses an important date, event, or task. This provides staff members the peace of mind that every critical touchpoint on a donor’s journey is recognized.

Potential Drawbacks of Automated Stewardship Plans

While automation can transform stewardship, there are a few considerations to ensure its success:

  • Initial Setup – Automated platforms require setup and training to fully leverage the available features.
  • Potential for Impersonal Interactions – If not customized effectively, automated messages may feel less personal to donors.
  • Dependence on Data Quality – Accurate donor data is crucial to ensure that automated messages remain relevant and personal.

Manual vs. Automated: Choosing the Right Stewardship Plan for Your Donors

The best stewardship approach depends on your organization’s unique needs, size, and resources. Here are some key factors to consider:

  • Donor Base Size – Small nonprofits with fewer donors may find manual stewardship manageable, while larger organizations may benefit from the scalability of automation.
  • Staff Resources – Limited staff may struggle to maintain a manual approach, making automation a more sustainable choice.
  • Budget and Technology Readiness – Automated platforms require an upfront investment, but they provide long-term efficiency gains, particularly for nonprofits ready to adopt technology-driven solutions.

A Hybrid Approach for Maximum Impact

For many organizations, a hybrid approach offers the best of both worlds. In this model, nonprofits automate routine tasks, such as acknowledgment emails or basic segmentation, while retaining a personal touch for high-impact engagements like major donor follow-ups.

With StratusLIVE, nonprofits can adopt this hybrid approach seamlessly. StratusLIVE’s automation features support routine communications and data analysis, while other options allow staff to create personalized touches for key donors. This balance allows organizations to scale their stewardship efforts without losing the authenticity and personal connection that donors value.

How StratusLIVE Empowers Nonprofits to Automate Stewardship Effectively

StratusLIVE’s platform offers a suite of features tailored to help nonprofits streamline their stewardship plans and enhance donor relationships through automation:

  • Segmentation Tools – Automatically categorize donors based on attributes like donation history, engagement level, and interests, ensuring tailored outreach.
  • Engagement Tracking and Reporting – Real-time analytics provide insights into donor interactions, empowering nonprofits to optimize outreach efforts.
  • Donor Hub – The self-service Donor Hub gives donors a space to view their giving history, see updates on current initiatives, and stay connected with the organization’s mission.

By using these tools, nonprofits can create a stewardship plan that combines the efficiency of automation with the personal touch needed to build lasting donor loyalty.

Making the Most of Your Donor Stewardship Plan

Developing a strong stewardship plan for donors is crucial for cultivating lasting relationships and enhancing loyalty. While both manual and automated approaches have their advantages, automation offers significant benefits in terms of efficiency, scalability, and data-driven insights.

For organizations ready to take their stewardship efforts to the next level, StratusLIVE provides the tools needed to create an impactful, consistent, and personalized experience for donors. Whether you’re considering full automation or a hybrid model, StratusLIVE can help you achieve your stewardship goals effectively.

Discover How StratusLIVE Can Transform Your Stewardship Plan

Interested in automating your donor stewardship? Request a demo of StratusLIVE to see how our platform can help you build a lasting connection with your supporters.