Fundraising costs can be difficult to calculate — while there are literal expenses associated with fundraising, such as payment processing fees, there are other “hidden” costs that are often overlooked. For instance, do you account for the cost of staff time to process checks for your development office? What about the cost to mailing out fundraising appeals? Or, printing and folding tax acknowledgements? How about the time it takes to drive to the bank and deposit your checks and cash from donors?
Studies like one from Charity Science show that donor acquisition direct mail can cost $1.25 per $1 raised, with a response rate of just 1%. That means you’re ROI is -.29%. Even donor renewal mail can be costly: the same study says it can cost as much as $.30 per dollar raised.
Online fundraising can help reduce — or in some cases completely eliminate — the labor costs associated with fundraising. But, with hundreds of online fundraising platforms available, it’s easy to get overwhelmed when trying to select the best site for your needs.
The Razoo Choice
At Razoo, we believe in giving you the choice to decide what pricing option fits your fundraising efforts best. With our new Premium Subscription plans, you now have access to the most cost-effective plan to help you save money and get the most out of your online fundraising tool.
Razoo’s premium plans are the easiest way to lower your fundraising costs, since they free you from platform fees completely. Unlike other platforms that still charge a platform fee on top of the monthly subscription price, Razoo has zero platform fees, meaning we won’t keep a cent of what you raise from donors.
In comparison, premium plans like those on Crowdrise still charge nonprofit’s 3% per donation on top of the monthly subscription. If the donor chooses to cover costs, they’re opted into a 6% fee. With GiveGab’s premium plan, nonprofits pay $49 a month, in addition to a 4% platform fee per donation (that donors can choose to cover). Other platforms like GoFundMe don’t allow flexible plans with a pure 5% fee per donation, regardless of each individual’s needs.
With premium plans on Razoo, you have access to the most powerful fundraising tools at the lowest cost in the market. You can automate your data entry, analyze supporter information in real time, create custom donation pages and more for as low as $49/month. To put this in perspective, this is less than the cost of that pizza party you throw for the volunteers and staff you ask to fold tax acknowledgements for end of year giving. Plus, you can spend that time focusing on other fundraising activities – like pursuing a recurring donor campaign or beefing up your major donor stewardship.
Our free options
If you’re not ready to make a decision on which subscription plan would work best for your needs, you can still use our standard pricing model. With two options available, fundraisers can 1) opt to waive platform fees and enable the optional tip feature, or 2) they can select to have 4% platform fees and let donors choose if they want to cover the platform fees. Either way, they will be given a clear opportunity to make a conscious decision to leave a platform tip or cover the platform fees, and you’ll know exactly what your donors see.
Find the right plan for your fundraising costs
If you’re looking to take your online fundraising strategy to the next level and provide a consistent digital experience for your donors, our Premium Plus plan offers you the best value at just $99/month. Or, if you’re not sure about the best plan for your organization, our team is here to help.
At Razoo, our skilled team of fundraising professionals is here to guide you through the process to make an informed decision about your organization’s fundraising costs. Request a demo to walk through premium features and discuss which plan will lead you to success. We’re here to help!