Venmo for Nonprofits: A Useful Tool to Boost Donations
As a nonprofit, fundraising is essential to your success as an organization. It’s not only how you power your programs but also how you can spread the word about your organization and mission to your community.
To optimize the funds they raise, nonprofits are always looking to make their operations more efficient. New technology and apps make this easy so that nonprofits can collect donations without having to put much thought into it. One such tool is Venmo.
Using Venmo for nonprofits allows organizations to leverage a platform many people already use every day. You might already be familiar with Venmo from your own personal use, but we’ll go more in-depth about what it is and how you can best use it for your nonprofit.
Take a look at the questions we’ll be answering about Venmo fundraising:
- What Is Venmo?
- What Are the Benefits of Using Venmo for Nonprofits?
- How Do I Set Up a Venmo Account for My Nonprofit?
- How Can My Nonprofit Guide Donors to Our Venmo Account?
- How Can Venmo for Nonprofits Foster Connections with Donors?
At NXUnite, we’re committed to helping nonprofits find the tools they need to maximize their fundraising efforts. Venmo is an app you may already be familiar with, but it has huge fundraising potential for your organization. We’re here to help you learn more about how your nonprofit can use Venmo to boost donations.
Are you ready to learn about how Venmo could be the next best fundraising tool for your nonprofit? Let’s get right into it!
What Is Venmo?
Venmo is a peer-to-peer mobile payment service. That means people can transfer money from their bank accounts to each other directly within the app. The app makes it easy for people to pay each other back without worrying about cash.
Although there are several similar apps out there, Venmo is one of the most popular. According to Venmo, the app currently has over 83 million users, the biggest group of which is 25-34 years old. In 2021 alone, the Paypal-owned platform processed about $230 million in payments.
It’s clear to see why people have turned to Venmo as their preferred way to send and receive money. All you have to do is link your bank account, debit card, or credit card to your account, and you’re good to go. With the click of a button, you can send and request payments from people.
Additionally, you can choose whether to transfer your funds to your bank account immediately or keep them in your account for future transactions. If you want to leverage both options, you can even select how much you would like to transfer out, leaving you with some money still left in the app.
What Are the Benefits of Using Venmo for Nonprofits?
Venmo solves a typical problem: how to pay people back efficiently. The easy-to-use app simplifies the process of splitting a check, paying your portion of your rent, and so much more.
Now that you a little more about how Venmo works, why is it a good platform for nonprofits? Just like they do for other individuals, people can send money to nonprofits, creating another fundraising source. Beyond creating an additional revenue source, some of the benefits Venmo fundraising can provide for your nonprofit are that it’s:
- Easy to use. As we’ve mentioned before, people enjoy using Venmo because of how easy it is. If someone already has a Venmo account, it simplifies the process of them donating to your cause. Instead of going through your donation page or form, donors can head to the already-installed Venmo app and transfer money to your organization from their account within seconds.
- Affordable. Venmo is a great choice for nonprofits because it’s free to sign up. Additionally, there are no monthly fees and no fees when sending money with a linked bank account or debit card. The only donation-specific fee is 1.9% + $0.10 for receiving funds. There is also a 3% fee when sending money with a linked credit card and a 1% fee for instant transfers to your bank account, but neither of those options is necessary.
- Secure. When using a mobile payment service, it’s important that your information is protected. Venmo uses encryption to help protect your account and financial information. Not to mention, the app’s security makes it a secure form of giving for donors.
- Encourages donations of any size. Some people may want to contribute to your cause, but they might be intimidated by the donation amounts you suggest on your website. Since people typically use Venmo for smaller payments, they may be more willing to donate to your organization through the platform with the extra funds kept in their accounts.
- Includes social proof. Different than other donation methods, Venmo functions like a social media platform in that users can see their friends’ and family members’ payments. Not only can people feel good knowing that their donation is public, but they can also inspire others to donate to your cause.
- Facilitates relationships. Donors can send messages with their Venmo donations, allowing them to personalize their support. You can also like and comment on donations, allowing you to thank donors and start a conversation with them.
Taking advantage of Venmo fundraising can not only raise money for your organization but also help you build relationships with your supporters. They will appreciate the ability to use a platform they’re likely already familiar with to contribute to your cause and amplify your organization to family and friends.
How Do I Set Up a Venmo Account for My Nonprofit?
If you think Venmo would be an asset to your fundraising efforts, it’s time to set up your account. At this time, Venmo does not have an option specifically for nonprofits, but they do allow nonprofits to create regular accounts and use them to collect donations.
Setting up your organization’s Venmo account is simple. Just follow these five steps:
- Download the Venmo app or visit the Venmo website.
- Choose your sign-up method and create your password.
- Verify your phone number and email address.
- Add and verify your bank account.
- Change your username and add a profile picture to reflect your organization.
It’s that easy! If you have a personal Venmo account, you’ve already been through the same process. For more information about creating your account, you can refer to Venmo’s website.
How Can My Nonprofit Guide Donors to Our Venmo Account?
Of course, any organization can say they’ve created a Venmo account and leave it at that. However, you’ll need to go a bit further if you want your supporters to be able to find your account and engage with it. Here are some suggestions for how to promote your Venmo for nonprofits account:
Give a tutorial on how donors can use Venmo to contribute.
Start by teaching donors how Venmo for nonprofits works. You can create a step-by-step video that shows donors how they can give donations to your organization on Venmo.
Let donors know how easy the process is and why it’s a great platform for nonprofits.
Add your Venmo account to your donation page.
You’ll want donors to know that contributing through Venmo is a new donation option, so it’s important that your donation page reflects that.
Include your Venmo username on emails and social media.
Make it easy for donors to find your Venmo account. You probably already promote your social media accounts in your emails, so just add Venmo to the list.
On your nonprofit’s social media pages, link your Venmo account in your bio for easy access.
Share your Venmo QR code with your supporters.
Sometimes, it can be difficult to find Venmo accounts if you don’t know the exact usernames you’re looking for. Eliminate that obstacle by promoting your nonprofit’s Venmo QR code. That way, you’ll know donors are contributing to the right account.
Make sure to share your Venmo QR code with your supporters through various methods such as email newsletters, social media, your website, and at events.
Once donors know how to donate to your organization through Venmo, it’s important to make sure they’re having a good experience using the app.
How Can Venmo for Nonprofits Foster Connections with Donors?
If you use Venmo fundraising correctly, you can make it a fun, interactive, and rewarding donation experience. By prioritizing the giving experience, you’ll ultimately foster better connections with your donors. Let’s walk through a few steps you can take to give your donors a great user experience on Venmo:
Cater to your audience.
Remember that most Venmo users are on the younger side. When commenting on their donations, don’t be afraid to use emojis and have fun with your interactions.
You can also take advantage of the social proof we mentioned before. Younger donors love to be recognized for their efforts, so consider shouting out a Venmo donor of the week on your social media.
Encourage donations of any size.
Again, most people use Venmo for small payments. Lean into that by asking donors for small donations. It will all add up and ultimately acquire new donors who could have been intimidated by the prospect of donating before.
Host a fundraising competition.
Split your supporters up into teams and have them compete for who can raise the most money or make the most donations. The teams can be based on age, location, or another factor of your choosing.
Provide an incentive to the winning team such as social media shoutouts, gift cards, or matched donations. Knowing they could earn a prize, people might be more willing to participate.
Interact with as many donors as possible.
Since Venmo functions like a social media platform, use it like one. Comment on as many donations as you can. You can send an emoji, sticker, or GIF to make it fun. Most importantly, remember to thank donors for their contributions.
Using Venmo for nonprofits opens up new opportunities for building donor relationships like never before.
Conclusion & Additional Resources
With so many new payment apps out there, it’s difficult to decide which is best for your organization. For nonprofits, Venmo is the ultimate choice. With low fees, security features, and opportunities to interact with your donors, Venmo provides an easy and reliable way to raise money and build relationships with your supporters.
Now that you know how beneficial Venmo fundraising can be, you might be wondering what other fundraising tools and nonprofit resources are out there. Check out these articles to help out your nonprofit:
- Nonprofit Conferences That You Won’t Want to Miss in 2022. Looking for the latest nonprofit trends and opportunities to network with other nonprofit professionals? Attend a nonprofit conference to learn from others in your field.
- Top Nonprofit Influencers to Follow in 2022. Follow these nonprofit influencers to keep up with nonprofit trends, news, and tips.
- 25+ Nonprofit Podcasts You Should Listen To In 2022. Podcasts are a great way to delve into a topic you’re passionate about. Read this page for the nonprofit podcasts you need to start listening to.
