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Revolutionizing Fundraising and Donor Engagement in Higher Education with AI

Revolutionizing Fundraising and Donor Engagement in Higher Education with AI
by
Erin Fields
on
November 18, 2024
AI
Workflow Automation

About the Blog

Higher education professionals are facing significant challenges when it comes to fundraising and keeping alumni engaged. Public trust in higher education is declining, donors are expecting more personalized communication, and teams are being asked to accomplish more with fewer resources. At the SUNYCUAD AI Professional Development Workshop, Mallory Willsea, Chief Strategist and Producer at Enrollify, explained how AI in higher education can help solve these challenges.

AI might feel unfamiliar or intimidating to some, but Mallory’s presentation focused on how it can simplify and enhance the work of fundraising and alumni relations teams. Whether it’s automating repetitive tasks, creating personalized donor messages, or analyzing trends to make better decisions, AI is a tool that can make an immediate and meaningful difference.

The Challenges Facing Fundraising and Donor Engagement

Declining Public Trust in Higher Education

Public skepticism toward higher education has grown significantly. Only 32% of Americans say they have confidence in colleges and universities, and 58% believe a four-year degree isn’t worth the cost. These attitudes make it harder to engage alumni and inspire donations.

Adding to the challenge is the shrinking donor base. Fall 2024 freshman enrollment dropped by 5% year-over-year, meaning fewer students today will become engaged alumni tomorrow. Fundraising teams must work harder to communicate the value of their institutions and rebuild trust.

The Struggle to Stand Out

The world of fundraising is more competitive than ever. The average person receives 121 emails a day, and marketing emails have an open rate of just 20%. On top of that, 50% of alumni email addresses are no longer valid, making it harder to reach your audience.

At the same time, the number of nonprofits has grown by 32% since 2000, so higher education teams are competing for donations in an increasingly crowded space.

Donors Expect Personalization

People expect the same level of personalization from their schools as they get from brands like Netflix or Amazon. 66% of consumers want organizations to understand their individual needs, yet 53% of donors feel frustrated by impersonal outreach. Personalization isn’t optional anymore—it’s a requirement to build strong donor relationships.

Limited Resources and Staff

Many higher education teams are underfunded and understaffed. Budget cuts have hit 55% of colleges and universities, and 71% of professionals say they feel overwhelmed by increased workloads. Teams often spend 30–40% of their time on repetitive tasks like updating records or creating basic reports, leaving little time to focus on big-picture goals.

How AI Can Help Higher Education Teams Succeed

Building Trust with AI-Driven Storytelling

Donors want to know how their contributions are making a difference, and AI makes it easier to tell those stories in a meaningful way.

  • Sentiment Analysis: AI can analyze alumni feedback from surveys, social media, and emails to uncover common concerns and adjust messaging to address them.
  • Impact Storytelling: AI connects donations to specific outcomes, like scholarships awarded or research breakthroughs, creating compelling stories that inspire trust.
  • Visual Storytelling: Generative tools like Adobe Firefly can create visuals for reports or campaigns that show the tangible impact of donor support.

These tools help schools highlight how their work aligns with donor values, rebuilding confidence in higher education.

Standing Out in a Competitive Landscape

AI helps teams maximize their efforts by uncovering new opportunities and optimizing outreach strategies.

  • Corporate Matching Gifts: AI can identify top employers of alumni and automatically reach out to secure matching gift opportunities, multiplying the value of donations.
  • Alumni Networks: AI maps connections between alumni to identify potential donors and create opportunities for peer-to-peer introductions.
  • Collaborative Campaigns: AI identifies organizations with shared values, making it easier to collaborate on joint fundraising campaigns.

By using AI to focus efforts on high-impact opportunities, schools can stand out and make the most of their resources.

Creating Personalized Donor Experiences at Scale

Personalized outreach doesn’t have to be time-consuming. AI can help teams create meaningful, tailored experiences for thousands of donors.

  • Dynamic Email Campaigns: AI adjusts emails based on a donor’s behavior, sending relevant follow-ups to keep them engaged.
  • Chatbots: AI-powered chatbots answer donor questions, guide them through giving portals, and provide event information—even after hours.
  • Content Recommendations: AI analyzes donor interests to suggest programs or updates that align with their giving history, creating stronger connections.

These tools help teams create personalized donor journeys that increase engagement and loyalty.

Saving Time with AI-Powered Tools

For resource-strapped teams, AI automates repetitive tasks and provides actionable insights, freeing up time for strategic work.

  • Automated Reports: AI generates real-time reports on campaign performance, highlighting opportunities for improvement.
  • Task Automation: AI takes over tasks like scheduling donor meetings or segmenting alumni lists, saving hours of administrative work.
  • Predictive Analytics: AI forecasts giving trends and identifies high-potential donors, helping teams focus their efforts where they’ll have the greatest impact.

These tools let teams spend less time on busywork and more time building relationships with donors.

The Future of Fundraising in Higher Education

AI isn’t just about technology—it’s about empowering teams to focus on what matters most. By automating routine tasks and creating personalized donor experiences, AI allows higher education professionals to build stronger relationships and achieve better results.

As Mallory Willsea said, “AI allows us to deliver value in ways that were unimaginable before.”

Ready to explore how AI can transform your approach to fundraising? Visit Element451's AI Learning Center to discover tools and guides designed for higher education professionals.

The future of donor engagement starts here — let’s lead the way together.

Frequently Asked Questions (FAQs):

How does AI improve fundraising?

AI helps teams work more efficiently by automating repetitive tasks, personalizing donor outreach, and analyzing trends to improve fundraising strategies.

What are the benefits of AI for donor engagement?

AI enables schools to create tailored, meaningful interactions with donors, leading to stronger relationships and increased loyalty.

How can schools start using AI?

Start with simple tools like ChatGPT to craft donor messages or segment alumni lists. As you get comfortable, explore AI dashboards and predictive analytics to take your strategy to the next level.

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