7 Steps to Success: How to Audit Your Acknowledgments

In large, matrixed nonprofit organizations, donor experiences can vary greatly from unit to unit. Without shared standards, one donor may get a warm, timely acknowledgment for a gift of $100, while another donor, for a similar gift, receives a generic form letter. Consistency in the donor experience isn’t just a nice-to-have. It’s essential for building trust, strengthening relationships, and retaining donors across units and divisions.

And the research backs it up. 

According to Penelope Burk’s Donor Centered Fundraising, 93% of donors say they would definitely or probably give again if two simple things happen:

1. They're thanked promptly in a personal way.

2. They're followed up later with a meaningful report on the impact of their gift.

   
   

Acknowledgment audits help ensure that the foundational elements of the donor experience (and, ever more importantly, donor retention) are consistently and confidently executed.  And don’t let that word “audit” send shivers up your spine. An acknowledgment audit is simply a fact-finding mission that, when done correctly, can help build relationships with unit partners and highlight those who are doing a great job.

In order to make this process as simple as possible, I’ve broken it down into seven steps:

Step 1: Choose the Right Audit Type

There are two types of acknowledgment audits.

Discovery Audit  Use this when:

• You’re new to the team.

• No one has audited the acknowledgments in 2 or more years.

• You're unsure what’s being sent or who is sending it.

  
  

This is a fact-finding mission to establish a baseline against which to 1) compare improvements and 2) create right-sized standards in acknowledgments for your organization. The latter is key—you can’t create realistic standards for YOUR organization without first getting the lay of the land.

Improvement Audit  Use this when:

• You’ve already created acknowledgment standards.

• You want to evaluate performance against those standards.
  

This type of audit can run the risk of feeling a little “Big Brother”-esque. That’s why it’s important to have already conducted a previous discovery audit that surfaced opportunities for central donor relations to support unit partners. Just as important, you’ve followed through on those opportunities, communicated your standards clearly (and repeatedly), and created a shared understanding so that any gap identified in this phase is not a surprise.

The table below further explains the difference between these two audit types:

Step 2: Ask the Right Questions

The basis of a successful acknowledgment audit is a list of strong questions that are asked of every single unit and unit partner. Organize your audit questions around the 3 Ps framework: Product, Process, and Performance.

Product: What’s being sent?

• Is the acknowledgment sent on branded letterhead? Or, if sent digitally, in an approved email template?

• Is the acknowledgment’s tone warm and genuine?

• Does it avoid opening with “Thank you”?

• Is it 3 to 5 sentences long?
  

Process: How is it being done?

• Are acknowledgments sent within 7 days of the date of gift?

• Are staff following agreed-upon procedures?

• Who is creating the acknowledgments? Is that person being invited to attend meetings where standards are reinforced and training opportunities provided?

• Are acknowledgments tracked in the database?
  

Performance: How does it feel for the donor and staff?

• Have unit partners conducted any surveys or focus groups about the donor’s experience receiving acknowledgments?

• Do staff feel supported in creating them?

• What would make the process 10 percent better?
  

Step 3: Gather Materials the Smart Way

• Use file sharing (Dropbox, OneDrive, etc.) to collect acknowledgment samples. You want not only the templates, but also sent-to-donor copies so that you can get a sense of the donor’s experience receiving acknowledgments.
  

• Schedule conversations with acknowledgment “owners” when possible to provide answers to your audit questions, particularly if you are looking to build relationships with unit partners. If that’s not possible for you, a well-designed Google forms survey can be a great asset.
  

• Share your questions in advance so your partners can prepare. This is good practice whenever you’re having a meeting, of course, but is essential in these acknowledgment audit conversations. Otherwise, you’re going to get a lot of “let me look into that and get back to you” responses.
  

• Reassure partners that this is a safe space for honesty and improvement. Particularly with a discovery audit–it hasnot been done before (or in a long time) and you’re just trying to get a sense of what’s happening in your organization.
  

Step 4: Analyze Without Judging

When you review acknowledgments:

• Be as objective and numerical as possible. Count sentence length, instances of use of donor-centric language, and personalization tokens or variable data fields.
  

• Note strengths and common patterns as well as opportunities to improve. This will be particularly helpful when you share results with leadership as you’ll want to give your high performers some time in the spotlight.
  

• Assume generous intent. Most people are doing the best they can with the limited time they have each day. Our unit partners probably spend a lot less time thinking about acknowledgements than we do!
  

• Avoid saying "This is bad." Instead say, "This sample is 134 words, and our org’s standard is under 100." Blanket judgement statements are rarely helpful in any instance, but especially in acknowledgment audits when you’re trying to demonstrate improvements or changes over time.
  

Track useful metrics such as:

• Percent of acknowledgments sent within 7 days.

• Percent that includes the donor’s name in the email subject line.

• Percent that open with something other than “Thank you.”
  

Step 5: Write a Report That Gets Read

Your final report should include:

• An executive summary of high-level findings, opportunities for improvement, pride points, and next steps.
  

• One page per question or standard that you’re measuring. This will make it much more likely to be read and the information absorbed in our “skim as you go” era.
  

• Clear charts or graphs.
  

• Quotes or themes heard during interviews, anonymized.
  

• Samples from unit partners who are doing a great job.
  

Include a resource section with relevant templates and training links to support improvement. You’ll want to share this with your unit partners as well, so including resources will help those folks begin to improve right away.

Step 6: Present your report to leadership with purpose

• Know your audience. Some leaders prefer data in a PowerPoint, others want a brief written summary.
  

• Focus on major themes and realistic next steps.
  

• Highlight what’s working and identify champions.
  

Step 7: Put the Audit to Work

Once the audit is complete:

• Create or revise acknowledgment standards.
  

• Offer training and resources for unit partners to address findings.
  

• Build a schedule for follow-up improvement audits. That way, there is a cultural expectation that these standards will be revisited!
  

• Celebrate what is working.
  

Acknowledgment Standards Cheat Sheet

• Acknowledgments and tax receipts should be separate documents. Take a look at this great article to learn more.
  

• Acknowledgments should be 3 to 5 sentences long. I say this with love, but most of your acknowledgments are way too long. In our attention economy, less is more. As Shakespeare so famously opined, “Brevity is the soul of wit.”
  

• Focus on the donor, not the institution or signer. Keep your acknowledgments from feeling like a newsletter or a reminder to attend an event.
  

• Avoid opening with “Thank you.” Show a little creativity and surprise your donors with a sentence that really grabs their attention.
  

• Match the format to the giving channel (e.g., email for online, print for direct mail).
  

Final Thoughts

Acknowledgment audits are not about critique for critique’s sake. They’re about clarity, consistency, and continuous improvement. When done thoughtfully, they give donor relations professionals a clear picture of what’s working, where support is needed, and how to build a more unified donor experience across large, complex organizations.

Want to take a deeper dive into acknowledgment fundamentals and processes, or provide comprehensive training for your team? Don't miss our Keys to Acknowledgments Bootcamp October 15-16.

Written by Colton Withers