AI offers incredible opportunities for nonprofits to work smarter, reach more people, and achieve greater impact—but it’s not about replacing the human touch. Instead, AI should complement human efforts, making it easier for nonprofits to focus on what they do best: building connections, advocating for change, and improving lives.

The key to success lies in starting small, experimenting with tools that align with your mission, and continuously refining your approach. With thoughtful integration, AI can empower your nonprofit to make an even bigger difference.

Are you ready to explore the possibilities? The future of nonprofit work is here—and AI is ready to help you shape it. In today’s podcast, Howard Levy from Red Rooster Group and Stephen Halasnik from Financing Solutions discuss how nonprofits can use AI effectively.

A Spotlight On How Nonprofits Can Use AI Effectively

Artificial Intelligence (AI) is no longer just a buzzword or the stuff of science fiction. It’s become a practical, transformative tool for organizations across industries—nonprofits are no exception. From streamlining repetitive tasks to engaging donors and improving program outcomes, AI can help nonprofits amplify their impact while saving time and resources.

However, AI isn’t a magic wand. Its success depends on thoughtful, ethical use tailored to the unique needs of nonprofits. 

In this article, we’ll explore practical and actionable ways nonprofits can use AI effectively to fulfill their missions.

Streamline Administrative Work

Your nonprofit can effectively use AI to streamline its administrative work. Generally, nonprofits often have to do a lot with minimal resources. They usually battle with limited staff, tight budgets, and ever-growing to-do lists are the norm. That’s where AI-powered tools can be a lifesaver for your nonprofit.

AI excels at automating repetitive, time-consuming tasks like data entry, scheduling, and email follow-ups. For example:

Email and Calendar Management: AI-powered virtual assistants like Google Workspace’s Smart Features or Microsoft Cortana can organize emails, set reminders, and even schedule meetings.

Task Automation: Platforms like Zapier or Make.com (formerly Integromat) can automate workflows—such as logging donations into a CRM system, sending thank-you emails, or assigning follow-up tasks to team members.

By offloading administrative burdens to AI, nonprofits free up their staff to focus on what matters, connecting with people and driving their mission forward.

Improve Donor Engagement

It is a fact that fundraising is the lifeblood of most nonprofits, and artificial intelligence can be a game-changer when it comes to engaging donors effectively. AI tools can provide insights to help organizations communicate with their supporters more personally and strategically by analyzing donor behavior and preferences. 

Here’s how nonprofits can use AI effectively for donor engagement:

Tailored Communication: Instead of generic email blasts, AI tools like Mailchimp or Constant Contact can segment donor lists based on giving history, interests, and engagement levels, ensuring every message feels personal.

Predictive Analytics: Platforms like DonorSearch or EveryAction use machine learning to predict which donors are likely to give again or even increase their contributions, allowing nonprofits to prioritize those relationships.

AI Chatbots: Tools like ManyChat or Drift can provide real-time interaction with potential donors. For example, a chatbot on your website could answer questions about your mission, guide users through the donation process, or share stories about how donations make an impact.

Remember, donors who feel seen and valued are more likely to stay connected and contribute over the long term.

Run More Effective Fundraising Campaigns

Successful fundraising campaigns require a mix of creativity, data analysis, and strategy—three areas where nonprofits can use AI effectively to make a significant impact. Artificial intelligence can help nonprofits identify what works, optimize campaigns in real-time, and maximize donations. 

Here’s how your nonprofit can use AI effectively for fundraising campaigns:

Audience Targeting: AI tools can analyze demographics, interests, and online behaviors to identify the right audiences for your campaigns. For example, social media platforms like Meta Ads Manager already use AI to refine ad targeting, ensuring your message reaches the people who are most likely to care.

Optimized Messaging: AI-powered platforms like HubSpot can A/B test campaign messages to see which resonates best. This means no more guessing about subject lines, call-to-action buttons, or design elements.

Real-Time Adjustments: Some AI tools, like AdRoll or Google Ads Smart Campaigns, can adjust campaign settings on the fly, reallocating your budget to high-performing ads or optimizing for the best results.

Make Data-Driven Program Decisions

One of AI’s most powerful applications is its ability to turn raw data into actionable insights. We all know nonprofits often collect large amounts of data—whether from surveys, service delivery, or demographic studies—but analyzing it can be overwhelming. However, your nonprofit can use AI tools to simplify this process. For instance:

Needs Assessment: AI tools can analyze public data (like census reports or social media trends) to identify underserved communities or highlight urgent needs within a population. For example, a food bank could use AI to identify areas with the highest rates of food insecurity.

Program Evaluation: Platforms like Tableau or Power BI can integrate AI to measure program outcomes in real-time. For instance, nonprofits can track metrics like participant engagement, success rates, or cost efficiency to see what’s working and what isn’t.

Predictive Modeling: AI can predict future trends, like how demand for services might change based on economic or environmental factors. This helps nonprofits plan and allocate resources more effectively.

Expand Access to Services

Many nonprofits provide direct services to the communities they serve. AI can help improve the accessibility, efficiency, and scalability of these services, ensuring more people get the support they need. Your nonprofit can achieve this using the following AI tools:

AI Chat Support: Nonprofits can use chatbots to answer common questions or guide users to resources—especially during high-demand periods. For example, a mental health nonprofit could use a chatbot to help users find counseling services or crisis hotlines.

Translation Services: Tools like Google Translate or DeepL enable nonprofits to communicate with multilingual communities, breaking down language barriers and ensuring inclusivity.

Crisis Response: AI-powered platforms like Crisis Text Line use natural language processing (NLP) to identify people in immediate distress and provide tailored support, ensuring that no cry for help goes unanswered.

Amplify Advocacy and Awareness

For nonprofits that rely on advocacy to drive change, AI can supercharge efforts to spread their message and engage the public.

Social Media Insights: AI tools like Sprout Social or Hootsuite Insights can analyze social media trends, helping nonprofits identify the best times to post, track engagement, and refine their messaging.

Content Creation: Generative AI platforms like ChatGPT or Jasper AI can assist with drafting blog posts, social media captions, press releases, or email campaigns—saving time while ensuring the message stays consistent.

Sentiment Analysis: AI can monitor public sentiment around key issues, allowing nonprofits to adjust their messaging to maximize resonance and minimize backlash.

Precautions Against Abuse of AI

While the benefits of AI are clear, nonprofits also need to approach it with care and responsibility. Ethical considerations should always be top of mind when using AI.

Transparency: Be upfront about how AI is used, especially when interacting with donors or beneficiaries.

Data Privacy: Safeguard personal data, ensuring it’s only used for its intended purpose and never shared without consent.

Bias Mitigation: Regularly audit AI tools to ensure they don’t reinforce harmful biases, especially in areas like hiring, program evaluation, or service delivery.

About Our Guest, Howard Levy From Red Rooster Group

As President of Red Rooster Group, Howard Levy has helped hundreds of nonprofit organizations wake up their brands, raise more money, and reach a higher level of success. He specializes in harnessing behavioral psychology, effective storytelling strategies, and action design principles to motivate people to donate and take action. For the past 2 years, he’s been exploring how nonprofits can harness the power of AI. He’s here to share some insights and inspiration.

Learn About Stephen Halasnik

Stephen Halasnik co-founded Financing Solutions, the leading provider of lines of credit for nonprofits and church financing. The credit line program for nonprofits & churches is fast, easy, inexpensive, and costs nothing to set up, making it a great backup plan when cash flow is temporarily down. Mr. Halasnik is also the host of the popular, Nonprofit MBA Podcast. The podcast brings experts to discuss fundraising, nonprofit grants, executive director leadership, nonprofit boards, and other important topics. You can learn more about the nonprofit line of credit program here or call 862-207-4118.