Major donors give for a mix of personal and external reasons. Thus, some donate because they’re deeply passionate about a cause, want to make a real difference, or feel a moral responsibility to give back. While recognition, tax benefits, or social connections influence others. Therefore, understanding these major donor motivations helps nonprofits build stronger, more meaningful relationships with donors. When organizations engage donors in a way that aligns with their values and goals, philanthropy becomes more than just a transaction—it becomes a lasting partnership that drives real change. In today’s podcast, Courtney Laddusaw from Bristol Strategy Group and Stephen Halasnik from Financing Solutions, a leading provider of lines of credit for nonprofits (similar to an on-demand business loan for nonprofit organizations), discuss the motivations of major giving donors.
Summary
Understanding the Motivations of Major Giving Donors
Major donors play a critical role in philanthropy, contributing significant funds to support nonprofits, educational institutions, healthcare organizations, and social causes. But the question is, why do they give? What could drive someone to part with a large sum of money for a cause? Understanding their motivations isn’t just helpful—it’s essential for organizations looking to build lasting relationships and secure transformational gifts.
While every donor is different, major donor motivations generally fall into two categories: intrinsic (motivators from within) and extrinsic (external motivators).
Intrinsic Motivators
Intrinsic motivators come from within. These are the deeply personal reasons that drive someone to give—things like values, beliefs, and emotional connections. Interestingly, studies have shown that major donor motivations are often intrinsic. For these donors, philanthropy is not just a transaction; it’s an extension of who they are.
Personal Passion and Values
For many major donors, giving is not about prestige or financial perks—it’s about passion and values. They donate because a cause speaks to their heart. Maybe they grew up in poverty and want to support programs that help low-income families, or they lost a loved one to a disease and want to fund medical research. When donors feel personally connected to an issue, giving becomes a way for them to make a difference in a way that truly matters to them. Nonprofits that take the time to understand major donor motivations, such as a donor’s life journey, and align their messaging accordingly will build solid and more genuine relationships.
Desire to Make an Impact
One of the major donor motivations is the desire to make an impact. As you know, no one wants to throw money into a black hole. Major donors want to see real, measurable change as a result of their giving. They don’t just want to donate; they want to solve problems. This is why organizations that provide clear, compelling impact reports, success stories, and real-world evidence of their work tend to attract and retain major donors. When people see the direct impact of their contributions—whether it’s a new school built, a life saved, or a groundbreaking research project launched—it validates their decision to give and encourages continued support.
Religious or Ethical Beliefs
For some donors, giving is a moral or religious responsibility. Many faith traditions emphasize charity, and some donors see philanthropy as an expression of their values. Others may not be religious but still feel a deep ethical obligation to help those less fortunate. Whether motivated by scripture, personal conviction, or a sense of justice, these donors want to support causes that align with their beliefs. Hence, nonprofits that acknowledge and respect these motivations can build meaningful connections with values-driven donors.
Personal Connections to the Organization
Sometimes, philanthropy is personal in the most direct way. A donor might give to a hospital because it saved their child’s life. They might support their alma mater because it provided them with opportunities they wouldn’t have had otherwise. These personal connections can be incredibly powerful. Nonprofits that engage donors through personalized outreach—such as private tours, one-on-one meetings, and heartfelt impact stories—can deepen these emotional bonds and turn one-time donors into lifelong supporters.
Extrinsic Motivators
Extrinsic motivators come from outside influences. While these factors might have some level of influence, they are not major donor motivations in many cases. These donors may still care about the cause, but recognition, financial benefits, or social connections influence their giving.
Recognition and Legacy
Some donors want to leave a lasting mark. They may be drawn to opportunities where their name is attached to a building, a scholarship fund, or a new program. Others might appreciate public acknowledgment through awards or leadership roles within an organization. While recognition isn’t the primary motivation for every major donor, it can be a meaningful way to honor their generosity. So, nonprofits should offer recognition in ways that align with the donor’s personality—some want the spotlight, while others prefer quiet acknowledgment.
Tax and Financial Benefits
While few donors give only for the tax breaks, financial incentives can make philanthropy more appealing. High-net-worth individuals often work with financial advisors to maximize their giving potential while minimizing tax burdens. Charitable remainder trusts, donor-advised funds, and stock donations are just a few of the tools they use. Nonprofits don’t need to be financial experts, but they should have a basic understanding of these strategies and be able to facilitate conversations between donors and their advisors. Again, studies have shown that this is not a major donor motivator for giving.
Social Influence and Peer Networks
Giving can be contagious. Many donors are inspired by their peers through exclusive donor circles, high-profile fundraising events, or simple conversations with friends. Some donors want to be seen as leaders in philanthropy, while others give because they see people they admire doing the same. Your nonprofits can tap into this by creating opportunities for donors to engage with like-minded philanthropists through networking events, advisory boards, or collaborative giving initiatives.
The Best Strategies and Practices to Achieve Fundraising Successes in Small Charitable Organizations
The key to successful fundraising isn’t just about asking for money—it’s about understanding major donor motivations, profiling donors, and building relationships based on those motivations. Every donor is different, and a one-size-fits-all approach simply won’t work. Nonprofits that take the time to listen, personalize their outreach, and demonstrate real impact will create stronger, more lasting donor relationships.
For intrinsically motivated donors, focus on storytelling, emotional connections, and impact reports, highlighting the real change their donations are making. For extrinsically motivated donors, offer thoughtful recognition, structured giving opportunities, and chances to connect with influential peers.
At the end of the day, philanthropy is about more than just money—it’s about people. And when organizations truly understand what drives their donors, they can create partnerships that don’t just raise funds but change lives.
About Our Guest, Dr. Courtney Laddusaw From Bristol Strategy Group
Courtney Laddusaw, EdD, MNLM, is the Lead Consultant at Bristol Strategy. Dr. Laddusaw has over three years of nonprofit consulting experience and over 14 years of field experience working as a fundraising professional with small to large-sized nonprofit organizations.
Learn About Stephen Halasnik
Stephen Halasnik is a Managing Partner at Financing Solutions, the largest provider of lines of credit to small nonprofits in 48 states since 2012. Mr. Halasnik has hosted the popular The Nonprofit MBA Podcast since 2018. The podcast brings experts together to discuss fundraising, nonprofit grants, executive director leadership, nonprofit boards, and other essential topics. You can learn more about the nonprofit line of credit program here.