Eight evidence-based strategies designed specifically for small & medium-sized Australian community organisations, with FREE resources, tools and real-life examples.
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Why do some fundraising campaigns raise millions while others struggle to reach hundreds? The answer lies in understanding the psychological triggers that motivate people to donate. Behavioural psychology research has identified specific principles that can be utilised to increase donations, and they're particularly powerful during end of financial year (EOFY) campaigns when donors are already thinking about tax benefits and year-end administration.
After looking into evidence-based techniques used by the most successful fundraising campaigns, peer-reviewed research, as well as real-world results from Australian community organisations, we put together this guide with 10 evidence-based strategies designed specifically for small and medium-sized Australian community organisations, with free resources, tools, and real-life examples.
Looking for a fundraising platform to boost your EOFY donations this year? Try GiveNow. We are the first all-in-one fundraising platform in Australia, 100% local, with the lowest platform fees (1.5%-3.5% and commission only) and community at heart!
The Science: Nobel Prize-winning psychologist Daniel Kahneman's research found that when people were asked about donating with a $400 anchor, they gave an average of $143. With a $5 anchor, they gave only $20. The first amount mentioned becomes a psychological reference point that influences all subsequent decisions.
Why It Works: Our brains use mental shortcuts when making decisions. The first number we see becomes an "anchor" that pulls our final decision toward it, even when we don't give the suggested amount.
EOFY Application: During tax time, donors are often considering larger financial decisions. Higher anchors can significantly increase average donation amounts.
Begin by researching your current average donation amount from the past twelve months, then set your lowest anchor at two to three times this figure. Create three (or five) suggested amounts with your target positioned as the middle option and pre-set the form to this amount (on GiveNow we call this the “Default suggested donation amount” feature) as most donors naturally gravitate toward this choice.
Testing different anchor combinations will help you find the optimal range for your specific audience and cause. Remember that the goal isn't to manipulate donors but to present options that feel appropriate for the scale of impact you're creating and your level of need.
The Science: Research at Carnegie Mellon University found that people donated significantly more when presented with a story about one specific person versus statistics about many people in need. This is known as the Identifiable Victim Effect (forgive us for the use of the word “victim” here - it is their phrase, not ours!). We respond more strongly to individual stories than to large-scale data.
Why It Works: Our brains evolved to care about individuals we can visualise and empathise with. Statistics activate analytical thinking, but stories activate emotional responses that drive action.
EOFY Application: Tax time messaging often focuses on numbers and financial benefits. Balancing this with compelling personal stories creates both emotional and rational motivation to give.
Start by featuring one compelling individual prominently in each campaign piece and use first-person narratives whenever possible with appropriate permissions. Include authentic photos that show dignity, hope, and transformation rather than just hardship, and always connect the individual story to your broader impact.
Example: Three months ago, Sarah sat in our waiting room with her hands shaking. She'd lost her job in March, her anxiety was overwhelming, and she felt completely alone. "I didn't know how I was going to get through each day," she said.
Today, Sarah has the tools to manage her anxiety and recently started a new job she loves. Through our counselling program, she learned breathing techniques that help during panic attacks and developed strategies to rebuild her confidence. "I have hope again," she said with a smile that lit up the room.
Your $100 donation before June 30 provides four counselling sessions for someone like Sarah. After tax benefits, your gift costs even less, but it creates transformation that lasts a lifetime.
Right now, 47 people are on our waiting list, hoping for the same support that changed Sarah's life. Will you help us reach them before the EOFY deadline?
Donate $100 Today
The Science: Social dynamic donors are more likely to support a cause if an 'influencer' or trusted community member endorses it. We naturally look to others' behaviour to guide our own decisions, especially people we identify with or respect.
Why It Works: Social proof taps into our evolutionary need to belong to groups and follow social norms. When we see others giving, it signals that donation is both safe and socially desirable.
EOFY Application:
- Collect endorsements from respected community figures and include in your text on the page where the donation process starts.
- Show donation progress publicly with a target
- Feature testimonials from diverse supporter groups
- Create peer-to-peer fundraising opportunities – when supporters
GiveNow Social Features: Our crowdfunding platform makes it easy to showcase community support with real-time progress tracking and supporter messages that create powerful social proof for your campaigns. Below is an example of what previous donor amounts and comments can look like:
GiveNow also offers a target to show donation progress for pages, should there be an amount set.
The Science: People work harder to avoid losing something than to gain the equivalent. Loss aversion is one of the strongest psychological motivators. The fear of missing out on tax benefits creates urgency that drives action, especially when combined with countdown messaging.
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EOFY Application: The EOFY deadline creates authentic urgency as expenses need to occur by 30 June to count towards this year’s tax return. Consider using countdown timers on your website and emails, framing urgency around the tax benefit, not just your needs, and sending reminders at strategic intervals (7 days, 3 days, final day).
Example:
June 24: "One week left to claim your tax deduction"
June 27: "Four days left - don't miss out on supporting us AND getting tax benefits"
June 30: "Final hours: Your tax-deductible donation expires at midnight"
GiveNow Prompts Urgency: Our platform includes built-in countdown timers for your causes and CrowdRaisers, prompting donors to take action while visiting the page Here’s an example of the countdown timer:
The Science: The reciprocity effect occurs because people tend to respond to a positive action with an additional positive action. However, research also shows that thank-you gifts can backfire by making giving feel transactional rather than altruistic.
Why It Works: Genuine gratitude reinforces the donor's decision and builds foundation for future giving. But it must feel authentic, not transactional.
EOFY Application: Immediate, personalised thank-you messages reinforce the good feelings associated with giving and remind donors of how they are valued by your organisation. If you can, call them to say thank you. Next best option is to personalise your written thank-you message with their name, a personal anecdote and gift amount and then connect their gift to specific outcomes.
And the best part? Next year, you will be amazed at how many of these donors return to donate again!
The Science: Research shows that too many choices can be a bad thing - people have a harder time choosing from larger ranges of options compared to small numbers of possibilities. The key is providing enough choices as options without creating decision paralysis.
Why It Works: Our brains use mental shortcuts when faced with decisions. Well-designed choices guide people toward your preferred outcome while preserving their sense of autonomy.
EOFY Application: Structure donation amounts, payment methods and giving frequencies to guide donors toward optimal choices without overwhelming them. Offer 3 - 5 donation amounts maximum, make your target amount the middle option, highlight one option as "most popular" or "recommended" and provide 2 - 3 payment methods only.
Offer Choices on GiveNow: Below is an example of how GiveNow can offer choices to their prospective donors:
The Science: People value things more highly when they feel ownership of them. This "endowment effect" can be triggered by language that makes donors feel like partners rather than just contributors.
Why It Works: Ownership creates emotional investment. When donors feel like they are part of your organisation's success, they are more likely to give and give repeatedly.
EOFY Application: Use inclusive language that makes donors feel like partners in your mission, especially when highlighting year-end achievements.
Small changes in language can dramatically shift how donors perceive their relationship with your organisation. Replace "We helped 500 families this year" with "Together, we helped 500 families this year" to create shared ownership of success.
Similarly, transform "Your donation supports our programs" into "Your donation makes you a partner in our mission," and change "Thanks for supporting us" to "Thanks for being part of our community." These subtle shifts create emotional investment that extends far beyond single transactions.
The Science: When decisions feel difficult or complex, people often delay or avoid them entirely. "Cognitive ease" research shows that fewer steps in the process are more likely to result in action.
Why It Works: Our brains are designed to conserve mental energy. The easier you make the donation process, the more likely people are to complete it.
EOFY Application: The most effective approach involves embedding donation forms directly on your website rather than redirecting to external payment processors. Prepopulate any information you already have about the donor and minimise required fields to only essential details. Whilst many organisations really want to ask questions during the donation process, we highly recommend that you don’t - or keep them to a minimum.
Use clear, conversational language throughout the process, and provide simple next steps that don't require donors to make additional decisions. The easier you make the donation process, the more likely people are to complete it, especially fields that require personal data such as phone numbers or address details.
GiveNow Embedded Form Feature: GiveNow’s embedded form feature (available for Pro Plan users) streamlines donation processing, so donors can have a smooth donation
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experience while staying on your website. The process is reduced to 3 simple steps that are a delight for donors to move through on your website – ensuring donor conversation is as ideal as possible!
Want to dive deeper into behaviourial psychology? Here are some helpful books, research articles, and organisations that might be useful for your learning.’
Books:
• "Thinking, Fast and Slow" by Daniel Kahneman
• "Influence: The Psychology of Persuasion" by Robert Cialdini
• "Nudge" by Richard Thaler and Cass Sunstein
• "The Righteous Mind" by Jonathan Haidt
Research Sources:
• Behavioural Insights Team (UK Government)
• Center for Advanced Hindsight (Duke University)
• Carnegie Mellon University behavioural economics research
• Journal of Behavioral Economics and Psychology
Australian Organisations:
• Australian Behavioural Economics Team (BETA)
• Fundraising Institute Australia research
• Australian Centre for Philanthropy and Nonprofit Studies
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Using AI to write email copies or social media posts? Here are a few tips to consider when you are writing the prompts.
An effective AI prompt requires specific instructions, detailed context, and clear objectives. For writing a fundraising campaign, begin with precise instructions about your organisation's mission, target audience, and specific campaign goals, rather than generic requests for "donation letters".
Include concrete details such as your average donation amount, key demographics of your supporters, and the specific outcomes their gifts will achieve. For example, instead of asking for "an EOFY email," request "a 200-word EOFY email for working parents aged 3550 who previously donated $50-100, explaining how their $75 gift provides after-school tutoring for one child for a month, emphasising tax benefits and the June 30 deadline".
Always specify the desired tone (urgent but hopeful, professional but personal), word count, and any Australian-specific elements like spelling, tax deductibility messaging, or cultural references. Include examples of your organisation's previous successful communications to help the AI match your authentic voice and request multiple variations to test different approaches.
The best prompts also ask for specific psychological triggers relevant to your audience, such as "include social proof by mentioning that 127 local families have already donated" or "use loss aversion by emphasising the deadline urgency."
Finally, request that the AI explain the psychological reasoning behind its suggestions, helping you understand why certain approaches work better for future campaigns. You can also prompt the AI to ask you questions about the prompt, so it is fully informed before generating an answer.
• ChatGPT: Has numerous plans, including a good free option.
• Claude: Free AI assistant built for wonderful script creation.
• Perplexity: Free AI-powered answer engine with real-time answers to any question.
Behavioural psychology is all about understanding how people naturally make decisions and designing experiences that align with these patterns. Applying these psychological principles can help your important message reach and motivate the right people at the right time.
Looking for a fundraising platform to boost your EOFY donations this year? Try
GiveNow. We are the first all-in-one fundraising platform in Australia, 100% local, with the lowest platform fees (1.5%-3.5% and commission only), and community at heart!