How defaulting to recurring gift on a premium offer donation page impacts donor conversion
Experiment ID: #187895
FamilyLife
Experiment Summary
Timeframe: 08/01/2024 - 08/29/2024
FamilyLife is a Christian organization focused on strengthening marriages and families by providing resources, events, and guidance rooted in biblical principles, helping people navigate the challenges of family life, and fostering lasting, healthy relationships. In this experiment, we aimed to test whether defaulting to a recurring gift option and emphasizing its impact would increase recurring donations.
The test involved two variations on the donation page. The Control version defaulted to a one-time gift of $50 and included a call-out stating, “Equip 39 families with practical insights to strengthen the relationships that matter most.” Conversely, the Treatment defaulted to a $15 recurring gift and featured a more compelling call-out: “Equip 140 families with practical insights to strengthen the relationships that matter most.” This A/B test was split 50/50 and was tested on 5 premium donation pages, including two best-performing offers: Seeing Beautiful Again and 52 Weeks in the Word.
We hypothesize that by highlighting the broader impact of recurring gifts and making it the default option, we would see an increase in the number of donors choosing to make recurring contributions, ultimately boosting donor retention and long-term support for FamilyLife’s mission.
Research Question
We believe that defaulting to a recurring gift and emphasizing its broader impact for FamilyLife donors will increase the number of recurring donations because it presents a more manageable commitment and highlights the significance of ongoing support, encouraging more donors to commit to long-term giving.
Design
C: Control
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Results
| Treatment Name | Conv. Rate | Relative Difference | Confidence | Average Gift | |
|---|---|---|---|---|---|
| C: | Control | 0.00% | $18.49 | ||
| T1: | $15 Recurring Default | 0.53% | 100.0% | 100.0% | $16.18 |
This experiment has a required sample size of 726 in order to be valid. Since the experiment had a total sample size of 7,524, and the level of confidence is above 95% the experiment results are valid.
Flux Metrics Affected
The Flux Metrics analyze the three primary metrics that affect revenue (traffic, conversion rate, and average gift). This experiment produced the following results:
0% increase in traffic
× 100.0% increase in conversion rate
× 12.5% decrease in average gift
75.1% increase in revenue
Key Learnings
Through this experiment, we observed that defaulting to a recurring gift resulted in 20 conversions compared to 0 in the Control group, marking a 0.53% increase in recurring donations with a 100% level of confidence. Revenue was down by 29.4%, but this was at a 16.1% level of confidence, indicating that the change is not statistically significant and suggesting no substantial negative impact on immediate revenue. Overall transactions were lower, reflecting the shift from one-time gifts to recurring donations. However, we identified that FamilyLife’s recurring donors have a significantly higher retention rate of 77% compared to 24% for episodic donors, an increase in retention of 247%, underscoring the value of focusing on recurring contributions for the organization’s long-term sustainability.
The increase in recurring donations can be attributed to the effective use of a default recurring gift option, which likely made it easier for donors to commit to ongoing support. The enhanced messaging, which emphasized the broader impact of recurring gifts, probably resonated more with donors and encouraged them to choose the recurring option.
Next Steps:
- We recommend that FamilyLife continue to default to a recurring gift on their donation pages. This should be a permanent update to their microsite.
- Refine Impact Messaging: Continue testing variations of impact messaging to determine the most effective approach for driving recurring donations.
- Optimize Recurring Amounts: Experiment with different recurring gift amounts to find the most appealing option for donors.
- Monitor Long-Term Performance: Track the performance of recurring donors to assess their impact on retention and overall organizational goals.