Nonprofit Mastermind Podcast: Episode Summary
Title: Let’s Talk About AI (And How It Can Help Us Do More With Less)
Host: Brooke Richie-Babbage
Guest: Scott Brighton, CEO of Bonterra
Release Date: July 29, 2025
Introduction
In this insightful episode of the Nonprofit Mastermind Podcast, host Brooke Richie-Babbage delves into the transformative potential of Artificial Intelligence (AI) and data analytics for nonprofit organizations. Joined by Scott Brighton, CEO of Bonterra, a social good software company, Brooke explores how nonprofits can leverage these technologies to amplify their impact while conserving valuable resources.
Understanding Data and AI
Scott Brighton begins the conversation by clarifying the distinction between data and AI, essential for nonprofits that may feel overwhelmed by technological jargon.
Metaphor for Clarity
At [03:26], Scott uses a relatable metaphor:
“Think about data as the fuel and AI as the engine or the vehicle.”
He further distinguishes between classic AI (machine learning and pattern recognition) and modern AI (large language models like ChatGPT and agentic AI that can perform tasks autonomously). This foundational understanding sets the stage for discussing practical applications.
The Critical Role of AI and Data in Nonprofits
Brooke and Scott address the "why" behind integrating AI and data into nonprofit operations, emphasizing the unique challenges nonprofits face, such as severe resource constraints.
Resource Constraints Highlighted
Scott highlights the stark difference between for-profit and nonprofit resource margins:
“The average nonprofit has to run on the equivalent of 80% margin, right. Give away 80% of its revenue.”
[06:23]
He explains that AI can simplify operations, allowing nonprofits to perform complex tasks with fewer resources. This is particularly impactful for smaller organizations that lack extensive tech teams.
AI as a Simplifier
“AI is actually simpler and easier than classic software... AI agents... can do work on behalf of human fundraisers.”
[06:54]
Practical Applications of AI and Data in Fundraising
The conversation shifts to how nonprofits can utilize AI and data, focusing on fundraising strategies such as donor acquisition and retention.
Finding New Donors
Scott introduces Bonterra's Optimized Ask tool, which analyzes 500,000 philanthropic transactions daily to identify successful fundraising practices.
“We on average increase the average donor size by 11%, which is transformative.”
[12:37]
This tool leverages data patterns to optimize fundraising amounts and outreach methods, making donor acquisition more effective.
Enhancing Donor Retention
Addressing donor retention, Scott explains how AI can predict donor churn:
“One of the things that we can see in the data is early indicators that suggest that a donor may be at risk of churning before they.”
[16:45]
AI assigns a health score to donors, categorizing them into green, yellow, or red statuses. This allows nonprofits to implement targeted engagement strategies to retain valuable supporters.
Impact Report Insights
Scott discusses the 2025 Bonterra Impact Report, highlighting key findings that can guide nonprofits in enhancing their strategies.
Resilience and Consistency
A significant insight from the report:
“63% of nonprofits give up after one grant attempt with a given funder... the winning amount of success with an individual grantor is 1.24.”
[26:38-26:49]
This data underscores the importance of persistence in fundraising efforts, suggesting that multiple engagements with funders greatly increase success rates.
Donor Behavior Patterns
Another notable finding:
“Roughly a quarter of people gave after a year... treating those folks as sustainers can increase their connection with the organization.”
[27:05-27:57]
Understanding that not all sustainers give annually allows nonprofits to tailor their engagement strategies more effectively.
Leveraging Bonterra’s Tools for Strategic Advantage
Scott elaborates on specific tools Bonterra offers that harness data and AI to empower nonprofits.
Fundraising Coaches
Bonterra's fundraising coaches provide conversational insights and automated task execution:
“You can ask it for insights into what's going on in your donor base and it will present reports.”
[23:09]
Grant Match
An upcoming tool, Grant Match, helps nonprofits understand the funding appetites of large organizations by analyzing their grant data. This enables nonprofits to tailor their grant applications more effectively:
“It works for both sides... insights into what a funder is looking for.”
[30:45]
Conclusion and Resources
As the episode wraps up, Brooke encourages listeners to explore Bonterra’s Impact Report and consider trialing their AI-driven fundraising tools to enhance their nonprofit’s effectiveness.
Accessing the Impact Report
“The impact report is available on our website. So that's bonteratech.com.”
[33:11]
Invitation to Engage
Scott invites nonprofits to join their private beta for fundraising coaches, emphasizing the mutual benefits of such collaborations.
Final Thoughts
Brooke concludes by encouraging listeners to leave ratings, subscribe to her newsletter, and engage with the provided resources to continue their nonprofit leadership journey.
Key Takeaways
- Data as Fuel, AI as Engine: Understanding the foundational roles of data and AI is crucial for leveraging them effectively.
- Resource Optimization: AI simplifies operations, allowing nonprofits to achieve more with less.
- Strategic Fundraising: Tools like Optimized Ask and Fundraising Coaches provide actionable insights to enhance donor acquisition and retention.
- Persistence Pays: Consistent engagement with funders significantly increases funding success rates.
- Tailored Engagement: Recognizing diverse donor behaviors enables more personalized and effective engagement strategies.
By integrating AI and data analytics, nonprofits can not only streamline their operations but also make more informed, strategic decisions that drive greater impact. This episode serves as a compelling guide for nonprofit leaders eager to harness technology to amplify their missions.