Most thank-you letters are polite, well-intentioned, and… completely forgettable. If they worked the way we hope, donor retention wouldn’t be stuck around 45%. Yet people give once and disappear — all the time.

In this episode of The Million Dollar Nonprofit, Tom Kelly reveals the real reason your thank-you letters aren’t working and exactly how to fix them using AI and human psychology. Gratitude isn’t a formality — it’s the foundation of donor relationships.

You’ll learn the 5 truths most nonprofits get wrong:

1. Letters are for you, not the donor. Donors give to express who they are. Thank the person, not the gift.
2. Letters arrive too late. Gratitude delayed is gratitude diluted — timing matters.
3. Letters are too long. Donors don’t need a report, they need one feeling, one moment, one impact.
4. Letters don’t show impact fast enough. Concrete details stick. “Because of you, a mom didn’t have to choose between groceries and medicine this week.”
5. Letters accidentally end the relationship. Instead, open the door to belonging: “You’re part of this now. I’ll share more with you soon.”

Tom walks you through a thank-you formula that works: