Setting a Strategy for DAF Growth: Key Takeaways for Providers

Donor-advised funds (DAFs) are the fastest-growing vehicle in philanthropy — but growth in the sector doesn’t guarantee maximum growth for your program. For DAF providers, the question is no longer whether DAFs will grow, but how to set a strategy that makes your program stand out, scale sustainably, and deliver a better experience for both donors and nonprofits.

That was the focus of a recent conversation between Mitch Stein (Head of Strategy at Chariot) and Melissa Ekanem, a 17-year Fidelity alum who led large-scale growth initiatives at Fidelity Charitable before joining Chariot.

Watch The Recording

Here are the most important takeaways — and action items — for providers building out a more intentional growth strategy today.

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1. Close the Awareness Gap

Despite explosive growth in adoption, awareness of DAFs remains surprisingly low. Fewer than 10% of financial advisors offer them, and at the largest financial services firms, less than 1% of clients actually hold a DAF. Especially for community foundations, even when donors in their area are aware of DAFs, it’s still common they have no idea their local community foundation offers one as well.

Action item: Build a proactive marketing and education strategy. Use DAF Day as a campaign moment to spotlight your program. Share clear, donor-friendly explanations of what a DAF is and why it matters.

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2. Make Donor Experience Your Growth Engine

A decade ago, opening and using a DAF often required paper forms and long waits. Today, most providers offer a digital experience — but donors still encounter friction in portals, and they want more seamless ways to use their funds.

“When donors have a seamless, engaging experience with their DAF, they’re more likely to use it, recommend it to others, and bring in more assets over time.” Melissa Ekanem

Some providers still fear that making donor experience “too easy” will shrink assets under management. But the opposite is true: great experiences expand the pie. Engaged donors don’t just give more often — they also contribute more to their accounts.

Action items:

• Audit your donor portal for friction points and usability issues.

• Ensure your DAF is connected in DAFpay, so donors can give directly on 50,000+ nonprofit donation forms, campaign pages and websites.

• Track engagement metrics (account activity, grant volume, donor satisfaction) and set goals around them. AUM alone doesn’t tell the growth story.

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3. Fix the Grant Payment Process

DAFs exist to drive impact via nonprofits, yet too often nonprofits describe their experience with DAF gifts as “chaotic” or “cumbersome.” At the same time, providers are weighed down by time-consuming, manual, and increasingly risky disbursement processes — from nonprofit vetting to check sending to constant bank detail confirmations — tasks repeated over and over again by every provider across the country.

Action item: It’s probably time for an upgrade to your disbursement process. Explore how Chariot Disbursements solves for both sides of the equation — delivering faster, safer payments with complete grant details for nonprofits, while reducing risk, manual work, and compliance burden for DAF providers.

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4. Equip Donors With Confidence

Even once donors have a DAF, many feel uncertain about where to give. That paralysis slows down generosity. Community foundations, in particular, can play a powerful role here by guiding donors to causes close to home.

Action item: Provide resources that connect donors with trusted causes. Whether that’s curated giving guides, local nonprofit roundtables, or thematic funds, helping donors feel confident unblocks generosity — and encourages them to add more to their accounts.

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5. Leverage DAF Day for Collective Impact

Achieving DAFs’ full potential won’t come from isolated efforts within one provider. Collective moments like DAF Day offer DAFs the chance to align marketing, donor engagement, and nonprofit partnerships. 

“This can’t just be each DAF figuring it out alone. Coalition building is key to long-term growth.” Mitch Stein

Action item: Download the DAF Day Provider Toolkit for plug-and-play marketing assets. Use it to highlight your program, engage your fundholders, and strengthen the entire DAF ecosystem.

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Final Takeaways & Next Steps

Sustainable DAF growth doesn’t happen by accident. It comes from:

• Closing the awareness gap so more donors know about your program.

• Making donor experience your growth engine with seamless portals and integrations like DAFpay.

• Fixing the grant payment process through Chariot Disbursements to reduce risk and make nonprofits eager partners - not detractors.

• Equipping donors with confidence so generosity flows more easily.

• Leveraging DAF Day to tap into a collective movement with aligned goals, that has ready-to-use assets for easy activation.

By tackling these priorities, you’ll not only grow your DAF program — you’ll contribute to a stronger, more connected philanthropic ecosystem.