A simple guide to the systems charities use — and how to choose what’s right for you.
CRMs can feel confusing. Every system promises big things. Every vendor has its own language. And no two charities seem to use their CRM in the same way. It’s easy to feel lost or to assume that everyone else has it figured out.
This module cuts through the noise.
We’ll look at what a CRM actually is, how it differs from other systems like MRMs and FRMs, and why no single solution works for every organisation. By the end, you’ll understand the landscape well enough to make confident choices about what your charity needs — without getting caught up in features, jargon or hype.
This isn’t about turning you into a systems expert.
It’s about helping you ask better questions, avoid common pitfalls, and build a clear picture of what will genuinely support your team.
We finish with a practical exercise to create your Needs vs Nice-to-Haves list — a powerful tool for keeping CRM decisions grounded, human and stress-free.
Lesson 3.1 — CRM, MRM, FRM: What’s the Difference?
And how all your other systems fit into the bigger picture.
Let’s start with something very real: Most charities don’t have one system.
They have lots — CRMs, email tools, fundraising pages, event platforms, form builders, ticketing tools, volunteer systems, grant management tools, service-delivery databases… the list grows quickly.
That’s normal. Modern charities run on an ecosystem, not a single product.
But somewhere inside that ecosystem, you still need one source of truth — the place where supporter records actually live, and everything else feeds into.
This lesson helps you understand the differences between CRM, FRM, MRM and all the other systems that touch your data every day.
Start with the basics: What actually IS a CRM?
A CRM (Customer / Constituent Relationship Management system) is:
A shared place where you store and manage your relationships with supporters, service users, volunteers, donors, partners and stakeholders.
The CRM’s job is to hold:
- contact details
- donations
- interactions
- communications
- preferences & permissions
- event/activity history
- reporting & segmentation fields
It’s the core record — not the only system you use, but the one that everything else should align with.
What about an FRM?
An FRM (Fundraising Relationship Management system) is a CRM with fundraising baked into its DNA.
It typically includes:
- donation processing
- Gift Aid management
- campaign management
- regular giving tools
- supporter journeys
- reporting tailored to fundraisers
Every FRM is a CRM…
…but not every CRM is a good FRM.
This is why some general CRMs struggle in charity fundraising contexts.
And an MRM?
An MRM (Membership Relationship Management system) focuses on:
- subscriptions
- renewals
- membership tiers
- benefits and entitlements
- community engagement
These systems are perfect for:
- arts organisations
- member associations
- professional bodies
Some CRMs handle membership well; others bolt it on; others can’t do it at all.
So where do all the other systems fit?
Here’s where most charities get tangled — because so many systems collect or store contact data, even if that’s not their primary purpose.
Below is a friendly map of where each fits, and whether it should be your “source of truth” (spoiler: usually no).
1. Email Marketing Platforms (Mailchimp, Dotdigital, MailerLite, Campaign Monitor)
Great for: Newsletters, welcome journeys, nurture sequences, A/B testing
Not designed for: Being the main record of supporters
Rule: Your CRM should feed your email tool, not the other way around. You need one version of the truth — and it’s not your mailing list.
2. Online Fundraising Pages (JustGiving, Enthuse, GivePanel, Donorbox)
Great for: Collecting donations, collecting data, creating supporter journeys.
BUT: They often create duplicates if not mapped correctly.
Rule: Sync or import regularly and cleanly. Your CRM remains the home of the supporter record.
3. Grant / Case / Project Management Systems
Used by:
- service delivery teams
- grant-funded projects
- outreach or impact teams
These systems capture incredibly rich stories and interactions.
Rule: The CRM should know that a supporter is a beneficiary/partner, but the delivery system remains the operational tool.
4. Event Platforms (Eventbrite, Spektrix, Beacon events modules, Jotform/Typeform forms)
Great for: ticketing and logistics.
Awful as: “contact databases.”
Rule: Events platforms should push attendees → CRM. This is because your CRM holds the long-term relationship.
5. Advocacy & Engagement Platforms (Engaging Networks, Action Network, Mobilise)
Used for:
- petitions
- campaigning
- MP lookups
- activism journeys
These tools generate a lot of contact data.
But supporters must still ultimately live in the CRM.
Rule: Advocacy creates the relationship; CRM maintains and deepens it.
6. Volunteer Management Systems (Better Impact, Assemble, Rosterfy)
Used for: Holding operational schedules, shifts, training data.
Rule: The CRM holds the relationship, Volunteer systems hold the logistics.
7. Payment Systems (Stripe, GoCardless, PayPal)
Used for: Processing money, holding sensitive data that should never sit in a CRM.
Rule: CRM stores the result (e.g., transaction record), but not the card data.
The big principle: You need one version of the truth
To keep your communications respectful, compliant and effective, every charity needs a single, authoritative home for supporter data.
That home is your CRM.
Why? Because without one version of the truth:
- duplicates multiply
- permissions break
- reporting becomes guesswork
- teams argue about which spreadsheet is “right”
- supporters receive inconsistent messages
CRMs are calm because they’re centralised.
Everything else — email tools, fundraising pages, ticketing systems, advocacy platforms — are satellites.
A simple way to visualise your data ecosystem
Imagine your CRM as the sun.
Every other system is a planet orbiting around it.
Some planets get closer.
Some pass information regularly.
Some only need to sync occasionally.
But the CRM is always the gravitational centre.
What teams often get wrong
- Treating Mailchimp as their CRM
- Trying to run supporter journeys out of an events tool
- Allowing advocacy data to sit isolated
- Creating multiple spreadsheets as “temporary CRMs”
- Only importing fundraising data once a year
- Allowing each team to choose their own systems
All of this dilutes the relationship with supporters.
And relationship is what CRMs are all about.
Lesson 3.2 — Why No CRM Is One-Size-Fits-All
Because every charity works differently — and your CRM should support the way you work, not force you into someone else’s model.
One of the biggest myths in the sector is the idea that there is a “perfect CRM” out there. A system that will solve every problem, suit every team, and magically fix every bit of messy data overnight.
If that system existed, we’d all be using it.
But charities come in all shapes and sizes — from two-person teams juggling everything, to multi-service organisations with complex data needs. No single CRM can fit everyone.
And that’s okay.
Choosing a CRM isn’t about finding the “best” tool. It’s about finding the right fit for your charity.
1. Every charity has different goals
Some charities want:
- better fundraising reporting
- stronger supporter journeys
- gift processing automation
- volunteer scheduling
- membership management
- GDPR confidence
- simple data entry
- integration with email tools
Others just want a calm, stable home for supporter data.
Your CRM should reflect your current priorities — not what another charity values.
2. Every charity has different teams, skills and capacity
A CRM that works brilliantly for a charity with:
- an in-house data analyst
- a Salesforce admin
- a digital team
- strong project management
…may overwhelm a smaller organisation where:
- one person is doing everything
- training time is limited
- staff turnover is high
- budgets are tight
A CRM is a living commitment. Choose one your team can actually use, nurture and grow with.
3. Every charity has different processes
Even charities doing similar work rarely follow the same workflows.
Your CRM needs to support:
- how your team captures data
- how you talk to supporters
- how you steward relationships
- how you record interactions
- how your finance team needs income structured
- how your leadership team wants information reported
You shouldn’t have to redesign your entire organisation to match the CRM.
4. Every charity has different levels of ambition
Some want:
- full automation
- complex journeys
- cascading workflows
- customised dashboards
- behavioural segmentation
Others want:
- fewer duplicates
- better coding
- tidy permissions
- reliable mailing selections
Both are good goals, but they require different systems, different budgets, and different levels of skills.
Your CRM should meet you where you are — not where you think you “should” be.
5. Vendor hype isn’t the same as organisational fit
A CRM demo is like an estate-agent house viewing: everything looks beautiful… because you’re only shown the best bits.
But important questions rarely show up in demos:
- How easily can your team update records?
- How many clicks to complete a regular task?
- Does reporting make sense for your structure?
- Does it integrate cleanly with the tools you already use?
- How much does it rely on developer time?
- What happens when staff leave?
Fit matters far more than features.
6. The most important truth of all:
EXCEL IS NOT A DATABASE!
Let’s say it again, kindly but firmly:
Excel is brilliant — but it is not, and never will be, a database.
Excel is:
- a calculator
- a temporary workspace
- a quick analysis tool
- a place to prototype
Excel is not:
- a permanent record
- a supporter management system
- a safe home for personal data
- a permissions manager
- a reporting engine
- a CRM under any circumstances
If your charity is currently using Excel as its CRM, you’re not alone — but it’s a sign that you’re ready for a proper system that offers safety, consistency and long-term stability.
What this lesson means for you
You don’t need the most powerful CRM. You need the right-sized CRM that:
- fits how your organisation works
- matches your team’s capacity
- supports the relationships you care about
- integrates with the tools you already use
- feels intuitive for staff
- grows with you at a pace you can manage
A CRM should make life easier, not heavier.
Lesson 3.3 — Quick Win: Build Your Needs vs Nice-to-Haves List (practical action)
A simple exercise that brings clarity, reduces overwhelm, and helps you choose the right CRM calmly.
When charities start looking at CRMs, excitement builds quickly.
People imagine possibilities. They remember frustrations. They compare systems they’ve seen elsewhere. Before you know it, you have a 200-item spreadsheet full of everything the organisation has ever wanted — plus a few “unicorn features” no system actually offers.
This exercise brings everyone back to earth in the best possible way.
It helps your team identify:
- what you really need
- what would be helpful
- what would simply be “nice if possible”
A calm requirements list is the strongest foundation you can give a CRM project.
Step 1 — Start With Your Reality, Not Someone Else’s
Bring together everything you discovered from:
- the 5 questions in Module 4
- your task/activity logs
- existing frustrations
- repeated manual work
- current paper or Excel processes
- what actually happens day-to-day
This ensures your requirements are rooted in real behaviour — not assumptions.
Step 2 — Create Three Buckets
On a shared document or whiteboard, draw three headings:
1. Must-Haves (Needs)
These are the things without which the CRM simply will not work for you.
Examples:
- accurate consent & permissions
- duplicate prevention
- clear supporter history
- Gift Aid management
- coding for Finance
- simple selections
- reliable reporting for trustees & teams
- integrations you cannot operate without
If you remove one of these, your operations stop.
2. Should-Haves (Important Requirements)
These add real value but aren’t foundational.
Examples:
- event attendance tools
- supporter journeys
- automation for welcome emails
- postcode lookup
- mobile access
- volunteer or membership modules
These are meaningful, but losing them wouldn’t break the organisation.
3. Nice-to-Haves (Aspirational Features)
These are genuinely nice… but optional.
Examples:
- advanced dashboards
- machine learning insights
- complex segmentation engines
- heatmaps, geo-fencing, smart tagging
- full payment integrations
If your project is led by Nice-to-Haves, you risk choosing a system too heavy for your team.
Step 3 — Challenge Each Item Calmly
For every item your team suggests, ask:
“Does this make our work easier…
…or does it just sound impressive?”
And:
“Would our organisation genuinely struggle without this?”
These two questions alone stop a huge amount of scope creep.
If people disagree, that’s good — it sparks useful conversations about reality vs expectation.
Step 4 — Prioritise by Impact vs Effort
Once everything is sorted into buckets, review the Must-Haves:
- Which ones unlock other benefits?
- Which ones reduce the most staff stress?
- Which ones support the supporter experience?
- Which ones fix repeated problems?
This creates the first draft of your Core CRM Requirement Set — the list you will use when speaking to vendors.
Step 5 — Turn it Into Your “Anchor Document”
A good Needs vs Nice-to-Haves list:
- keeps your project grounded
- stops vendors driving the agenda
- keeps staff focused on real priorities
- prevents scope creep later
- helps you negotiate realistically
- safeguards your budget
- brings calm to conversations
This is your anchor — the document you return to whenever the project feels overwhelming.
Optional Extension: The Anti-Wishlist
This is fun and surprisingly effective.
Ask the team:
“What do we not want the new CRM to do?”
Examples:
- “We don’t want it to take 12 clicks to do a simple task.”
- “We don’t want 400 unnecessary fields.”
- “We don’t want another system that only one person understands.”
- “We don’t want inconsistent coding or logic.”
Naming fears reduces anxiety.
Why this quick win works
Because it turns a daunting, abstract process into something human and achievable.
You gain:
- clarity
- shared understanding
- realistic expectations
- stronger confidence
- the ability to say “not yet” without guilt
And most importantly:
You avoid the most common CRM project trap — building a system for a version of the organisation that doesn’t actually exist.