Nonprofit Donor Segmentation is a CRM feature that categorizes donors based on giving patterns, engagement levels, demographics, and interests. By segmenting donor databases, nonprofits can personalize fundraising campaigns, improve donor retention, and optimize outreach efforts. CRM systems automate this process by tracking donation history, volunteer involvement, and campaign participation. Segmented donor lists help nonprofits target high-value donors, engage lapsed contributors, and tailor messaging for different donor personas. Organizations that leverage donor segmentation see higher donation conversion rates, stronger supporter relationships, and improved campaign efficiency.