Mining for gold in your database

When you send a fundraising appeal letter, you probably send the same letter to everyone in your database, whether they gave you $10 for the first time last year or have been donating $100 every year since 1992.
You can be more productive if you identify the segments of your database that offer the greatest potential and create a special campaign designed just for that segment.
You will have different goals for different segments. For example, you’ll want to move that $100 giver up to a higher level of giving. You’ll want to turn a lapsed donor into a current donor. Sending the same appeal letter to everyone in your database won’t help you meet these goals.
Here are some segments that you should concentrate on:
Lapsed donors. Someone who has given to you once is a better prospect than someone who has never given to you. Bringing a lapsed donor back is more cost effective than finding new donors. How do you do that? Craft an appeal letter that makes them feel important to your cause and makes them feel missed. Notice we didn’t say “tell” them that you miss them. The emotion is critical; this communication depends on how they feel. If you can get that lapsed donor to give one more time, he or she may continue to give for years.
The donor in the middle. These are the donors who give repeatedly, and give more than the average gift. However, they are not major donor prospects (yet). A special effort can get some to upgrade to a higher level and become a major gift prospect.
New donors. Only 30-40 percent of new donors give a second gift. But of those who give a second gift, 60-80 percent will give again. You can see that persuading them to give that second gift is vital, and worth the effort of preparing a letter geared to this group.
In memory of/in honor of. If you can motivate this group to remember the person they first gave for every year, they may give over and over again.
If you need help analyzing your data and creating a plan to raise more money by segmenting your database, contact Fundraising Assets at 1-888-244-4013 or tharter@fundraisingassets.com. After we listen to what you want to accomplish and agree on a plan, we can tell you up front what you will need to budget to get the help you want.
Fundraising Assets helps busy fundraising professionals raise more money, save valuable time and reduce costs. We offer consulting, writing, design and production services for direct mail and e-mail fundraising, social networking and more.
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Your newsletter is fighting for your reader’s attention. You might think of your competition as newsletters from other nonprofit organizations, but that’s the least of it.