Springtime, Cultivating, and Fundraising
As we look at a foot of snow on the ground, we wistfully look forward to spring and all of the new growth in the garden. The donor base is a garden of riches. What is the best way to tend it?
A well-tended garden has dying blooms next to new sprouts. Even in the best of economies, the donor base has a few dying or dead blooms. Should we weed them out? Perhaps keeping them is a good idea. Blooms are the source of new seeds and new sprouts.
Do you have enough new sprouts? Do you have a specific goal for how many new donors you want to add each year? Inflation increases at about 3% in a typical year. The population of the U.S. increases at about 2% each year, which implies the demand for services will increase about 2% most years. A growing nonprofit or a poor economy increases the services demand. In short, there needs to be donor growth of 5% or more each year (inflation plus anticipated service growth).
In the garden, we assess the individual needs of each plant. The starting point is to assess the class (evergreen, flowering bush, fruit bearing, etc.). The next step is to asses the health of the individual. The donor base will benefit from the same treatment.
Similar to the garden, the more we know the easier it is to strengthen the individual and help them realize their full potential to enhance the mission.
One of our clients had several non-responding donors. They reviewed there appeal letter. The result was an increase in the generosity of regular donors, reengaging of lapsed donors, and several new donors engaging. About 53% of the responding donors were new or lapsed donors.
Those are excellent results when most nonprofits are unable to achieve goal. Every farmer will tell you that cultivating the fields helps the farm thrive.
Next step:
How well do you know your donor base?
How many love capital projects?
How many are unrestricted givers?
How many have a passion for a specific program or demographic group?
How many give to a specific request but have a heart for something else?
Do you know the answer to those questions or are you guessing?
What are the areas that will benefit the clients the most?
What is the best way to cultivate donor interest in those areas?
How will you change your appeal process?
How will you change your “thank you” process to enhance the next appeal?
As always, if you want help contact us.
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