6 Ways to Prioritize Your Time Using Data
The last two blog posts talked about why you should use data to prioritize your development work and where you can find that data. This one outlines 6 ways in which you can use that data to work smarter, not harder, and raise more money in the process.
Identify Major Donor Prospects. Data can identify people (or organizations) who support you consistently, have made the largest gifts to your organization, or who have either steadily or recently increased their giving to you. All these factors signal a potential major donor. These become your priority to cultivate and ask for a larger gift.
Identify Major Donor Prospects based on Wealth Data. Wealth screenings can identify donors who have not yet given large gifts to your organization nor given over several years and may have wealth. A donation to you indicates that they have an interest in your organization and mission; these data tell you who, among all your donors, might have the capacity to make a larger gift.
Identify Planned or Deferred Giving Prospects. Some of the data that makes someone a good major gift prospect also makes them a good planned or deferred gift prospect. Look for people who have given consistently over 5 to 10 years, shown a pattern of increased giving over time, or given at least 10 to 15 times regardless of the amount. These indicate a good planned giving prospect because they have regularly invested in your mission. As a bonus, finding people who do not have heirs further increases the chances that they will make a deferred gift to your organization. (Hint: Some wealth screening tools will screen for this information.)
Cull your mailing list. While I recommend that you mail (and email) to as many people as possible because you never know which touch will resonate with them and spur them to give, I recognize that budgets do not always allow you to follow that philosophy. If you need to cut your mailing list, retain people who have given recently – like in the last five years if you can afford it and definitely in the last 3. If you have data that suggest that they respond better to mailed appeals as opposed to email, keep those folks as well. Likewise, if you have data that they like to give at the time of year or through the appeal you are about to mail, keep them.
Screen your event attendees. You just had a captive audience of 300 people learning about your mission and its importance – and hopefully having a good time. Do you know who was in the room? While you can – and should – at a minimum ask your board, staff, and key volunteers to review the list of attendees for people they know or know have wealth, an external wealth screening can provide this information much more quickly and accurately and help you identify who you might want to invite for coffee to find out their reaction to the event and engage them further in your mission.
Maximize Year-End Giving. Do you know who gave last year but not yet this year? You should. If someone typically gives to your organization in December but has not yet (and it’s December), call them to remind them. You will increase your donor retention rate exponentially. Many donors who fail to renew their gift simply forget, especially at the end of the year when life gets hectic for many. Knowing where your gaps lie can help you close them before they impact your bottom line. If you have other common, recurrent and significant fundraising campaigns, the same concept applies. (For Quad Cities readers, think Birdies for Charity.)
These tips focus on using data at the donor level. Data can also help you at a macro level to assure that you focus your time on the right aspects of your fund development program as well as on the right donors.
