Did you know nearly 55% of non-profits say they face a funding shortage every year? This statistic from the Non-Profit Times presents an alarming case for why strategic planning is important in non-profit fundraising. Using past campaign data can be a game changer. By analyzing historical data, non-profits can fine-tune their strategies and raise direct mail ROI.
In this piece, we will dig deep into how you can use past data to revamp your donor engagement plan and get better fundraising results.
The Power of Past Data in Non-profit Direct Mail Fundraising
Imagine being able to predict in advance how your next fundraising campaign will perform. You can come pretty close by studying the data on previous campaigns. That data will tell you what worked, what didn’t, and what to do to improve present direct mail campaigns for non-profits.
Always keep in mind that understanding what resonates with your donors is like a road map to success. For example, if a previous campaign elicited a high response from a specific demographic, focus your targeting on that group, and you will see significant results. It also enables you to optimize your budget by showing which tactics were most cost-effective. That way, more funds go directly to your cause rather than being wasted on ineffective tactics.
Learn More: The Winning Formula: Integrating Market Research and Competitive Analysis
Key Performance Indicators to Watch
Focus on the critical metrics for response rates vs. conversion rates, average gift sizes, cost per acquisition, and, of course, lifetime value of donors to pump those results into overdrive. These are the most important KPIs when implementing direct mail fundraising for nonprofits.
For instance, you might find that conversion rates are high, but your average gift size is low. This clearly signals a propensity for the donation amount to be increased. On the other hand, if your rate of response seems low, then you probably need to do some better messaging or targeting. Now, here is an interesting statistic: 24% of baby boomers give a donation after receiving a direct-mail nonprofit message. In comparison, this rate is 3.29 % for emails.
Building a Donor-Centered Approach
A donor-centered planned gift marketing strategy focuses on the needs and preferences of your donors. Extract from past campaigns some nuggets of information on their behavior to create tailored campaigns that resonate deeply.
For example, if the data reveals that personally addressed letters enable increased donations, then variable data printing can be employed in every piece of mail. Tailor-made mailing campaign services return responses of up to 50 percent; this proves the fact that the tailoring approach really works.
While at it, remember to segment your donors by their history and preferences in giving so that you can craft a message that speaks directly to their motivations.
Direct Mail Best Practices
Even with the best lists in hand, you need to apply direct mail best practices to help ensure maximum success. For starters, keep your mailing list current to avoid waste on deliverable addresses. Develop a compelling message clearly stating your cause and how donors can make a difference.
Ensure your strategic fundraising campaign has a clear call to action to advise your recipients about the following steps to take.
Once again, tracking data is essential. If your data shows that recipients were responsive to an appeal type—for instance, touching stories—you should fill the current campaign with the same kind of stories. Some research points out that storytelling can boost donations by up to 65%. Another thing is that clear calls to action, such as “Donate Now” or “Join Us Today,” strongly increase response rates.
Learn more: Elevating Your Non-profit’s Brand Equity Through Print Marketing
Enhancing Donor Engagement
Design a strong donor engagement plan to ensure long-term support. Leverage insights from previous campaigns to point out the best times and channels to engage with donors. Come up with content relevant to their passions and interests, further strengthening not only the ongoing updates but information in general by also making them interactive through events.
For example, suppose the trend that comes out of your data shows that your donors would much rather be contacted via email than by ordinary mail. In that case, you can set communication preferences accordingly. It can lead to an increase in donor retention if the engagement is meaningful and regular—a constant feed of support for your cause.
Strategic Fundraising Campaign Planning
Using past data to inform your strategic plan for institutional advancement is critical to nonprofit success. Clearly articulate the objectives for your campaign based on that historical performance. It might also be helpful to share your institutional advancement strategic plan using graphical representations and charts. The Stanford Social Innovation Review found that sharing comparable data about the campaign can increase donations by up to 80%. Consider this insight when designing direct mail for nonprofits.
Internally, look at past performance to see where you did well and not so well. If a campaign in the past had lots of engagement but very few donations, try fine-tuning the call to action or asking for dollars. Develop a comprehensive strategy that outlines your approach, target audience, messaging, and budget. Run your campaign precisely using variable data printing. Continue testing and watch its performance to adjust as required.
One non-profit, after carefully planning a campaign cycle based on critical insights from past data, saw a significant increase in gifts over its past efforts. Their data-driven donor recruitment strategies revealed that personalized appeals and specific donation asks—such as “Your $50 can provide meals for a family for a week”—were meaningful to donors and contributed to a more successful campaign.
Real-Life Examples
Our Snider’s Hockey case study is worth mentioning. Ed Snider created the nonprofit to help under-resourced Philadelphia youth through the use of hockey. For their 2021 fundraiser, Snider Hockey chose us for materials creation in its major gift solicitation. The challenge was to raise money from a small, local donor base containing only 525 high-net-worth individuals and corporations.
Knowing this, we went ahead to develop a compelling 40-page report with engaging graphics that would give life, concrete form, and detail to the successes of the program. We had segmentation of three types: Chairman’s Club, previous donors, and new donors—all with their appeal personalized.
This made sure the communication on each case made sense based on the prior experience between the person and the organization effect, securing big gifts—while it told them that even major giving has an impact on Philadelphia youth.
Contact PDC Graphics
With our direct mail services, PDC Graphics provides strategic planning and implementation for non-profit fundraising. Learn more about our data-driven direct mail services for nonprofits and ways in which we can support your nonprofit. Contact us.
