Some non-profit organizations should not use direct
mail as a way to attract new donors. Is your
organization one of them? Take this simple test and
find out.
Test #1: Are you well known to many people?
The average response rate for a direct mail donor
acquisition mailing is 1%. Which means you must
mail 100 letters to acquire 1 donor. And mail 10,000
letters to acquire 100 donors. And mail 100,000 letters
to acquire 1,000 donors. This is the unavoidable math
of direct mail fundraising.
So direct mail is not the best donor acquisition tool for
you if you are located in a small town that has a small
pool of potential donors, or if your organization is
unknown. To succeed at direct mail donor acquisition,
your organization needs to have broad name
recognition, or, if you are new, have a founder with
broad name recognition.
Test #2: Do you meet a pressing need?
To attract new donors with fundraising letters, your
organization needs to have a compelling case for
support. Many non-profit organizations serve a
constituency that is either too small or too obscure to
appeal to many donors.
The Moose Jaw Amateur Radio Club, for example, is a
fine organization, Im sure. But they do not meet a
pressing need. Heart disease is a pressing need.
Global warming is a pressing need. And drunk driving.
And diabetes. To succeed at direct mail donor
acquisition, your organization must meet a basic,
urgent, human need.
Test #3: Will you pass a search on Google?
If you have no track record, no annual report, no
audited statements and no way of proving that you are
financially responsible, ethical and trustworthy, now is
not the right time to try acquiring donors through direct
mail. To succeed at direct mail donor acquisition, your
organization needs public proof that you are credible,
preferably going back many years.
Test #4: Are potential donors easy to find cost-
effectively?
On occasion I have helped a small, evangelical
adoption agency raise funds. They do terrific work
finding loving homes for babies that would otherwise
be aborted. My wife and I adopted two boys through
this agency. As you can imagine, the majority of their
donors have been touched by adoption in one way or
another. Most Canadians have not. Which is why this
organization does not use direct mail as a way to
acquire new donors. They dont have a pool of
potential donors thats easy to find.
So they rely instead on word of mouth, special events
and relationship-building. To succeed at direct mail
donor acquisition, your organization needs what
Lautman & Company calls a natural
constituency.
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About the author
Alan Sharpe is president of Raiser Sharpe, a full-service direct mail fundraising agency that helps non-profit organizations raise funds, build relationships and retain loyal donors. Sign up for free weekly tips like this, and discover other helpful resources, at http://www.RaiserSharpe.com.
© 2007 Sharpe Copy Inc. You may reprint this article online and in print provided the links remain live and the content remains unaltered (including the “About the author” message).