Fundraising Best Practices — A Global Perspective€¦ · The median new donor change between...

Fundraising Best Practices —A Global PerspectiveIS MY ORGANIZATION REACHING ITS FUNDRAISING POTENTIAL?

Nicola Bach, Blackbaud

I’m Nicola Bach

I have worked with nonprofit organizations my entire career.

Black, salty licorice is my favorite!

No condition is permanent.

ANALYTICS CONSULTANT

Global PerspectiveREALIZING FUNDRAISING POTENTIAL IN THE UNITED STATES, AUSTRALIA, CANADA, THE UNITED KINGDOM AND GERMANY

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Sustaining RevenueUNITED STATES

4

5-Year Index Revenue & Donor Trends62 organizations

29.5 million donors

78 million gifts

Gift cap $10,000

Quarterly Donor Change Q1 2016 – Q1 2019Massive influx of donors Q4 2016 through Q1 2017

Quarterly Revenue Change Q1 2016 – Q1 2019Revenue inflows began Q3 2016 and continued through Q4 2017.

How Did Revenue Continue to Grow When Donors Did Not?

Monthly Donors

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Monthly Donor Populations and Revenue Have Increased

52% Increase

17.7 million donors

61.4 million gifts

Total $2.41 billion in 2018

35 Organizations94% Increase

Data from Blackbaud donorCentrics Sustainer Summit Benchmarking. Data through June 2018.

Median First Year Retention Rate 2017

28%Median First Year

Retention Rate 2018

24%

Retention of New Single Gift Donors Declined


The Month 13 Donor Retention Rate for Donors Acquired as Sustainers Increased in 2018

49% 48%52% 53%

64%

2014 2015 2016 2017 2018

3,184 4,948 6,630 6,709 9,518

Median Number of New Recurring-Acquired Donors to Retain Each Year

There Was Also an Increase


Digital ImpactSustainers acquired online were retained at the highest rates in 2018

55% 56% 57%60%

70%

2014 2015 2016 2017 2018

642 925 1,070 1,339 3,656

Median Number of New Recurring-Acquired Donors via Web/Digital to Retain Each YearData from Blackbaud donorCentrics Sustainer Summit Benchmarking. Data through June 2018.

Retention Also Improved for Donors Acquired on the StreetThe retention rate increased even with more donors to keep in 2018

41%

40% 40%

35%

39%

2014 2015 2016 2017 2018

4,008 6,024 7,280 7,964 12,820

Median Number of New Recurring-Acquired Donors via Face to Face to Retain Each YearData from Blackbaud donorCentrics Sustainer Summit Benchmarking. Data through June 2018.

Your Fundraising PotentialWhat is your capacity for monthly donor giving?

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Strategies for Growth in Markets with Mature Monthly Donor ProgramsAUSTRALIA + CANADA

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Down Under: Australia

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Two participating organizations experienced increases in donor counts between 2017 and 2018, and three had gains in revenue

• Two organizations had gains in single gift donor counts and five had gains in revenue• Three organizations had increases in monthly donors, while four had gains in revenue

Data from Blackbaud donorCentrics Australia Benchmarking. Data through June 2018.

Australia: Growth in a Mature Market

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The median new donor change between 2017 and 2018 was a decrease of 20%. The changes in the new donor ‘sub-populations’ was more varied:

• For the organizations with increases in new single gift donors, the range was 5% to 49% increase

• Gains in new monthly donors ranged from 10% to 24%


How Do Australian Charities Acquire Donors?

Single Donors

Events

Telemarketing

Direct Mail

Monthly Donors

Door to Door

Face to Face

DRTV

Opportunity

Digital

Balancing the New with the ‘Old’

Growth potential in Retention


What is the Impact of the Acquisition Channel?

Prior year donor numbers are listed in parentheses after the retention rate.Data from Blackbaud donorCentrics Australia Benchmarking. Data through June 2018.

What About Monthly Donor Retention?


Monthly Donors’ Retention by Acquisition Channel

Prior year donor numbers are listed in parentheses after the retention rate.Data from Blackbaud donorCentrics Australia Benchmarking. Data through June 2018.

Fundraising Potential

Using digital innovations to acquire and keep donors, while enhancing the retention of donors acquired in person.

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Our Neighbors to the North: Canada

No change in total donors 2017-2018

0%

Median donor count

24k-182k

51,411

Increase in donors over 5 years

8%

Data from Blackbaud donorCentrics Canada Benchmarking. Data through December 2018.

Monthly Donor Percentage

The median share of all active donors giving monthly donations in Canada52%


How Do Canadian Charities Acquire Donors?

Single Donors

Web / Digital (General)

Digital Ads

Events

Direct Mail

Monthly Donors

Door to Door

Face to Face

Opportunity

Digital for Monthly Giving

Sustained Single Donor Acquisition

With so many monthly donors, does channel matter?

Keeping Donors in Canada

21%

2018 Median retention rate of new single gift donors.

2 organizations increased the number of retained donors.

55%

2018 Median month 13 donor retention rate of new monthly

donors.


78%

Median multi-year donor retention rate in 2018.



Expansion of digital acquisition efforts.

Contactless pay.

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Fundraising in a New Privacy LandscapeUNITED KINGDOM

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GDPR + Donor Change in the UK

Decline in total donors 2017-2018

-3%

Median donor count

24k-182k

120,000

Increase in donors over 5 years

18%

Data from Blackbaud donorCentrics UK Benchmarking. Data through December 2018.

How Are UK Charities Acquiring New Donors?

New single gift donors acquisition channels:

Mail has decreased – or disappeared – for many organizations

There has been a rise in digital media

Online Payment accepted for almost all

New monthly donors:

Digital media play a role for all (to varying degrees)

Almost all have in-person channels of acquisition


All UK charities have continued to invest in acquiring new supporters

Keeping New Donors with Changed Privacy Regulations

24%



81%


donors.


86%




Leading charities to think differently about engagement

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Maintaining ValueGERMANY

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Snapshot of a High Value Market (2017)

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All participating organizations experienced increases in donor counts between 2016 and 2017, and all had gains in revenue

• All organizations had gains in single gift donor counts and revenue• Only one organization had a decline in monthly donors. • All had gains, or no change, in revenue

Data from Blackbaud donorCentrics Germany Benchmarking. Data through December 2017.

Growth in a High Value & Saturated Market

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The median new donor change between 2016 and 2017 was an increase of 33%. The increases in the new donor ‘sub-populations’ were even more pronounced:

• The range in gains in new single gift donors was 5% to 74% increase• Gains in new monthly donors ranged from 14% to 105%

Data from Blackbaud donorCentrics Germany Benchmarking. Data through December 2017.

How Do German Charities Acquire Donors?

Single Donors

Web / Digital (General)

Direct Mail

Monthly Donors

Face to Face

Inserts and Ads

Opportunity

Digital Acquisition

Keeping New Donors in a High Value Market

31%



72%


donors.

1 organization increased the number of retained donors.

85%



Your Fundraising PotentialRetention of monthly donors.

Expansion of digital acquisition efforts.

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Final Thoughts

Learn from your peers to help inform your objectives

Realize your potential

No condition is permanent!

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Fundraising Best Practices — A Global Perspective€¦ · The median new donor change between...

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