Essentials of Prospect Research Researchers in Fundraising Conference

November 2009

Matt IdeResearch & Resource Manager

THINK Consulting Solutions

What we’ll be covering ...

What is Prospect Research?

• Prospect researchers gather, analyse and present biographical, financial, company, foundation and other philanthropic information using only publicly available information.

• Prospect research provides accurate and up to date intelligence that can be utilised in a fundraising environment.

• The aim is to optimise an organisation's chances of obtaining the largest donations (or major gifts) it can from its prospective donors or 'prospects‘.

rigorous; logical; determined; intuitive; thirst for knowledge; conscientious; practical; thorough; common sense; dogged; flexible; confident; analytical; intelligent; good communicator; knowledgeable; innovative; passionate; inquisitive; driven; value-added; backbone

Search engines

• A web search engine is an application that searches for and retrieves, data based on some given search criteria.

• claims to have indexed over 3.3 billion web pages.

Q. So how do you find the needle in the haystack?

A. By using specific search terms (Boolean Logic)

Google Search Functions

Phrase search = “ ”

Google Search Functions

AND function = +

Google Search Functions

NOT function = –

Google Search Results…

THINK about it…

Think logically:• What is it I’m looking for?• What key words will help in the search?• Try different spellings of words/names• Try different combinations of key words/phrases

But remember:• Don’t use more than two or three search terms (inc. phrases)• Avoid common words like ‘the’ or ‘and’ as search engines ignore

them anyway

Be flexible in your thinking…

Advanced searching

Searching specific websites…

Results…

Analysing results…

1. Learn to skim-read information

2. Identify key indicators (i.e. keywords; page title; website address; format)

3. Information does get repeated!

4. Ctrl + F to find what you’re looking for…

Types of information…

Always assess the validity, date and source of the information..

•Is it from a primary source?•Is it from a secondary source?•Who wrote it?•When was it written?•Is it reliable?•Reference everything

Research resources

• 1,000’s of resources but DON’T PANIC!

• Subscription vs. Free

• Small % produced within charity sector

• Internet is your window to the outside world

Trust & Foundation resources

Free:• Charity Commission (www.charity-commission.gov.uk)• Guidestar (www.guidestar.org.uk)• List of UK Corporate Foundations 2008 (pdf)• Trust & foundation websites

Subscription:• Trustfunding (DSC)• Charity Funding Online (CaritasData)• Invisible Grantmakers (SPM)• Trust & Foundation News (ACF)• Funding Information (Inspiring Vision)• New Trust Update (Factary)

Competitor research

• Make a list of charities who are similar to your own or might be competing for the same resources – i.e. based on location, beneficiaries/area of interest etc.

• Start with the larger organisations as they will be more likely to be transparent

• Search each organisation for their Annual Reports/Accounts to find out who their donors are

Corporate resources

Free:

• Internet• ‘Top’ business lists• City of London Directory & Livery Companies Guide• Corporate websites• Annual reports

Subscription:

• DASH/Lexis Nexis/OneSource/Companies House Direct

High Net Worth Individuals (HNWIs)

• Internet • Crawford’s Directory of City Connections• Debretts• Who’s Who• Directory of Directors• Rich Lists• Burke's Peerage, Baronetage & Knightage• Mouseprice/Zoopla

Research budget

• Review subscription resources to see which best suit your needs• Make a case for which resources you need and why

No budget?

Access some subscription resources for free through libraries…http://dspace.dial.pipex.com/town/square/ac940/weblibs.html

• i.e. British Library – FAME/Lexis Nexis• Join Westminster Libraries to access their 24/7 remote access library

(Who’s Who, NewsUK, KnowUK, Credo Reference)

• Utilise free trials• Ask fellow researchers/fundraisers for help (forums etc.)

Identifying Major Gift Opportunities

3 key challenges for researchers in identifying major gift prospects:

1. Defining a manageable number of your top potential supporters with sufficient affinity and capacity

2. Using identification methods that are ethical, accurate, efficient and cost effective

3. Obtaining information that is actually useful and is updated on an ongoing basis

Key indicators

• Affinity - Direct personal experience; Relative/Spouse; Genuine interest; Work-related

• Motivation - Repaying a personal ‘debt’; Childhood; Right thing to do; Easing their conscience; Personal gratification

• Wealth - Inherited (inc. landed); Self-made; Liquid; Fixed

• Connections/influence

Wealth

Wealth can be comprised of:• Salary• Stocks & shares and other investments• Inheritance• Savings• Dividends (paid annually)• Property• Art• Pensions• Luxury items (yachts, cars etc.)

But remember, where there are assets, there are also liabilities…

Identifying wealth

How do we know they have the capacity to give?

• Database screening identifies wealthy and/or influential people

• Find out who your donors bank with..• Utilise free lists – rich lists; wealthy postcodes (Millionaires

Club)• Find out how much their house is worth/wealthy

neighbourhoods – Mouseprice/Zoopla

Tracking prospects

• Important to stay connected to prospects• Intelligence dates and needs to be continually replaced/updated with the

latest information

So how do we do that?

• Internal database• News tracker (i.e. Lexis Nexis)• Google Alerts• Subscribe to relevant magazines (i.e. Management Today; Trader; Asian

Business)• Sign up to newsletters (i.e. Wealth Bulletin)

Profiling

Profiling is about creating a picture of your prospect based on certain key information:

Profile information

Name Connections & Networks

DOB/Place of birth Wealth estimate

Home/Business Address Philanthropic interests

Family/marital status Comments/Quotes

Career/Biography News

Education Ethical issues/concerns

Clubs and interests Researcher notes

Memberships

Directorships (past and present)

How long should I spend on a profile?

• No rule of thumb

• 2 hours to 1 day+

• Knowing when to stop can be crucial

• Public vs. non-public figures/Repetition

Key points

• Remember to reference sources• Look out for inconsistencies or conflicting evidence• Always assess where the information is coming from (i.e.

primary/secondary) and cross-reference• Use Land Registry to confirm addresses• Be proactive – don’t give up• Be aware of how new or old the information is i.e. old rich lists

Remember…

Information + Knowledge = Intelligence (Research) + (Process) = (Advantage)