Have you and the decision makers at your nonprofit ever been sitting around a table trying to decide which demographic you should target during an upcoming donation campaign?
Well, predicting your nonprofit’s fundraising potential is not a mystery. Future prospective donors can be predicted with surprising accuracy based on a handful of factors.
Considering a study done of $5 billion given to 400 nonprofit organizations, these are the 5 factors that can help your nonprofit predict which donors will be giving to your nonprofit.
Understanding how the metrics below relate to your nonprofit will help you discern which demographics to target during your next donation campaign.
Previous giving to your nonprofits
This can be broken down into 3 sections. Recency (how recent someone has donated), frequency (how frequent someone donates), and money (how much someone has donated to your nonprofit).
Pay attention to these statistics when evaluating who your loyal donors are. Chances are good that if someone is already a loyal donor, they will remain a loyal donor. Assuming of course that your nonprofit does not make sweeping changes to its mission, neglects this important group, or those frequent donors hold their same socio-economic status
Previous giving to other nonprofits
Individuals who give inordinately large gifts to other nonprofits, or other nonprofits with similar missions, is always an avenue that can be counted on to provide some donation revenue. According to the analysis, individual who donated upwards of $100K to a nonprofit is almost 33 times more likely to donate to a nonprofit with a similar mission.
Participation of founder, or director
Put plainly, individuals who are in decision making positions at other nonprofit organizations understand how important giving is to the health of a nonprofit. Therefore, those individuals are more likely to give to other organizations they believe in.
Individuals who give to political campaigns, especially in large chunks, are almost 15 times more likely to give to a nonprofit organizations.
High-priced real estate
According to the data, there is a direct correlation between the estimated real estate value of someone’s home and the chances that individual would engage in charitable giving.