Strategies Can Bolster Fundraising If the Economy Turns Rocky

Although economic growth and jobs data continue strong at the start of the year, many AccuList® nonprofit clients still express anxiety about the impact on charitable giving of higher inflation or even recession later in 2023. Here's the advice from fundraising veterans: Stay the course and avoid the temptation to cut back on direct mail or digital marketing. When fundraisers reduce the channels and frequency of donor requests, they cut opportunities for giving and erode long-term connections. 

A better way to offset economic drags is to increase the efficiency of donor acquisition and retention programs. For direct mailings, costs can be reduced by tactics such as modified package size and pre-sorting, as well as by greater mailing list efficiency. Using the best-performing vertical lists and modeled data can boost donor prospecting ROI, for example, while house donor lists can select out lower-value or lower-response segments. 

In tougher times, nonprofits also can't afford the waste of bad data. OneCause, a provider of event and online fundraising technology, found that only 18% of nonprofits reported having enough data and insights for cost-effective decision-making in 2022! So fundraisers should prioritize clean data—de-duped, complete, consistent, deliverable and actionable—for cost-effective targeting. 

Fundraisers also can take better advantage of the fact that today's donors are multichannel responders by coordinating direct mail with boosted social media outreach as well as online and mobile giving. In-person fundraising events are expected to make a comeback in 2023, too. OneCause reports 83% of organizations plan to hold at least one in-person event in 2023. Data supports that investment in event and online efforts: Over half of nonprofits surveyed reported generating 21% of operating budget from event and online fundraising in 2022. 

For help with donor acquisition, multichannel fundraising and data management, see https://www.acculist.com/fundraising/

E-mail, Social Lead Nonprofit Event Marketing

AccuList’s direct marketing services support both event marketers and nonprofit marketers, and, of course, there’s an overlap since many nonprofits use events for fundraising. In that arena, a recent survey of 500 nonprofits by Eventbrite, a leading event management and ticketing services provider, offers some interesting benchmarks. The "2019 Eventbrite Pulse Report" found that nonprofits use multiple event formats besides those geared exclusively to fundraising; in fact, just 32% reported hosting galas and fundraisers aimed at tapping donors. Instead, events for cause, community and educational promotion were cited by 78%, as well as networking events, training and workshops, food and drink events, and arts and entertainment events. Of course, revenue production was still seen as key to success regardless of event goal. And when it comes to event revenue, ticket sales, sponsorships and grants/donations were the top sources reported. However, while ticket sales were seen as a key revenue driver by most (75%), the portion of revenue delivered by ticketing varied widely—from 80%-100% of event revenue for just 15% to less than 20% of revenue for a larger quarter of those surveyed. This underscores the need for both diverse revenue sources and more effective marketing to deliver attendance. On that point, nonprofit event organizers said their most effective marketing tactics were e-mail (34%); word-of-mouth and referrals (24%); and social media marketing (22%). In social media, nonprofits relied most on organic posts (23%), paid Facebook ads, and video (9%). Among the tactics deemed less effective in the survey were third-party listings, search engine optimization (SEO), and display ads. Looking at the year ahead, the top 2019 challenge, cited by 73%, was reaching new attendees. And that is the kind of targeted marketing issue AccuList can help address! For more from the survey, see https://www.acculistusa.com/e-mail-social-lead-nonprofit-event-marketing/