Direct mail fundraising still works
- The average US donor is 64 years old. We have some clients with donor bases where the average age is in the 80s. Older donors respond to direct mail.
- People usually give via the same channel through which they were acquired. So if you work in a nonprofit that is 15 years or older, chances are most of your donors were acquired through direct mail. They will continue to give through this channel.
- Bequests represent a larger opportunity than foundations and corporations and the huge majority of bequest revenues come from small direct mail donors.
- Millenials, whose email boxes are overflowing with solicitations from retailers, politicians and fundraisers actually like receiving direct mail! In fact, 63% of millennials have responded to a direct mail solicitation within 3 months of receiving it!
The goal of direct mail is to raise funds within a reasonable investment.
We measure this with two calculations:
- Return on Investment (ROI) for mailings to house donors, where direct mail is always assumed to make a profit.
- Cost Per New Donor (CPND) for acquisition mailings, in which you make an investment to convert a prospective donor into an actual donor.
Essentially, your house mailings should be a profit center and should offset any losses incurred from prospecting for new donors to allow your organization to maintain its target fundraising ratio.
Faircom New York’s Process for Direct Mail Services
Faircom New York produces packages of all types and will find the price point per piece and determine the ideal quantity that you should mail to meet the goals of your annual fund budget.
Direct mail metrics are at the basis of every decision we make. And we monitor them constantly to keep your organization on budget and achieving your revenue goals.
Cost and quantity are easy to control.
Response rate and average gift are the variables that require experience and strategic thinking to maximize. Faircom can help you increase your response rate and average gift size by working with your organization on a tailored direct mail strategy