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What do the numbers say about donor giving over the last five years? What are the trends in annual donation? Donations by channel? Average gifts? One time gifts? This one hour webinar, featuring the findings from Cornerstone's Global File Audit will give you the stats and analysis needed to maximize your fundraising programs.The Global File Audit created by Cornerstone provides benchmark results for direct response fundraising programs over a 5 year period (2005 -2009) and identifies both industry and sector trends. The rich, historical data that was provided allowed for the segmentation of donors that is the basis of many of the reports found within the Global File Audit.The baseline and trend data can be used to provide insight when building new strategies for the future and will become an essential tool for fundraisers when creating strategic plans and planning resource allocation.
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From Donor Acquisition to Fundraising:
Performance Benchmarks for Nonprofits
Our Presenters
Wes Moon
Business Development Manager
Cornerstone Group
of Companies
Ian Hembery
Vice President
Business Development
Artez Interactive
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From Donor Acquisition to Fundraising:
Performance Benchmarks for Nonprofits
Objectives for Today's Session
Understanding of the Cornerstone Global File Audit
Review Global Fundraising Trends in Direct Response
One Time Gift Donor Benchmarks
One Time Gift Channel Conversions
Monthly Gift Donors Trends
Global File Audit Overview
Global File Audit reviews provides benchmark results over a 5 year
period (2005 – 2009)
Analyze $695 million dollars from 25 million donations
Two main donor groups are analyzed:
One Time Gift Donors (OTG)
Monthly Gift Donors (Pre-authorized or PA)
Data Criteria – What is Excluded
The Audit focuses on direct response results, all else is excluded
Donor Exclusions
$1000 Single Transaction
Gift Exclusions:
Tribute Gifts (In Memory, In Honour)
Memberships Payments
Product Purchases
Special Event Donations
OTG and PA Donors Combined 2005-2009
2,154,856
2,037,0142,018,373
2,008,841
1,881,016
2005 2006 2007 2008 2009
Total Number of Donors by Year
2005 2006 2007 2008 2009
$139,435,68
2
$131,218,43
0
$138,418,01
6
$144,024,35
3$142,395,50
3
2005 2006 2007 2008 2009
Total Revenue by Year
2005 2006 2007 2008 2009
2005 2006 2007 2008 20091 Year
% Change
4 Year
% Change
Total Donors 2,154,856 2,037,014 2,018,373 2,008,841 1,881,016 -6.4% -12.7%
Total Gifts 4,873,248 4,969,290 5,199,516 5,419,393 5,394,612 -0.5% 10.7%
Total Revenue $139,435,682 $131,218,430 $138,418,016 $144,024,353 $142,395,503 -1.1% 2.1%
Overall Trend Analysis
With the exception from 2009, Not for Profits are raising more each year
from fewer donors
Revenue per donor (Calendar Year) has increased substantially since
2005 ($65 to $76)
The 17% increase in revenue per donor increased come from:
Larger One Time Gifts
Growth in Monthly Donor programs
One Time Gift Donors 2005-2009
2005 2006 2007 2008 2009 1 Year
% Change
4 Year
% Change
Total Donors 1,889,771 1,747,138 1,699,068 1,676,750 1,541,769 -8.1% -18.4%
Total Gifts 2,524,903 2,317,443 2,256,117 2,230,770 2,084,419 -6.6% -17.4%
Total Revenue $100,218,106 $87,657,409 $87,673,954 $87,958,652 $83,823,286 -4.7% -16.4%
1,889,7711,747,138
1,699,0681,676,750
1,541,769
2005 2006 2007 2008 2009
Total Number of Donors by Year
2005 2006 2007 2008 2009
$100,218,10
6
$87,657,409
$87,673,954$87,958,652
$83,823,286
2005 2006 2007 2008 2009
Total Revenue by Year
2005 2006 2007 2008 2009
One Time Gift Trend Analysis
5 year decline pronounced for two main reasons:
2005 - International Relief Organizations and emergency donations
in support of the tsunami inflated results
2009 - Due to the recession many charities cut back significantly on
mailings
A new trend in OTG Donors? Shrinking file sizes.
Fewer donors are being added annually
Not enough previous donors are retained to make up the difference
OTG Channel Summary 2005-2009
Overall Revenue By Channel
$0
$20,000,000
$40,000,000
$60,000,000
$80,000,000
$100,000,000
$120,000,000
2005 2006 2007 2008 2009
Direct Mail Revenue Telemarketing Revenue
WEB Revenue Direct Dialog RevenueDRTV Revenue Other/Unknown Revenue
$0
$20
$40
$60
$80
$100
$120
2005 2006 2007 2008 2009
Direct Mail Average Gift Telemarketing Average Gift
WEB Average Gift Direct Dialog Average Gift
DRTV Average Gift Other/Unknown Average Gift
2009 Direct Mail Stats:
Gifts: 1,877,006
Revenue: $69,654,801
Rev/Donor: $50.74
2009 Online Stats:
Gifts: 81,671
Revenue: $6,540,773
Rev/Donor: $91.95
One Time Gift Channel Analysis
Direct Mail is Still King for One Time Gifts:
83% of revenue generated through DM activities
Up 2% (81%-83%) from 2005
Is online an emerging channel?
Much higher average gift than DM ($37 vs. $81)
One of the few channels that experienced growth in 2009
Very low retention rates when compared to mail
1st year renewal rate: Mail 39% vs. Online 9%
OTG Donors Acquisition 2005-2009
New donor acquisition declined significantly in 2009, down 18% from 2008.
Matches charitable industry prospecting activity (down 25%)1.
1 See Cornerstone Quarterly Activity Report here:
http://cstonecanada.com/publications/whitepapers.asp
621,928
541,559527,313
513,404
421,353
400,000
450,000
500,000
550,000
600,000
650,000
2005 2006 2007 2008 2009
New Donors by Year
OTG New Donor Channel Summary 2005-2009
2009 Direct Mail Stats:
Gifts: 368,905
Revenue: $11,268,773
Rev/Donor: $35.88
2009 Online Stats:
Gifts: 51,577
Revenue: $3,954,483
Rev/Donor: $83.51
Overall Revenue By Channel
$0
$5,000,000
$10,000,000
$15,000,000
$20,000,000
$25,000,000
$30,000,000
$35,000,000
2005 2006 2007 2008 2009
Direct Mail Revenue Telemarketing Revenue
WEB Revenue Direct Dialog RevenueDRTV Revenue Other/Unknown Revenue
$0
$20
$40
$60
$80
$100
$120
2005 2006 2007 2008 2009
Direct Mail Average Gift Telemarketing Average Gift
WEB Average Gift Direct Dialog Average Gift
DRTV Average Gift Other/Unknown Average Gift
OTG New Donor Channel Analysis
Direct Mail Prospecting Activity Declined
2009 mail volume decreased by 25% from 2008
Direct Mail Campaign Performance Improved 2008 vs. 2009
Response rate: 6.96% change
Revenue per responder: 5.10% change
Revenue per mail piece: 12.42% change
Is online an emerging channel?
Web revenue now represents 21% new donor revenue
1st Year Donor Renewal 2005-2009
First Year Donor Renewal Rates by Year
37.4%
31.6%
34.7%
33.8%
31.1%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
2005
2006
2007
2008
2009
This statistic has the greatest variance between sectors and charities for
any donor renewal segment. (+/- 20%)
Donor stewardship plays a significant role when renewing this audience
2nd Year Donor Renewal 2005-2009
Renewal rates increase as donors become more loyal
Less variance between sectors/charities (+/- 10%)
2nd year donor performance is slightly less than the more loyal 3yr+
Two Year Repeat Donor Renewal Rates by Year
55.2%
51.9%
51.3%
52.3%
51.4%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
2005
2006
2007
2008
2009
Long Term Repeat Donor Renewal 2005-2009
Renewal rates increase as donors become more loyal
Little variance between sectors/charities (+/- 5%)
3 year+ donors generated $32,659,461 of revenue and remains strong
despite slightly reduced activity and economic factors
Long-Term Repeat Donor Renewal Rates by Year
71.4%
69.1%
68.8%
69.6%
69.1%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
2005
2006
2007
2008
2009
Lapsed Donor Reactivations 2005-2009
Total Lapsed Renewals 2005 2006 2007 2008 20091 Year
%
Change
4 Year
%
Change
Total # OTG Donors in Year 1,889,771 1,747,138 1,699,068 1,676,750 1,541,769 -8.1% -18.4%
Reactivated 285,555 250,033 255,305 269,837 259,241 -3.9% -9.2%
% Reactivation of OTG 15.1% 14.3% 15.0% 16.1% 16.8% 4.5% 11.3%
Total Revenue $12,902,699 $11,472,012 $12,058,759 $13,087,366 $12,732,217 -2.7% -1.3%
Revenue/Donor $45.18 $45.88 $47.23 $48.50 $49.11 1.3% 8.7%
% Lapsed Reactivation of All OTG Donors by Year
8.7%
8.3%
8.8%
9.1%
9.4%
2.8%
2.6%
2.7%
3.3%
3.1%
1.6%
1.2%
1.3%
1.4%
1.5%
2.0%
2.2%
2.1%
2.3%
2.8%
0% 2% 4% 6% 8% 10% 12% 14% 16% 18%
2005
2006
2007
2008
2009
Lapsed One Year Two Years Three Years Four+ Years
Long Term Repeat Donor Renewal 2005-2009
Outperforms 1st year donor rates (31.1%)
Many lapsed donors do not live where you think they live!
Reactivated Donor Renewal Rates by Year
45.3%
41.1%
42.2%
43.0%
42.8%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
2005
2006
2007
2008
2009
Donor Retention Rates by Acquisition Channel
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
1st Year 2nd Year 3rd Year 4th Year
Direct Mail
Telemarketing
Web
Direct Dialogue
Revenue by Acquisition Channel
$0.00
$20.00
$40.00
$60.00
$80.00
$100.00
$120.00
$140.00
Average Gift Average Lifetime
Value (5 years)
Direct Mail
Telemarketing
Web
Direct Dialogue
Multi-Channel Donors
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
% of Donors Who Only Used One Channel
Direct Mail Telemarketing Web Direct Dialogue
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
% of Donors Who Used at Least Two Channels
Direct Mail Telemarketing Web Direct Dialogue
Donors demonstrate a strong tendency to donate via their acquisition channel
Pulls towards direct mail because of the activity of participants in the study
Revenue Per Donor, Single vs Multi-Channel Donors
$0.00
$50.00
$100.00
$150.00
$200.00
$250.00
$300.00
Single Channel Multi-Channel
Direct Mail
Telemarketing
Web
Direct Dialogue
Monthly Gift Donor Summary 2005-2009
2005 2006 2007 2008 20091 Year
% Change
4 Year
% Change
Total Donors 265,085 289,876 319,305 332,091 339,247 2.2% 28.0%
Total Gifts 2,348,345 2,651,847 2,943,399 3,188,623 3,310,193 3.8% 41.0%
Total Revenue $39,217,576 $43,561,020 $50,744,062 $56,065,702 $58,572,217 4.5% 49.4%
Gifts/Donor 8.86 9.15 9.22 9.60 9.76 1.6% 10.1%
Average Gift $16.70 $16.43 $17.24 $17.58 $17.69 0.6% 6.0%
Revenue/Donor $147.94 $150.27 $158.92 $168.83 $172.65 2.3% 16.7%
265,085289,876
319,305332,091 339,247
2005 2006 2007 2008 2009
Total Number of Donors by Year
2005 2006 2007 2008 2009
$39,217,576$43,561,020
$50,744,062
$56,065,702$58,572,217
2005 2006 2007 2008 2009
Total Revenue by Year
2005 2006 2007 2008 2009
Monthly Donors Acquisition 2005-2009
Large number of new PA Donors added in each of the past 5 years through
two main strategies:
“Direct dialog” or “face to face”
Telemarketing conversion from direct mail donors
58,96865,645
71,033
60,446 63,422
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
2005 2006 2007 2008 2009
New Donors by Year
New PA Donor Channel Summary 2005-2009
2009 Direct Mail Stats:
Revenue: $1,418,413
Rev/Donor: $116.92
2009 Telemarketing Stats:
Revenue: $407,374
Rev/Donor: $80.57
2009 Online Stats:
Revenue: $484,474
Rev/Donor: $149.30
2009 Direct Dialog Stats:
Revenue: $3,778,988
Rev/Donor: $91.37
Overall Revenue By Channel
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
2005 2006 2007 2008 2009
Direct Mail Revenue Telemarketing Revenue
WEB Revenue Direct Dialog RevenueDRTV Revenue Other/Unknown Revenue
$0
$5
$10
$15
$20
$25
$30
2005 2006 2007 2008 2009
Direct Mail Average Gift Telemarketing Average Gift
WEB Average Gift Direct Dialog Average Gift
DRTV Average Gift Other/Unknown Average Gift
PA Donor Retention Rates by Acquisition Channel
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
100.00%
1st Year 2nd Year 3rd Year 4th Year
Direct Mail
Telemarketing
Web
Direct Dialogue
Revenue by Acquisition Channel
$638
.95
$557
.83
$829
.80
$442
.18
$0.00
$100.00
$200.00
$300.00
$400.00
$500.00
$600.00
$700.00
$800.00
$900.00
Average Lifetime Value (After 5 years)
Direct Mail
Telemarketing
Web
Direct Dialogue
Review of Today's Session
Fewer donors are giving more
One time gift programs had less activity and less revenue, however
2009 campaigns outperformed 2008
Decreased activity for 2009 prospecting campaigns may hurt loyalty
programs in future years
Donor retention rates remain high for DM acquired donors and very low
of online acquired donors
Review of Today's Session
Donors are demonstrating a channel preference with their first gift
Charities are focusing on growing monthly donor programs
Lifetime value of monthly donors more than 5 times that of a one time
gift donor
Direct Mail acquired donors perform well when converted to monthly
More Webinars for You
Nonprofits & Corporate Partners: Tips for boosting
your brand through their social media channels(feat. Geyser Marketing Group)
May 27th @ 1 pm ET (North America)
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