Every direct response fundraiser knows that growing the number of donors who support your organization is an essential component of long-term program success. However, as it becomes more and more difficult (and expensive) to acquire new one-time gift donors through direct mail, and as investment requests spread out more significantly across channels, organizations are often faced with tough decisions around how to balance investment and program growth with net revenue goals. And that has never been truer than today, after many organizations have had to make some hard investment decisions in the face of COVID-19 and may be wondering how to quantify them for the long-term.
To help understand BOTH the short- and long-term impacts of investment reducing decisions, MINDset has created a free report that easily illustrates both of these factors, using your own organization’s data! Our DRivE (direct response investment evaluator) report will provide you the data points needed to understand how investment decisions made today could impact program revenue for years to come. This report is designed to arm you with the talking points you need to show how cutting direct mail acquisition for short-term gains, could cause significant, and lasting long-term losses in the years to come.
For example, in the scenario to the right, an organization decided to cut acquisition in 2012, reducing the overall number of new/reactivated donors by 18,000. While initially, the organization saved $540K in initial costs, and a subsequent $58,074 in future resolicitation costs, the program lost $876K in gross revenue, and $278K in net revenue by year 2020. In addition, beyond 2020, the program will miss-out on $25K of annual revenue from the donors that weren’t acquired in 2012.
In today’s competitive, ever-changing landscape, we understand that having a crystal ball would be very helpful. And while our tool isn’t quite a crystal ball – we have been told it is close! If you are interested in receiving a free DRivE report that shows this information for your organization, simply reach out to our resident analytic guru, Dave Jorgensen (firstname.lastname@example.org), and we will get started! The data highlighted above is a brief snapshot of the full insights provided by this unique report.