Realize where your profit lies

Dayton, Ohio -- Don't expect fundraising prospect mailings to make money. Fundraising prospect mailings are designed to attract new donors and usually break even at best. The real payoff is acquiring new donors who give regularly. You may get only a 1% response to a prospect mailing. But when you mail to those new donors in the future, you may get a 25% response, which is VERY profitable.

When considering response rates, you also have to evaluate average gift size. If your average gift is $25, you have to get a much higher response rate than if your average gift is $100. Many companies selling high-end products find a 0.25% response acceptable.