How often should you solicit donors?

Dayton, Ohio -- A national donor survey performed by Cygnus Applied Research found that over solicitation is the #1 donor complaint. It's also one of the top three reasons donors stop giving.

When you consider how expensive it is to find a new donor, the last thing you want to do is force them away. Sure, you may leave a few gifts on the table but I suspect that amount is much smaller than the value of the donors you could lose.

A good rule of thumb is always have at least one non-solicitation communication contact with donors between solicitations. For example, if you mail your newsletter three times per year, solicit between each newsletter. That may change the timing of your newsletters but may also increase your response.

It's also useful to calculate the ratio of solicitation communications to non-solicitation communications, with the goal being to have a low ratio. For example, if you solicit donors 10 times per year and send non-solicitation communication twice per year, your ratio is 5/1. That means your donors expect that when you contact them, you're asking for money. (Perhaps you have a relative who only contacts you when he or she needs something. You know what that feels like, so don't make your donors feel the same way.)

Also, ask your donors how often they want to be solicited. Many have set giving schedules. According to the Cygnus survey, 23% make gifts once per year and another 21% make gifts on a regular schedule. That's 45% of your donors who won't give unless asked at the right time. That may translate to 45% of your direct mail budget being wasted.

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.