May 2009
CONTENTS:
1. Finding Wealthy New Prospects Now
2. New is not always better; it just costs more!
3. Resource Spotlight: Recession-proof businesses
4. Focus on Aspire Research: Devereux Florida
Finding Wealthy New Prospects Now
Greetings!
The prospecting jargon is data mining, proactive prospecting, or even donor acquisition. The need is for more prospects who can give at mid- to high-levels as defined by your organization. As the budget belts tighten uncomfortably, fundraisers are being pressured to identify more people from whom they can ask larger gifts. But where do you begin? The Top 40 under 40 lists? Forbes' various rich lists? Read on for a practical and simple strategy to identify prospects.
Jen Filla
President
Aspire Research Group LLC
P.S. I will be visiting Prague again in June and July, returning in August. Have no fear! You can still reach me at 610.566.5113 and via email at jen at aspireresearchgroup.com
New is not always better; it just costs more!
Whether you are a not-for-profit organization or a for-profit business, when the pressure for money is heavy the urge is to look outside of your organization to identify new people to engage. It is almost as if because the pressure is "new" to us, we feel we must look to "new" sources. It turns out that this is the most costly, inefficient method of raising more money.
Yes, we must continue to grow our annual funds and add friends to our organization, but I am suggesting that we have probably not done enough to cultivate and identify prospects who *already like* our organizations. Here is a simple two-step strategy that will provide lower-cost, higher-yield results than cold calling wealthy people in your community. Really!
FIRST, segment your database.
Can't afford to pay a vendor to do this? No problem. Review the mode, median, and mean data on gifts received. Find patterns that fit within your organization's giving levels and target those who are nearing the next higher giving level. Alternatively or simultaneously, produce lists on key indicators and overlay them to find most likely to give and most likely to have wealth. For example: recency, frequency and longevity in giving; company ownership, executive title, and wealthy zip for wealth.
SECOND, communicate!
Evaluate the methods of communication across your entire organization, not just fundraising. Use what you already have, but do a little tweaking to speak to the segments you have decided to focus on. Don’t forget to ask for gift types that are popular when people feel cash-poor, such as charitable gift annuities and bequests. As successful fundraisers I know you are very capable of cultivating and soliciting your "new" prospect pool!
Sustainable fundraising is like sustainable weight loss: there is no quick pill that can avoid good nutrition and exercise and it doesn't happen naturally. You have to grow your funding base over time and consistently engage and ask.
Resource Spotlight: Recession-proof businesses
Instead of providing you with a list of links, here is a summary of some “recession-proof” businesses. It is really a bit of common sense and should help you think about how your prospect’s business and investment wealth might be faring.
Funeral homes
Tax accountants
Bankruptcy lawyers
Waste collection
Debt collection
High-end personal services like cleaning and lawn care
Bartering & trade (like CraigsList)
Soup & food staples
Focus on Aspire Research: Devereux Florida
"I have found Aspire Research Group to be wonderfully effective. They provide me with information quickly and confidentially and I highly recommend them."
-Suzanne Nixon, Director of Development, Devereux Florida
Devereux Florida provides mental health and developmental disabilities treatment to over 12,500 children and families annually through 46 programs throughout the state. Devereux is the largest provider of these services in the country and the state of Florida.
Action is the antidote to despair.
Joan Baez, U.S. folk singer (1941-)
Aspire Research Group helps organizations use research to create and maintain meaningful relationships with donor prospects. We provide profiles on people, companies and foundations.
Contact Aspire Research Group and ask how we can help you find and get to know your major gift donors better. Call 610.566.5113 or email jen@aspireresearchgroup.com