Fundraising Success: Direct

Mail

Today’s Discussion

• Planning for your direct mail projects

• Package design

• Messaging

• Integration

Direct Marketing Strategic

Objectives

Strategic Objectives

Discussion• What would you like to get out

of a direct mail program for your organization?

• If you do direct mail now, what are some additional objectives you could pursue?

DM Strategic Objectives

• Increase current donor giving

• Develop new donors

• Recapture past donors

DM Strategic Objectives

• Fund a specific program or project

• Encourage fulfillment of pledges

• Build ongoing relationships with donors

• Identify donors with potential for significant individual giving

Financial Objectives and

Metrics

Financial Objectives

• What kind of results can you expect?

• What will the costs be?

Prospecting Donor Total NotesRevenue:Number of MailingsPieces/Mailing

Total Pieces Mailed

Estimated Response Rate

Expected Responses

Expected Average Gift

Total RevenueRevenue Per Piece

Costs:

Total Pieces Mailed

Paper Cost/PiecePrint Cost/PiecePostageList RentalTotal Variable Costs

Fixed Costs

Total CostsCosts Per Piece

Net Income

Ratios:Cost Per Dollar RaisedFundraising % Revenue

Direct Mail Planning Worksheet

Planning Assumptions

• Typical Response Rates:

• Prospecting: .5%-2.5%

• Donor: 7%-20%

• Typical Avg. Gift: $10-30

Key Metrics

• Cost per Dollar Raised

• Average Gift

• Response rate

• Donor retention rate

• Lifetime Value of a Donor

Plan Your Mail Piece

• What type of package are you going to send?

• What lists are you going to use?

• What is the theme of your campaign? Is it relevant?

Direct Mail Project Design

Direct Mail Project Design

• Package

• Messaging

• Timing

• Lists

Package

• Typical package:

• 8.5x14 letterhead with perfed return card

• #10 window envelope

• #9 BRE or CRE

Items to Consider

• Color

• Pictures

• Size

• Cost

Other Package Elements

• Photos

• Surveys

• Involvement Cards

Premiums• Advantages

• Higher response rate

• Disadvantages

• Cost

• Dependency on Premiums

Messaging – Tell a Story

Messaging cont.

Timing• How frequently to mail?

• Scheduling around other fundraising

• Taking advantage of news stories, outside events

Lists

• Using existing donor lists

• Rental list selection

• Opportunities

• Criteria for list selection

Integration

• MSU survey study found that direct mail followed by email was as successful as multiple direct mail pieces

• DM - .315 Response rate ($10.97 per response)

• DM/Email – .297 Response rate ($1.31 per response)

Kaplowitz, Hadlock and Levine 2004

Integration – How to

• Create follow-up emails with the same message as your DM appeal

• Separate landing pages on your website

• Announce the campaign on any social media

Questions?

Ready to Raise More Money? Contact Us.

Robert Sanberg

Robert@ignitusinc.com612-735-5540

http://ignitusinc.comwww.twitter.com/ignitus

Presentation available at: www.slideshare.net/ignitus