How To Identify Key Donors
Our Top 3 Tips to Start Identifying your Key Members
We know all of your donors are important to you. They’ve already shown that they care about your cause – and that is worth its weight in gold. But when it comes to budgeting and planning for the years ahead, some donors will be a more reliable source of revenue. Substantial givers and those who donate on a recurring basis are your most valuable donors when it comes to knowing you can keep your doors open and planning ahead.
Many organizations are lacking when it comes to truly understanding who has the highest capacity to give in their database, or who has the highest affinity for the group itself. This lack of initiative is typically the result of 3 main areas of thought: “I don’t have the time”, “I don’t have the money”, or “I don’t have the resources”.
There are many important steps in the process of earning donations from major donors, but before you can begin asking for — and receiving — those donations, you must first identify who your major donors might be. The fact is this: organizations that take the time to figure out who their strongest supporters are, are significantly increasing their odds of reaching ambitious fundraising goals.
Identifying key donors can better distribute your effort and time in the most effective way. Your time is valuable, and should be best used connecting with your key donors that will have the greatest return of investment for your organization.
It Starts With Your Database
At its core, your database is a list of all your members and how to contact them. This could be an excel spreadsheet, a written list, or even a fancy CRM. The reason this list is so important is because you need to know who your members are and how to contact them to fundraise in the first place. Your database is your central hub for how you stay connected with current and future donors.
To start building your organizations database:
Make a comprehensive list of all current members
Include as much information as possible. We recommend tracking at minimum of: name, phone, email, address, and giving history.
Check the accuracy of the information you’re entering. Identify what the gaps are; what members are missing, what contact information may need updating. An easy way to cross reference information is through the National Change of Address database, or to check for email boucebacks.
Have a dedicated volunteer to manage the database. We recommend updating your database constantly, but it should be done at least quarterly to keep donor information as up to date as possible.
How to identify key members
1. Identify past donors
Donors who have given before are 5x more likely to give again than someone you have just convinced to start giving. Begin by looking at your gift history, specifically the individuals who made large donations in the past. Once they have been identified, you’re then able to send a personal message, via phone or email, from someone they personally know in the organization. This is a great opportunity to invite them to offer feedback on the organization and be an insider on the communication and outreach.
2. Track email or survey responses
This simple step is an easy way to track who is clicking on your emails, but more importantly, who is responding. It also tells who already has a high affinity for your organization, which makes them more likely to give. For emails, you can look at the open/click rate of each email sent to track its overall engagement. For surveys, you can track the number of individuals that have completed the survey. Typically a 10% completion rate of the survey indicates a strong response as these are seen as potential donors. You can then cross reference this information with their past gift history to see who has already given to better identify your key donors.
3. Wealth screening
A wealth screening is a tool used to reveal a donor's giving capacity by pulling donor records directly from national databases to reveal new wealth and philanthropic data specific to your donors. When you append your contact database with wealth attributes, you will know who within your list you should reach out to. You will also know how to spark their interest, and – most importantly – how to connect with their network to expand your reach.
These are many databases you can utilize to perform a wealth screening, with our go-to being Donorsearch. With this wealth screening complete, you are then able to overlay your existing database with additional information about wealth, interests and other useful insights. In a matter of minutes, you get a highly curated list of targeted individuals that fit your buyer personas like a glove.
The takeaway?
Your most substantial donations aren’t likely to come from individuals out there who are waiting to be convinced to join your cause your mission – even if they have a high capacity to give. You’ve already converted individuals into supporters who follow and like your work. Your most promising donors are already part of your contact list. You just need to identify them.
READ MORE ON THIS TOPIC
