What Makes Them Give? 2012 Stelter Donor Insight Report Latest Stelter Study finds influences and activities that yield planned gifts

Agenda + Review of 2008 and 2009 research survey details + Our findings + Recommendations

3 The first studies to scientifically document the universe of bequest givers and prospects living in America 2008 & 2009 Surveys

Survey

Objectives + Scientifically document the world of bequest givers. + Confirm current strategies that help nonprofits succeed in identifying and cultivating bequest givers. + Develop data-driven tactics to help make nonprofits even more successful.

2008 Key Findings + 7% of population has included a charity in will + An additional 10% plan to + Younger donors more open to including charity in will + Once a nonprofit is in a will it’s rarely removed + 42% prefer initial contact about planned giving via the mail + Only 36% had notified the nonprofit of their plans

Survey

Objectives + To measure awareness of planned giving and ways to make a planned gift + To test acceptance of planned gifts among people who stand to lose inheritance in the deal + To better understand the economy’s impact on giving + To expand our knowledge of giving to include people in their 30s

2009 Key Findings + 62% NOT familiar with term ‘planned giving’ However, were familiar with ‘ways’ to make a planned gift + 78% NEVER approached about a planned gift

Application of 2009 Findings + Education is key! Great opportunity with retirement plan assets Easy to move prospects toward PG - in the course of an 11 minute interview, the pool of likely prospects grew 60% + Continue to expand your definition of a good prospect. Start communicating with younger donors Don’t ignore your older donors, just understand the challenges

11 Deeper dive into the universe of bequest givers and prospects living in America 2012 Survey

Survey Purpose + To better understand how donors evolve from transactional givers to planned givers + Gain insight into the types of interactions most likely to influence planned giving decisions + Gauge the effectiveness of nonprofits’ relationship- building efforts, and + Identify the types of appeals that best mirror a donor’s reasons to make a planned gift

13 U.S. residents age 40 and older Whom did we survey?

14 Current planned givers People who have a planned gift in place. Whom did we survey?

15 Best prospects for planned gifts People who say they will definitely or probably do so in the future. Whom did we survey?

16 Planned Givers A Shifting Demographic

17 Age

Marital Status

19 Current Planned Givers Best Prospects Midwest 29% 21% West 30% Northeast 21% 31% South 20% 28% 20%

20 The Path to Planned Gifts

21 History of annual donations to nonprofit before executing a planned gift New donors are planned givers, too. Based on current planned givers; n=134 41% Gave annually for less than five years or never at all.

22 Size of annual gifts is not a bellwether. Amount of annual gifts to a nonprofit before making planned gift. 38% of those who have a giving history, donated less than $500 a year Among those who have a history of giving; n=102 43% of those who have a giving history, donated less than $500 a year

23 Donors’ current planned gifts are likely the last. Do you expect to make additional planned gifts? Based on current planned givers; n=134

24 The majority of current planned givers have children. Based on current planned givers; n=134

25 Most of those tell their children of their planned gifts. Among current planned givers who have children; n=91

26 But charities may be kept in the dark. Have told or plan to tell a charity of their planned gift. Based on current planned givers; n=134

27 The Influencers

28 Interactions with potential influencers Current planned givers and best prospects. (Multiple answers accepted.) Family Is the most persuasive influence.

29 Life transitions do not inspire most planned gifts. Life transitions that coincided with planned gift decision. (Multiple answers accepted.)

30 Donor Stewardship

31 Charities could improve their standing among supporters. Respondents’ ratings for attention received from charities they support or plans to support with planned gift

32 Excellent ratings are more likely from: Women 42% Men 31% Married people 43% Widowed/divorced 29% Never married 28% $100K+ households 44% <$50K households 29% Current Givers Who reveal their gift to the charity 62%

33 Few are members of a legacy society. Are you a member of a donor recognition club? Would you like to be invited to be a member? *Based on those who are not currently a member of a recognition club; n=344

34 A majority regularly use at least one of these social media sites:

35 Facebook is the preferred network for interacting with charity. Interested in getting updates from supported charities and connecting with other supporters through the site. (Multiple answers selected.) Age 40–49 More likely than average to show interest in connecting via Facebook (24%)

36 Words of Wisdom

37 Would strongly influence decision to make a planned gift to charity:

38 Who did we survey? Begin communication to supporters by the time they are middle-aged. Recommendations Stelter’s Top 5

39 Who did we survey? Focus planned giving messages on your most engaged donors, regardless of giving history. Recommendations Stelter’s Top 5

40 Who did we survey? Harness the influence of family. Recommendations Stelter’s Top 5

41 Who did we survey? Provide singles with more and better attention. Recommendations Stelter’s Top 5

42 Who did we survey? Rethink legacy societies and innovate stewardship. Recommendations Stelter’s Top 5

What Makes Them Give? 2012 Stelter Donor Insight Report Latest Stelter Study finds influences and activities that yield planned gifts