Jefferson County Community Foundation Nonprofit Alliance Breakfast Conversation April 4, 2012 “What Donors Want” Cygnus Applied Research, Inc. Burke and Associates, LTD, 2011

Cygnus Applied Research, Penelope Burke: Based on 150 Donors; 80% individuals; 20% Corporate Initial research with 267 charities of all disciplines, regions and sizes, researchers at Cygnus Applied Research found that: Charities are spending $30 on recognition and $.19 on communication with donors. Key Question: What influences donor loyalty and increases in level of giving at a faster pace?

What Donors Want Most Acknowledgment that the gift was received and you were pleased to get it. Private, direct one-on-one communication is best. 92% said this is critically important! Assurance that the gift was “set to work” as intended. Confidence that the project or program to which it was directed had desired outcomes.

If these Conditions are met: 87% would give again. 64% would give more. 74% would continue to give indefinitely.

Why Donors Stop Giving 46% of donors stop giving due to “failure to communicate” Charity not fulfilling its mandate Disagree with a change of focus Lost interest in the cause Believe charity no longer needs their support More compelling causes catch their attention

21% Stop Giving Due to Over-Solicitation Too many charity requests A single charity asking too many times Being asked again before I’m satisfied with how my last gift was used

Recognition that Matters to Donors 76% of individual donors and 94%of corporate donors say that photographs or personal letters from people who have benefited from the charity’s work are very meaningful and play a role in maintaining their support.

Gifts for Individual Donors? Token gifts (i.e., fridge magnets)? 86% of individual donors say no. 100% of corporate donors say no. Plaques or certificates? 76% of individual donors receive plaques or certificates as acknowledgment; only 5% display them. 73% either throw them out immediately or store them in a cupboard and dispose of them later.

Gifts for Corporate Donors? 72% of corporate donors display certificates and plaques. 71% display them in high traffic areas. 29% display them in Executive offices

Main Reasons Donors Attend Recognition Events To learn more about the charity’s Work (28%) To see others who support the same Cause (20%) To socialize or network with other Guests (19%)

Value of Newsletters 91% say newsletters provide information on charities they support. 71% say newsletters provide useful information on specific programs/services to which their contribution was directed. 64% say they are too long. 60% don’t have time to read newsletters thoroughly. 31% believe there is too much fundraising content in newsletters. 53% are concerned about the cost of newsletters

47% of individual donors & 59% of corporate donors would like to receive information from charities on their gifts at work by .

Site Visit Invitations 77% say this is appealing and that the invitation is appreciated even if they are unable to go.

Listing Donor Names in Publications? 81% of individual donors and 71% of corporate donors say that having their names published has no influence on whether or not they will give again. Donors disliked categorizing by gift value – “platinum” level givers disliked it most/

Ten Tips on the Fine Art of Cultivating Donors 1.Involve board members, donors, volunteers and staff. 2.Be strategic (general and specific) 3.Be systematic (follow-up plans) 4.Coordinate through a central person for record-keeping. 5.Do not limit to large donors only. 6.Not all cultivation involves personal interaction. 7.Cultivation can be unexpected. 8.Know when to ask. 9.Cultivation of individuals and corporations are different. 10.Make sure there is a budget for cultivation of donors.