1. How simple analysis opened up a new source of income
DONE
How simple analysis opened up a new source of income
Lee Gisbourne – Database Marketing Manager

2. Agenda Background Database Marketing The Challenge The Analysis
The Campaign
Results
Questions

3. 1 Background (a) Key dates Charity founded in 1824
(National Institution for the Preservation of Life from Shipwreck …)
Royal National Lifeboat Institution 1854
First co-ordinated rescues with helicopters 1957
Inland waters and beach lifeguards 2001
Hovercraft and lifeboats on the Thames 2002
Training college & survival centre 2004
2 more images Hover craft training college

4. 1 Background (b) Key facts Saving lives at sea 235 stations
330 lifeboats
4,600 crew 3,000 shoreline helpers
163 beaches
20 boats, 11 RWC
900 lifeguards / 120 volunteers
1,000+ fundraising branches and guilds
35,000 volunteer fundraisers
97% volunteers

5. 1 Background (c) The cost … £64.2M rescue £49.6M operational service
£4M prevention
£23M fundraising
No UK Government funding
Updated loud and clear

6. 1 Background (d) … and the benefit 8,713 launches in 2010
309 lives saved
8,313 rescues (23 a day)
Beach Lifeguards called to 16,664 incidents in 2010
Assisted 18,779 people
107 lives saved
Since 1824 more than 139,000 lives saved

7. 2 Database marketing Key responsibilities
Mailing selection & extraction – 100+ campaigns
Data management - 2M supporter records
Campaign results analysis
Ad-hoc reporting
KPI reporting
Insight delivery
…delivery of data driven marketing

8. 3 The challenge (a) RNLI challenge
Find a ‘significant’ new income stream
…from existing supporters
Believed we have an affluent supporter base
£25 average gift
Full calendar of appeals and asks
Within the constraints of current internal systems
Systems - IT, finance, processing

9. 3 The challenge (b) Marketing challenge and aims
Recognise ‘higher value’ supporters
Provide a personalised supporter experience
Introduce a tangible ask - £1214 to train a crew member
Short term - 1 year commitment to training
Allow the supporter to donate in the way that suited them
Bridge the gap between ‘high level donors’ and ‘higher value’ supporters
They could go back afterwards
Personalised communications
Gave a individuals direct dial, thanked them over the telephone

10. 4 Analysis (a) Understanding the supporter base Past behaviour
Transaction history
Personal data
Purchased demographics
Acorn classifications
Wealth intelligence
Acxiom variables
They could go back afterwards
Personalised communications
Gave a individuals direct dial, thanked them over the telephone

11. 4 Analysis (b) Acorn classifications - wealthy achievers
Do the RNLI have an affluent base?
Is this just the charity supporting population?

12. 4 Analysis (c) Household affluence Acxiom waited attribute including;
~ Household Income
~ Type of Property
~ Council Tax Banding of property
~ Home ownership Status
~ Number of earners in household
~ Dependent children in household
~ Investment Activity
~ Credit Cards in household
~ Technology in household

13. 4 Analysis (d) Wealth intelligence Data audit Wealth bands
Total
£50m+
250
£25m - £50m
£10m - £25m
700
£5m - £10m
3,500
£1m - £5m
18,500
Unknown
2,500
Grand Total
25,700
Data audit
Wealth bands
Geographic region
Age bands
Social and corporate attitudes
Charity segments

14. 4 Analysis (e) Year of last donation 1/3 this year - active
1/3 1 to 4 years
1/3 5 years and over

15. 4 Analysis (f) Total value of gifts over the last 12 months
30% - under £25
60% - £25 - £100
3% - £200 - £5000
Total value over 12 months
Supporters
£1 - <£25
148,000
£25 - <£100
296,000
£100 - <£200
52,000
£200 - <£500
12,000
£500 - <£5000
3,000
£5000 or over
250

16. 5 The Campaign (a) The target market
Analysis showed an affluent supporter base
Decided to adapt a classic RFV
Had given between £200 & £5,000 per year
Had to have given it for the last 2 consecutive years
Been supporting for over 5 years
They could go back afterwards
Personalised communications
Gave a individuals direct dial, thanked them over the telephone

17. 5 The Campaign (b) The ‘pack’
Personalised letter – giving history and years supporting
A case for support document – highlighting what training crew go through
Donation form and reply envelope
Personal welcome call
Several update mailings themed around training
– personalised years supporting, Current giving level and method, exclusive feel and from an individual tell you about him personally

18. 5 The Campaign (c) 3 Test segments Targets
High value committed givers - 370
High value cash supporters - 410
High value supporters choosing multiple payment methods - 370
Targets
They could go back afterwards
Personalised communications
Gave a individuals direct dial, thanked them over the telephone
Learn
1% response rate

19. 6 Results (a) Campaign results Committed – 4% RR Cash – 11% RR
KPI
Results
Volume targeted
1175
Cash responses 67
Direct Debit response 37
Response Rate 9%
Income exc GA
£106K
Expenditure
£19K
ROI exc GA
£5.60
Committed – 4% RR
Cash – 11% RR
Multi – 12% RR
87 gave the full amount
Pack cost £5.16
Extra costs to manage elements externally
Gift Aid Income £23K
12 months before £44,000
12 months following £117,000
166% increase in income
DONE

20. 6 Results (b)
Next Steps
Monitor the responders for the next 12 months - what do they do when they aren’t asked?
23 supporters have decide to continue
Roll out to a large audience in 2012
Tackle internal processing issues
They could go back afterwards
Personalised communications
Gave a individuals direct dial, thanked them over the telephone

21. 6 Results (c) Key Learning's and Advice
People will analyse your date for free … let them
You have a database full of data … you know your data better than anyone
Recency, Frequency, Value is always a good place to start
Supporters will give high value gifts … but you do have to ask
Do not let internal systems stop you testing something new … if you wait for systems to be perfect it will never happen
They could go back afterwards
Personalised communications
Gave a individuals direct dial, thanked them over the telephone