Today, I received a fantastic blog of a report in my inbox of a survey of 87 organizations that are “small but mighty” entitled The 2014 Individual Donor Benchmark Report published by Heather Yandow of Third Space Studio in conjunction with Network for Good. I had to click through and read this report – it was very unique and full of great information, as the focus was on individual donor giving and organizations with budgets of under $2 million.
As a fundraising consultant who specializes in small to medium-sized nonprofits, I was delighted to read this survey report. It contained fantastic information! Key points in the report reminded me of the exact types of conversations I have with my clients when helping them craft their major donor development plans.
Quoting Ms. Yandow in her blog post –
“Four years of data have been collected, and we’re starting to see trends emerge. From this year’s IDB Project, several “universal truths” were identified that will have a huge impact on how small and mighty nonprofits expand their fundraising:
- The single most important thing you can do to strengthen your individual donor fundraising is create a plan.
- The average small but mighty nonprofit raises 36 percent of its revenue from individual donors.
- The average gift for nonprofits of this size is about $400.
- About 16 percent of individual donor revenue is generated online.
- About half of individual donor revenue is generated from donors giving $1,000 or more.
- Fewer than half of all board members play a significant role in individual donor fundraising.
- Higher-paid development staff = more donations. If you have a fundraising plan, for every $1 more you that pay your primary individual donor fundraiser, you are able to raise another $4.25.
(AND MY FAVORITE…)
- More donor meetings = more donations. With a plan, each donor meeting yields more than $5,000 in increased donor revenue.”
When asked “What is the first thing you would do to invest in more donor work?” it is no surprise that most respondents replied “hire help!” Smaller nonprofit staff are stretched very thin, and in my experience, individual donor stewardship plans fall by the wayside – a well-thought out and executed donor development plan is crucial to every organization – and this goes hand-in-hand with a well trained and involved board of directors.
Kudos to Ms. Yandow on continuing this amazing project to benefit nonprofits everywhere!
What are your thoughts on this subject? I’d love to hear from you!