9203 Mike Garcia Dr, Manassas, VA 20109 540 428 7000 info@grassrootcommunication.com
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Where Have All The Donors Gone

Where Have All The Donors Gone

Is your year-end campaign ready to deliver? The latest Fundraising Effective Project stats show that total donors declined 6% in the second quarter, and revenue was down 7%. Don’t be part of the trend: our customized, affordable analysis will show you where your biggest opportunities are, and how to cash in on them!
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The cost of $600 for the analytics will be refunded to you if results don’t meet your expectations.
Donor Insight. Fundraising Action

It’s not all bad news.  Overall, 2018 revenue increased by 1.6%.  But realistically, a trend that shows fewer and fewer donors giving slightly more revenue is unsustainable and spells real trouble for the sector.

Where we left off

At the end of 2017 the sector saw an unprecedented fourth quarter that yielded 10% more revenue and 5% more donors as compared to 2016.  Then in the First Quarter report we began to think the sky was falling. We started the year down ( -6.6% )in the number of donors and down (-2.1%) in revenue through the second quarter of 2017.   Then,  after a tremendous 2017 Third Quarter that saw the sector ahead on revenue—up  +2.6% for the first three quarters.  We  even made some gains in the numbers of donors bringing the decline up to -4.3% year- over- year compared to 2016.

Perhaps  at the end of 2017 we were overly optimistic. Some experts felt those 2017 results exceeded expectations because of newly passed tax reform laws, others thought it could be related to the disaster response.

2018 Fundraising Peformance - Donor Retention and Revenue

Where we are now?

Unfortunately, we're still gazing out the window, looking for that reprieve to show up.  It's nowhere in sight.

The results from Q4 2018 are concerning.

🚩  Number of Donors are down -4.5% in 2018 compared to 2017.

🚩  Revenue is up 2.6% for the $1,000+ donors. Revenue is down  -4% for the $250-$999 group.  And down -4.4%  for smaller gift donors under $ 250.

Where will we go from here?

It is difficult to establish causality behind this trend, but Richard Rubin from the Wall Street Journal outlines how this may be related to the new tax law and the subsequent increase of the standard deduction. The data supports that claim as we have just witnessed the lowest fourth quarter in donations.

What can you do about it?

3 Action Steps:

  1. Benchmark your success
  2. Evaluate you acquisition and reinstatement investment strategies
  3. Set your goals and track monthly

Step 1:  Benchmark Your Success

A vital first step is to ‘know your numbers’.

  • Have you retained more donors than you did last year?
  • Has revenue increased or decreased?

If you don’t know, find out. We’re here to help if you need it.

Step 2:  Evaluate Your Investment Strategies

  • Are you balancing new donor acquisition with lapsed reactivation?
  • Are you spending enough on donor retention?
  • Do you know how many donors you need to retain so your file doesn’t shrink?

We can help.  Ask us to generate the 'Leaky Bucket' analysis and action plan for you.

Step 3:  Set your goals and track monthly

Be proactive and stay on top of the health of your donor file.  Set your goals [retention and value] and track monthly.

  • Retention
  • Upgrading
  • Revenue
(Blog courtesy of DonorTrends)

Exciting News!! We’re Moving!

GRC will be down on Wednesday February 21st as we will be moving to our new location! We will be back up and answering emails and phones on Thursday February 22nd. In the mean time, please feel free to email us and we will get back to you as soon as possible! – GRC Team

 

We’re reaching out to you with some very exciting news: we’re growing!
After nearly 18 years at our current location, we’re moving to a new, expanded location.
Our new address is:
9203 Mike Garcia Drive, Manassas VA 20109

We will have lots of news in the upcoming months on how the move will help us serve you better. For now, however, the most important information we want to convey is how the move will affect you.

Our final day of production in the current location is Wednesday, Feb. 21.
We then move our entire operation to our new facility. We expect to be up and running 100% by March 1 at the latest. Our goal is to minimize the production downtime, but for your planning purposes, please assume that no jobs will be delivered from Feb. 21 – Feb. 28.

If you’re working on projects with us that you need before March 1, we encourage you to reach out to us asap to ensure we can meet your timeline. Simply put, the sooner you get current projects in to us, the better!

Please reach out to us with any questions. We appreciate your patience during this process and are looking forward to serving you from our new location!

Sherene Rapoport
VP of Sales and Marketing
Grassroot Communication

Ph: 540.428.7000 x3032
Fax: 540.428.2000
E: sherene@grassrootcommunication.com