Number of Donations from Direct Mail Fundraising Efforts Decrease

According to an article in The Chronicle of Philanthropy, a survey of donations to nonprofit groups through direct mail appeals has found that the number of donors who respond to this type of campaign has dropped precipitously in recent years. Even though the size of each donation has increased, this change in the behavior of donors is telling for nonprofits.

The reasons for the loss, as stated by the survey firm, Target Analysis Group, are:

• Many charities are paying more attention to large givers than to those who give smaller amounts.
• The number of people who grew up before and during World War II is dwindling. That generation was typically more responsive to direct mail appeals than younger people.
• Some charities are unable to satisfy donors' increased need for information about how their money is being spent. Donors are looking for more transparency.

A senior analyst for Target, Carol Rhine, pointed out, "Baby boomers, who have not responded as well to direct mail as older donors, are likely to start giving in coming years, but charities will have to change their direct-mail approach in recruiting them."

Rhine also said that direct mail is not dying, but it is changing. A look at the catalog industry provides some clues...companies still send the catalog but customers no longer order through the mail. They get the info they need and then buy over the phone or online. Nonprofits will have to change too.

• Direct-Mail Appeals Suffer, New Survey Finds (Chronicle of Philanthropy)
• Summary of Survey

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