Even though we talk endlessly, it seems, about online giving these days, the fact is that direct-mail fundraising is not yet dead.
It is true that direct mail is costly. Most large nonprofits invest in staff, expert consultants, and expensive technology to pull off their complex and sophisticated direct mailings. It is not something that happens quickly or easily.
Nevertheless, raising funds through websites and email is far from perfected, and a nonprofit cannot reach everyone in that way. Most philanthropy is still checkbook philanthropy.
But, before a small or startup nonprofit gets into direct-mail fundraising, it should establish some basic procedures and regular mailings.
Experts in direct mail suggest the following actions for a nonprofit just beginning to fundraise:
Your New Best Friend: a Periodic Newsletter.
Develop and mail a newsletter several times a year to donors, volunteers, board members, similar organizations, members of your local media, local foundations, and vendors.
The primary reason to send a newsletter is to inform people about your organization and its activities. However, always include an invitation to contribute to your organization's support in each newsletter (this could be a banner across the bottom of each page, or a box on the first page), and enclose a return envelope (this can be tipped in by the printer). You don't need to include a stamp or make the envelope postage paid. Most people who care enough to donate will be willing to furnish their own stamp.
When writing the newsletter, include articles about donors and what their donations enabled your organization to accomplish. Be sure to include information about how to leave the nonprofit a bequest, with a phone number for more information or help.
If you have a website (and you should), with a way for people to donate online, include that information in the newsletter.
A newsletter is a tried and true method of spreading the word about your nonprofit, building your list of friends, and encouraging donations.
Nail the Art of the Thank You Letter
Every time you receive a donation, even if unsolicited, send a personal thank you letter.
The letter should not be a form letter. Rather it should be personalized to the particular donor and refer to the good his/her specific donation will do. Have the board president, or the CEO, of your organization sign the letter.
Include a return envelope with that letter, but do not ask for another contribution. You might be surprised by how many contributors will send another donation.
Show that You Care
Mail an end-of-year thank you letter to all donors, board members, and volunteers.
Your mission is to simply thank everyone for their help during the past year. Enclose a return envelope with the letter. You might want to include an appeal for a donation, but it should be low key. The emphasis should be on the recipients...a heart-felt thanks for their help.
Fulfill an IRS Requirement, Help the Donor, and Boost Your Bottom Line
Send a tax-letter at the beginning of the year to all donors from the previous year.
The IRS requires that a donor have proof that contributions of $250 or more were charitable (given to a 501(c)(3) charity). Send this letter even to donors of less than $250. It will be a welcome record of the gift and another opportunity to remind the donor of your organization.
And, yes, include another reply envelope.
Making sure that you excel at these tasks will prepare your organization for future direct-mail fundraising campaigns. You will develop a good mailing list and put into place the discipline, good will, and systems that will become the infrastructure for future fundraising.
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