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Fundraising Pros Forecast 2017 Trends for Direct Mail

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For nonprofits, 2017 offers an avalanche of political and technological changes, yet we don’t see any trend sweeping direct mail or e-mail out from under fundraising marketers just yet. Certainly, AccuList USA’s top fundraising mailing lists, based on proprietary research, continue to deliver donors and dollars to clients.

In fact, NonProfit PRO magazine recently found relevant mailing insights when it asked nonprofit pros nationwide for 2017 fundraising trend predictions. A few nuggets from its “40 NonProfit Trends for 2017” include:

Digital & Analog Can Grow Together

Marketers should see digital and non-digital communications as symbiotic rather than competitive. Indeed, Roger Craver and Tom Belford, editors of The Agitator, predicted that the continued rise of digital technology and data will paradoxically foster an increase in “old fashioned” pre-digital methods of communication and relationship building, such as direct mail, printed “thank you” notes, personal phone calls and print newsletters. Why? Because old-fashioned non-digital communications “provide a key—and currently missing—fundraising ingredient: a human, real-life interaction between an organization and its donors.”

Integrating Not Just Multiplying Channels

Claire Axelrad, J.D., CFRE, principal of Clairification, advised nonprofits to recognize that they are now dealing with an all-encompassing “Generation Connected” (GenC) and must be in multiple spaces simultaneously—but with consistent and integrated messaging. Merely fundraising through multiple channels does not equal integration from the consumer’s perspective, she warns;  integration requires coordinated images, messages and offers across channels to avoid muddling the brand.

Going for Mailing Depth Over Volume

Direct mail is still a top fundraising tool—but not if used as a blunt instrument. Nick Ellinger, vice president of marketing strategy at DonorVoice, noted recent Dutch research that found 63% of the revenues of an additional nonprofit mailing aren’t new revenues but rather cannibalized from the revenues of other communications. However, by investing in donor knowledge and targeting, customization and personalization rather than just mail volume, test programs report stable gross revenue and a significant increase in net revenue in year one (or year two at worst), Ellinger reported.

Direct Mail’s Not Dead & Neither Is E-mail

Eric Rardin, vice president of business development for Care2, predicted that e-mail will only increase in importance in 2017. While social tools and platforms proliferate and compete, e-mail emerges as a digital tool that best allows marketers to push traffic and engagement online, he noted, so the value of an e-mail address, with permission to mail, will continue to increase year over year.

Use Technology to Kick Up Results

Though “old-fashioned” mail still drives donations, it may do a better job if paired with new technology. Shari Mason, vice president, marketing communications of Smile Train, suggested embracing 3D-printing initiatives, virtual reality experiences and social-good fundraising platforms to improve giving-impact communications, message sharing, call to action, and cause awareness. Leigh Kessler, vice president of communications for CharityEngine, even urged testing mobile device voice intelligence technology (Siri, Cordera, Google Now)—for example with a direct mail piece that says, “If you have Amazon Echo, just say ‘Alexa, I’d like to Give $25 to customURLnonprofit.org.'”

For more trends, read NonProfit PRO‘s “40 NonProfit Trends for 2017.”

Positive 2017 Fundraising Trends Create Opportunities

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While 2017 is starting as a year of uncertainty, especially in politics, a recent CauseVox post provides some good news for AccuList USA’s current and future nonprofit direct marketing clients. CauseVox staff writer Tina Jepson spotlights 10 fundraising trends that offer opportunities for greater success this year, and we’ll pass along a few here.

Increased Individual, Corporate & Recurring Giving

Donation forecasts are upbeat, Jepson shares: Philanthropy Outlook 2016 & 2017 predicts that an increase in individual and household income will help to boost fundraising efforts for nonprofits, charities, and NGOs by as much as 3.8% in 2017.  Plus, with Gross Domestic Product and business savings on the rise, total corporate giving is predicted to rise by 4.7% in 2017. And monthly giving, which accounts for 17% of online revenue, also will continue increasing per the 2016 M+R Benchmarks report. The trick with individual donors is to catch the wave with smart targeting, inspiring creative and campaigns to get existing donors to boost giving, says Jepson, while, for corporate giving, nonprofits would do well to maximize gift matching, to court business leaders and to keep tabs on company arrivals and growth locally. Plus, Jepson urges nonprofits to amp up their monthly giving strategy, making monthly giving the first option for donors on the website and a marketing priority in e-letters, direct mail and e-mail.

Donor Retention at a Record High

Donor retention rates are at the highest rate since 2008 at 45.9%, and nonprofits and charities clearly should make retention a marketing priority to capitalize on this powerful fundraising engine, Jepson notes. She suggests capitalizing on the trend with tactics such as personalization; prior gift recognition; leveraging donors’ preferred channels; donor education via videos, infographics or pamphlets; and donor activation with engagement opportunities such as volunteering or advocacy.

More Donor Data Than Ever Before

Digital interactions—websites, e-mail, social media and now the Internet of Things (IoT)—combine with traditional channels such as direct mail to generate a wealth of data about existing and potential donors. A key goal for 2017 is to gather, analyze and use actionable data effectively. Jepson lists a few ways to do so: Tracking analytics on your website and social media posts to learn the demographics and behavior of your paid, earned and owned media audience; using Facebook and Instagram Ads and Business Manager to target ads to donors likely to give; and turning around data learning to share with, and inspire, donors in real-time online via options such as a website ROI ticker that tracks return on investment (possibly in lives changed) per average donation.

Social Media & Mobile Marketing Challenges

In social and mobile marketing, nonprofits face challenges as well as opportunities. Social media platforms, including Facebook, now are promoting organic content that prioritizes the audience’s friends and family over nonprofit messages. Jepson points out that this means that effective social media marketing will need to rely more on purchased ads and targeting of key demographics, as well as creating viral content that inspires shares. Meanwhile, if your nonprofit hasn’t invested in mobile optimization of websites and e-mails, you’re missing a key donation source: Mobile giving makes up 17% of all online giving now and is projected to rise further in 2017.

For more trends and Jepson’s suggestions on maximizing their fundraising impact, see https://www.causevox.com/blog/fundraising-trends-2017/