M+R Strategic Services released a new study this week showing promising fundraising results for four nonprofits (Easter Seals, Human Rights Campaign, the Save Darfur Coalition, and The Wilderness Society) that tested premium offers to prospective donors. While each nonprofit will be tracking these new donors to see how they perform over time, the initial results were positive.
- Response rates were up 95%
- Average gift sized increased by 37%
- Net revenue grew by 51%
Another key takeaway from the study is that appealing and relevant premiums made a big difference in connecting with the prospective donors. Other helpful tips include:
- Choose an appropriate minimum gift and make sure the minimum gift to qualify for the premium is enough to cover your costs so you don’t lose money.
- Set a deadline.
- Offer an opt-out. Nonprofits will save money by giving prospective donors the chance to opt-out of receiving the premium. In M+R’s study 24% of the prospective donors elected not take the premium but still gave money.
- Include a photo of the premium in your appeal.
Click here to read the full study.
Is your nonprofit using premiums to encourage new donors to support your organization? What are the long-term results?
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