NPO Authority
Finally, a wealth screening software designed for smaller nonprofits that won't break the bank.
Wealth Screening Services: WHY IT'S EFFECTIVE:
When you have over 1,000 donors you may know a few very well and you may feel asthough you have a handle on good portion of your donors. The bottom line is we dont know,what we dont know. The #1 reason nonprofits screen thier donors -- They want to see how much a particular donor is gifting to outside organizations.
The NPOAuthority's wealth screening tool will help your organization focus in on those who have the financial resources and philanthropic drive to be major gift donors.
That way, you can target your annual campaign efforts and allocate your resources toward cultivating these prospects, which will help you reach your annual fund goals.
HOW IT WORKS:
You'll want to find those in your database with the capacity to give a large gift and the greatest
affinity for your organization. Turn to your donor database and study the data you have on file.
You'll want to look at:
A donor’s previous giving history with your nonprofit and with other organizations.
The donor’s personal background.
Wealth indicators (such as the amount given in previous donations, real estate and stock
ownership, etc.).
If the donor is philanthropically-motivated in other ways (for example, if they frequently
volunteer with nonprofits or have served on a board of directors).
Integrate a robust wealth screening service with your donor database for the deepest insights.
The NPOAuthoritywill screen your donors and assign each individual donor several different
types of grades.
Is this a major Donor?
Is this donor likely to give to your type of organization?
How much should I ask of this donor?
What types of nonprofits do they favor?
How much did they give to them vs Us?
We can even tell you how much money went to outside nonprofits.
TOP 3 INDICATORS OF A GREAT WEALTH SCREENING PROSPECT
Step one
PAST CHARITABLE GIVING TO YOUR ORGANIZATION
To quantify previous giving, use an RFM score. An RFM score serves as an internal analysis of the relationship you have with each of your prospects. You will receive a RFM score
on ever donor when you sign up for a wealth screening with The NPOAuthority
An RFM score factors in three pieces of data:
Recency of giving: How recently has an individual made a charitable donation?
Frequency of giving: How often has an individual donated? (i.e., weekly, monthly, annually)
Monetary contribution: How much has an individual given?
Step two
PAST CHARITABLE GIVING TO OTHER NONPROFIT ORGANIZATIONS
What’s particularly interesting is how powerful a predictor this is:
Individuals who have made a gift of over $100k to a nonprofit are 32 times more likely to make a charitable donation elsewhere.
Individuals who have made a gift of $50k – $100k to a nonprofit are 25 times more likely to make a charitable donation elsewhere.
Individuals who have made a gift of $10k – $25k to a nonprofit are 10 times more likely to make a charitable donation elsewhere.
Individuals who have made a gift of $5k – $10k to a nonprofit are 5 times more likely to make a charitable donation elsewhere.
Step three
INVOLVEMENT IN NONPROFITS AS A FOUNDATION TRUSTEE OR DIRECTOR
Based on the analysis of charitable giving to over 400 nonprofits, a prospect’s participation as a foundation trustee or nonprofit director is a more powerful signal of future philanthropy than any wealth indicator.
Why?
These prospects understand the importance of philanthropy and the work nonprofits do because they have firsthand experience. When you make your fundraising case to them, they’re more inclined to understand where you’re coming from and where’d like to go better than any other prospect.
Simply put, their ingrained knowledge of the fundraising world is a huge benefit to your cultivation process.
