Fundraising Strategy, Planned Giving

Low Response to Planned Giving Newsletters? Here’s What You’re Doing Wrong

If you have been in the fundraising industry for a while, you probably remember a time when planned giving newsletters were a surefire way to connect with donors. While the majority of people still prefer direct mail as a form of communication over e-mail (this cartoon, direct mail vs email, illustrates a point), the popularity of planned giving newsletters has dwindled. Planned giving newsletters still produce benefits and are an important tool in hitting donation targets, but they must be sent with a clear strategy and must target the correct people.

Planned Giving Newsletters Still Receive High Responses

Americans are used to receiving mail. The United States Postal Service reports that the average household receives 454 pieces of mail every year. Americans are also no strangers to fundraising mail. USPS also reports that Americans open 92 pieces of non-profit communication each year. Since the number of offline donations outranks online donations, it is important to continue communicating with donors in their preferred methods of communication. However, with donors being bombarded with both regular mail and non-profit mail throughout the year, direct-mail fatigue may set in. Major gifts officers may find that their response levels from mail are on a downward spiral, and they may question the efficiency of sending out printed planned giving newsletters. They are expensive, after all. If the data shows that planned giving newsletters are still preferred and that most donations are given in response to mail, but you are still seeing your statistics data nose dive, it is time to consider that your strategy may be to blame.

Identify Your Target Audience

Nonprofit fundraising, like any entity trying to increase revenue, is a marketing game. While you are more involved on a personal basis with donors, it is still necessary to follow a pre-planned strategy to meet goals and targets. In the case of planned giving newsletters, it is futile to send them out en masse, only for half of them to end up in the recycling bin. If any other marketing strategy were receiving declining results, it would be scrapped and retargeted to a different audience in a different way. The exact same thing needs to happen with planned giving newsletters. First, it is important to check your data. If you see that you have low response rates, check to see who doesn’t seem to be on board. Did they actually agree to receive your fundraising newsletter? It is essential that you fill your list with people who are engaged with your content, and who have given you a green light to approach them. Once you analyze who is or isn’t engaged, you can remove the nonresponsive contacts from the list. If you end up removing most of your contact list, don’t panic. You have just narrowed it down to people who have expressed interest and are highly engaged with your planned giving newsletters. Removing the dead weight from your mailing list will save a lot of money, as well as environmental waste. Just consider your organization frugal and environmentally friendly. If you removed someone who still wanted to receive mail from your nonprofit, they can contact you to be returned to the mailing list. After cleaning up your list, you can conduct a survey that questions the preferred contact method of each donor. You can further target your mailing list and transfer anyone who prefers e-mail to another list.

Create a Strategy

Now that you have a highly targeted list, it is time to draft a strategy. Utilizing effective marketing skills is key here. Crafting a donor-centric fundraising newsletter is important, so keep known preferences in mind. It is a well-known fact that people who like receiving mail enjoy the entire experience.

Enhance the Experience

Since you have now cut significant upfront mailing costs, perhaps you could splurge on better-quality paper or envelopes. Anything that enhances the receiver’s experience and enjoyment of getting your fundraising newsletter when it arrives will increase the likelihood they will respond. Engaging the senses in your mailing can prove to be highly effective. Everyone knows how nice it is to crack open a fresh notebook, and receiving a high-quality letter can evoke the same feeling. One of the basic marketing fundamentals is to improve your branding. A cohesive, sleek, modern design of your newsletter will improve the receiver’s level of connection. Do your planned giving newsletters look professional or do they look like someone designed them in MS Paint? If you’re not design-savvy, contact a freelancer. You can work with someone to design a beautiful, engaging design for a reasonable price. This is an investment that will pay for itself for years.

Personalize the Content

Another step that can help boost the response to your fundraising mail responses is to highly personalize your content. People really enjoy a personal touch and feel appreciative of receiving a birthday card or acknowledgment of a milestone. If your mailing list is fairly small, using a large, high-quality envelope with a handwritten mailing address is a nice touch. Every time the donor receives a fundraising newsletter, it is another touchpoint on the path to a major donation.

Provide Value

Nobody likes to receive another piece of mail filled with fluff. Ensure that you are sending planned giving newsletters that contain valuable information or evoke an emotional reaction from the receiver. Storytelling is so important in nonprofits, and planned giving newsletters are the optimal way to utilize it. Since planned giving newsletters are filled with both images and text, you can use both to tell the success story of one of your program participants. If your organization is working on a new initiative, this is a fantastic way to highlight the work that is yet to be done but make mention of your current progress.

Provide Stewardship

Major gift officers know that stewardship is a vital step in donor retention. Using your fundraising newsletter as a way to update current donors is logical. Since your newsletter is now targeted toward an engaged group, you can make your content donor-centric. Using your planned giving newsletters as a way to highlight specific contributors is a great way to show recognition and strengthen individual relationships with long-term donors. This is a great way to usher these donors into major donations, and, later, to ask for a major donation arrangement.

Track Metrics

Once you have implemented a new strategy for your planned giving newsletters, it is important to collect data. Did your response rate improve? If so, keep on going because your strategy is a winner. If you still aren’t hitting expected targets, it may be time to consult an expert. While it is easier to do this with e-mail lists, newsletter mailing lists can be utilized to predict future response rates. They allow you to tweak your strategy along the way so you can continue to strive for your highest donation potential.

Conclusion

Planned giving newsletters (and Newslets) can still be an effective method of connecting with donors and asking for donations. Ensuring that you are targeting the correct audience is essential, and working with a clear, effective strategy can significantly increase your donation levels. Doing it right takes effort, and one must determine the ROI. If the ROI is too low, planned giving postcards are a very effective alternative. Being able to form authentic connections, tell meaningful stories, and allow donors to contribute monetarily on their own terms are all important mechanisms in the fundraising wheel. It is essential that your marketing strategy functions in a way that works best for your particular donor set, so taking the time to target and plan for the donors you have is vital.

Viken Mikaelian

Viken Mikaelian is the CEO of PlannedGiving.com and Major Gifts LLC — the resource for all your major and planned giving marketing needs. Viken is available for speaking engagements on planned giving marketing, personal development and time management at viken.net. Connect with Viken on LinkedIn.