The run-up to December is over: The holiday season is here, which means it’s crunch time for nonprofits. What will be in your organization’s stocking this year? The answer isn’t as simple as sitting on Santa’s lap and asking for donations to double — but you can still take action to bolster your bottom line before year’s end.
And, perhaps the most important action you’ll take is to ensure that a well-crafted, properly targeted direct mail campaign is a key part of your integrated year-end marketing strategy.
Some are taking direct mail for granted, but statistics, nonprofits’ results and anecdotal evidence all work together to build the indisputable conclusion that direct mail is here to stay — and it’s a vital tool for nonprofit organizations. Consider these 5 facts to remember about nonprofit direct mail this holiday season:
- Abandoning Direct Mail Can Cost You: Here’s a compelling example from The NonProfit Times. The American Cancer Society in 2012 decided to temporarily pause its direct mail donor acquisition program due to an organizational restructuring. In the first year of the hiatus, new donors dropped by 11 percent and new donor revenue dropped by — are you sitting down? — $11.3 million. If the hiatus had continued, it was projected to cost a whopping $29.5 million in lost revenue over five years. Says Catharine Holihan, director of direct marketing for the ACS: “It’s tempting to look at things through a one-year lens but the runway for direct mail acquisition is much longer than that. For every $1 we invest in direct mail acquisition, we bring in $7 over the course of three years.” (Source: The NonProfit Times)
- December Is a Key Month for Giving: According to the Network for Good, 31 percent of nonprofit giving occurred in December. Further, 12 percent of the annual total came in the last three days of the year. Remember, this month, donors and potential donors are not only feeling the giving spirit of the holiday season, but they are also looking ahead to tax time.
- A Multi-Touch Approach: The best direct mail response rates typically occur when an initial mailing goes out around Thanksgiving. However, organizations that utilize follow-up letters in December report that the second “touch” helps boost response rates. And, if your organization hasn’t gotten a mailing out just yet, there’s still time. Sending an appeal mailing in December is better than not sending one at all.
- Remember the Two Types of Donors: Direct mail is of course highly targetable, and your target audience can basically be broken down into two types: Those who have contributed to your organization before (your “house” list) and those who have not (your “prospect” list). Nonprofits should always send giving campaign mailings to their “house” lists because it’s not only reaching those most likely to contribute again, but also is part of a broader effort to maintain connections with those who have supported your organization. When it comes to building an effective prospect list, a direct mail marketing expert can prove highly valuable to help ensure that your mailing is reaching those who are most likely to contribute.
- Direct Mail Works: Have we mentioned direct mail works? According to the Direct Marketing Association, direct mail delivers 60 to 80 percent of nonprofit giving campaigns’ revenue. Email is also an important component of an integrated campaign, but it delivers only 5 to 15 percent of revenue.
At Mellady Direct Marketing, we know how important a year-end giving campaign can be to your nonprofit organization — and we’re proud to put more than three decades of experience to work for you, developing the right lists, telling your story in a visually compelling way, and crafting copy that will communicate effectively and motivate donors to support your nonprofit.
Want to make sure your organization doesn’t miss out on the season of giving? Contact us online or give us a call at (661) 298-9190 to find out how Mellady Direct Marketing can help.
