There is no other group on your donor file more likely to leave you money in their wills than your monthly donors, donors who have really bonded with your cause. They’re willing to give you direct access to their personal bank account numbers, and to make an ongoing, multi-year commitment. Organizations that have long-running programs find that their monthly donors are by far the most likely to make planned gifts.
Gwen Chapman, past director of membership and marketing for the World Wildlife Fund of Canada, says, “We have found that these donors are more loyal.” She adds, “Many have committed to planned gifts as well.” This is also my experience with a number of causes.
Extensive research has shown that the people who leave you bequests are not necessarily the wealthiest people on your donor file. Instead, legacy donors tend to be loyal, low-level donors who have given regularly for many years, exactly the kind of donor who joins your monthly donor program.
Legacy donors are interested in developing a personal relationship with a charitable organization. People who give on a monthly basis and are who members of a special club certainly fit this profile.
A phenomenal windfall
The estimates are that about $13 trillion in the US ($1 trillion in Canada) will be transferred over the next 15 years to the next generation. Nonprofits deserve a share of this money. Many experts say it is the greatest wealth transfer in history, and if charities receive even three percent of this money, it will be a phenomenal windfall.
Monthly donors are among your best prospects. According to many planned giving experts, a donor who has given $25 a year for ten years is a more likely prospect than a donor who has given one or two large gifts over ten years. The ten-year commitment shows that the donor is serious about your cause – and may support your organization with his or her final gift.
You should always keep in touch with lapsed monthly donors who contributed for a number of years. When people retire, their annual giving often declines due to a decreased cash flow. This does not mean that their commitment has stopped – far from it. But it could mean your organization will need to wait a few years before the donor can make another gift – or the ultimate one. If you lose touch, they may decide to give part of their estate to other nonprofits. Ask these individuals if they would like to continue receiving information, or simply send newsletters and other information as appropriate.
Don’t mail them 12 fundraising letters a year for ten years, but you may want to communicate with them once a year with an appeal, an invitation to rejoin the program, or your newsletter. All you need is a couple of legacies from this group to cover the costs of mailing to these lapsed donors – unless you have a couple hundred thousand lapsed monthly donors!
An emotional tie is crucial
Legacy marketing, like monthly donor program promotion, has to be repetitive and continuous. You never know what combination of circumstances and timing will motivate a donor to leave you a legacy or pledge a monthly commitment. An emotional tie to your organization is essential for people deciding which organization to bequeath a legacy.
Send a special letter to your monthly donors to invite them to join your legacy society. (They’ve already proven they are “joiners.”) Legacy societies are important because people like joining clubs where they share interests and goals with other members. Legacy societies also allow your organization to recognize members’ special contributions in a variety of ways.
Identifying the ages of your monthly donors is very important. We know that people in their 60s, and sometimes even in their early 70s, aren’t all that eager to talk about what happens after they die. Then as people reach their later 70s and beyond, they accept that it’s a matter of when they die, not if they die. They’ve generally moved past the denial phase and realize they won’t live forever.
Harvey McKinnon & Associates specializes in direct mail, monthly giving programs, and fundraising audits. For more information, contact Harvey McKinnon, 218-2211 West 4th Ave, Vancouver, BC V6K 4S2. Telephone (604) 732-4351. Fax (604) 732-4877. eMail info@harveymckinnon.com. Visit: www.harveymckinnon.com.