Are you busy chasing the next donor and not developing the one you just signed up?
A marketing database connects you with your donors on a daily basis and how their requests, enquiries and generosity are flagged in the database will affect the length and strength of the relationship to your organisation. Using a marketing database to help drive fundraising strategy will reduce costs, allow for more accurate budgeting, free up staff time and give you a great framework to benchmark against as you test different messages, formats and timings.
To build connection with donors you need to segment accurately and relevantly, offer unique communication plans, determine the right time to communicate and ensure you are providing relevant information about your cause. These are four critical elements for connecting with your donors, but now let’s look at segmentation.
Segmentation can be based on the dollar range of gifts or by how recently and/or frequently donors gave. The options for segmenting are endless however, the critical purpose of segmentation is to identify common groups of donors based on their giving behavior to achieve more personalised communications. There is no limit to the number of segments you can create but each segment must be targeted and communicated to as personally as possible in every communications piece.
As the number of donor records increase it is critical that each identified segment has clear ‘rules’ placed around it. Once segments are defined and rules created, the marketing database becomes the tool to manage segmentation. The database will flag donor records, according to the rules, as giving behavior changes and then move each donor to the relevant segment.
Your database becomes the tool to turn donor data into meaningful patterns to assist in driving marketing strategy. As information is converted into a basis for action, it becomes knowledge. Once you have the knowledge it becomes easier to plan strategy, set budget and utilise staff resources effectively.
Once you have segmented your donors your next step is to design a communications stream for each segment. Communication streams that are designed with the different segments in mind will help reduce attrition rates, increase donor loyalty and increase giving levels. Why? Because donors will feel connected.
A structured communications plan will allow you to personalise and target your donor communications more effectively which will help build a long lasting relationship with your organization.
Source: Redstone Marketing Blog
