How can you tailor prospect research for different donor types?

1 Know your donor types

The first step to tailor your prospect research is to understand the different types of donors you may encounter. Individuals are people who give out of personal interest, passion, or connection to your cause and may be motivated by tax benefits, recognition, or emotional satisfaction. Foundations are organizations that give grants to support specific causes, programs, or projects and may require formal proposals, reports, and evaluations. Corporations are businesses that give to enhance their reputation, brand, or social responsibility and may have strategic goals, values, and expectations for their partnerships. Government agencies are public entities that give to support public policy, social welfare, or economic development and may have complex regulations, processes, and deadlines for funding. Donors from all of these types may have varying levels of wealth, influence, and involvement that should be taken into account when researching prospects.

3 Research your donor's capacity

The third step to tailor your prospect research is to estimate your donor's capacity to give. This may include wealth indicators, such as income, assets, liabilities, lifestyle, and spending habits, as well as giving indicators, such as philanthropic involvement, recognition preferences, loyalty, and responsiveness. Additionally, affinity indicators may be considered for your donor's alignment and fit with your organization, such as mission, vision, values, programs, and impact.

4 Research your donor's expectations

The fourth step to tailor your prospect research is to understand your donor's expectations for their relationship with your organization. This may include communication preferences, such as the frequency, channel, tone, and content they prefer; stewardship preferences, such as the ways they like to be acknowledged and appreciated for their giving; and engagement preferences, such as volunteering, attending, advocating, or joining. All of these are important to consider when cultivating a relationship with a donor.

5 Research your donor's opportunities

The fifth step to tailor your prospect research is to identify and evaluate your donor's opportunities to give to your organization. This may include determining the solicitation strategies that best fit your donor, such as direct mail, phone call, email, meeting, or event. Additionally, you should consider the gift types available to them, including cash, check, credit card, online, stock, planned, or recurring. Lastly, you should assess their gift levels based on their capacity, interest, and relationship.

6 Research your donor's challenges

The final step to tailor your prospect research is to anticipate and address any challenges or objections your donor may have to giving to your organization. This may include competition from other organizations or causes that appeal to them, as well as any barriers such as lack of awareness, trust, or urgency. It is also important to consider any concerns they may have about your organization, such as impact, efficiency, or transparency, and how you can answer them.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?