Nonprofit tidbits based on 37 years of observation
Mike Cowart
Informing individuals and couples of the hidden tax in retirement assets, and the opportunity to redirect this liability to their favorite charities.
There are +1,500,000 nonprofit organizations competing for donors.
The majority of donors are +60 years of age.
A donor gives a minimum of two donations per year. A onetime donor is a “warm prospect.”
Typically, +65% of donations are given by women.
In 2017, +90% of donations were made offline.
The donor attrition rate across the nonprofit sector ranges from 60%-70%.
The average attrition rate for first time donors is 70%.
Most nonprofits do not know their donor life time value.
The 80/20 Rule does not work now. It's closer to 90% of the money comes from 4 to 5% of the donors.
The majority of nonprofits are asking for gifts from discretionary income and do not ask for gifts from net worth.
Cash is no longer king for mid-to-high income donors. Their wealth is in non-cash assets.
There are three types of donors: habitual, emotional, and strategic.
The majority of nonprofits are not intentional regarding planned giving. The sole focus is this year’s budget, or there is a lack of long-term vision.
ROI: Events ($3:$1) Annual Fund ($19:$1) Major gifts ($33:$1) Planned gifts ($55:$1)
Philanthropy objectives should be owned collaboratively by the board-CEO-CDO, and they work together to achieve them.
You are not a fundraiser. You are a facilitator.
“If we merely aim for the industry standard, then our goal is mediocrity. Emulating the average nonprofit, we are destined to live with all the problems the average nonprofit faces. So, we suggest you can aim to be exceptional in your approach to fund development.” (Dr.Eddie Thompson, CEO and Founder Thompson & Associates)