Your Thank You Letter. Your Nonprofit's Best Opportunity.

Recently this email landed in my inbox. And, since I get these kinds of questions a lot, I thought I’d use this LinkedIn article to respond.

Sarah writes:

“As a donor myself, there are a few organizations I give to that have communicated to me that they are only going to email me my gift acknowledgment now and no longer send me a copy by snail mail.??They have mentioned the cost savings and environmental benefits by not using as much paper (and saving on postage). Where I work, I would like to start doing the same for gifts under $250. For gifts above $250, our Dir ofDev or ED writes personal notes on the letters and they will continue to do so. My boss, the DofD is interested in some evidence from experts that this shift is acceptable and within what is normal for the industry. Can you shine any light on what you are seeing as "normal" across many organizations regarding this???I would appreciate any links to any support for this shift.”

I see these kinds of questions often. And, while I understand the attempt at saving money is well-intentioned, unfortunately, it’s also wrong.

I’m reminded of businesses feeling the pressure of a tight economy. They then proceed to shut down their marketing and lay off salespeople. Sure, it saves money but it also shoots the business in the foot.

I saw the same thing in our sector in 2008 and I’m seeing it again now. It never works.

Some thoughts for you, Sarah:

This idea of cutting costs with "smaller" gifts seems like an obvious place to save pennies. But donors' gift sizes aren't static. Major donors rarely land on your website and make a six-figure gift.

Major donors typically arrive at your door initially via smaller gifts of $15, $25, $50.

Let’s ask ourselves smarter questions.

Instead of?"Where can we cut costs in donor communications?” Ask?“How can we improve our donor communications so these activities cover themselves?”

If you need to save money, save on cheaper pens and toilet paper. Don't kill the goose that lays the golden eggs.

For years one of the things Disney visitors always commented on was the park’s cleanliness. It’s integral to the Disney customer experience and sets them apart from other theme parks.

When nonprofits commit to donor care — to investing in building these critical partnerships — they’re setting themselves apart.

Organizations using direct response TV (already an expensive proposition) can give a stuffed bear, tee shirt, and book for a $10 gift. These are huge nonprofits that know their numbers and understand the value of their donor base.

That said, I have seen these organizations ASK donors IF they would prefer to skip gifts so more of their money goes to the cause. Part of your communications strategy involves knowing and honoring donor preferences.

Please remember that email is totally ephemeral.

Here and gone in a heartbeat.

But direct mail has a “sticky” quality that can’t be touched. Ask any long-time?in-the-trenches fundraiser and they’ll tell you about receiving gifts in envelopes coded from campaigns or newsletters years past.

I donate to a number of environmental causes. And yes, I still receive a snail mail thank you.

Sarah, it seems to me that you already know the value of direct mail thank you's because you still plan on continuing to do it with higher gifts donors.

Lastly, while I’m a big proponent of mastering your digital strategy, part of that strategy also includes your direct mail. They walk hand in hand; they’re complementary.

In the words of my guiding star, Ken Burnett

“…it’s rude not to acknowledge every gift. And while at it to reassure the donor that it’s been put to the use intended. Only a fool is persistently rude, particularly as our business is building relationships for profit. But it’s a real fool who throws away money. The simple fact is that an appropriate thank-you letter is perhaps the best fundraising opportunity of all.”

Yes, your thank you letter is your very best fundraising opportunity.

Make it the human and heartfelt. Make it tangible. Make it memorable.

And, if you still have doubts, test it with your next campaign.?