Data Sense

Prospect Pool Part II

Back in November I mentioned the importance of cleaning up your existing prospect pool. So, now that you have deactivated those who are not really prospects and have identified those with true affinity, what is next? Now may be the time to take on a database screening.  Screening can mean different things to different people. For some it means finding wealth, for others it means determining who is likely to give and at what level.

Wealth screening is also known as “list matching.”  Names from your database are “screened” against names in external databases to find matches. The matches then return financial, biographical and philanthropic giving information. A score, indicating the reliability of the match, is also returned so that you can be sure that your John Brown is the same John Brown with the 10,000 shares of stock in XYZ company. If the screening company also provides information on constituents’ gifts to other organizations, you may get some indication of philanthropic intent.

Data modeling also uses lists but not for one-on-one matching for wealth.  At a very basic level, it applies mathematical formulas to existing statistical information such as the U.S. Census, credit reports, and IRS giving data to predict giving among groups of people. A group might just be a zipcode or a city or state. Data modeling can also incorporate information about your constituents to make it more meaningful. Sometimes a wealth screening is performed as part of this more tailored approach. A score, indicating whether the prospect is a major gift or an annual fund prospect, is returned for each of the names screened.  Finally, there is a third level of data modeling that involves a customized model based on the characteristics of your database and donor pool. This model is considered by many to be the most accurate but it is also the most expensive.

Which of the screening/modeling methods is best for your organization?  We’ll try to provide some tools to help you reach that decision in an upcoming blog.

Time for a Little Horn-Tooting and Thanks-giving

Data Sense launched in April of 2009 and I am happy to say I’ve been busy. I started with some pro bono work with Alpha Sigma Phi, Wishard Hospital Foundation and Progress House. Since then I have had as clients Kappa Alpha Theta, Sycamore Trails Research and Conservation District, Jessica White & Associates and the YMCA of Greater Indianapolis. I have been invited to submit proposals to four other organizations. None of this would have happened were it not for local consultants and fundraisers who very generously took the time to meet with me and share their wisdom. So in this month of November I send a special “Thank You” to Jessica White, Wendy Boyle, Nancy Frick, John Carreon, Katy Cantor, Jim Wood, Meg Gammage-Tucker, David Sternberg, Ruth Purcell Jones, Bryan Orander, Gale Wilkerson, Jennifer Pendleton, Nancy Berst, Paul Giese, Bob Rush, Kim Hodges, Jane Howard, Becky Schafer, Larry Smith, Amy Rubin, Felicia Brewer, Beth Gehlhausen, Kathy Pedrotti Hays, Gwen Kibbe, Aimee Laramore, Mike Laudick, Marnie Maxwell, Kris Parmelee, Sonya Baker-Hallett, Jose Lucende, Steve Bariteau and Bob Swaney.  I hope I didn’t miss anyone. Thanks to you all for your time, advice and trust. Carol

Will You Be Ready? Part I—Your Prospect Pool

When the economy tanked, many non-profit organizations postponed capital campaigns or put existing ones on hold. Activity remained slow as fund raisers and board members took a wait and see posture.  At some point we will have a recognizable recovery and when that occurs, donor confidence will return. Have you been taking steps to be prepared for the recovery?  Downtimes are great times to examine and reevaluate your prospect pool. Who has stayed loyal during the tough financial times? Remember that giving is only one indicator of loyalty. Consider who has stayed in contact, come to events, and continued to volunteer. Take a look at your prospect ratings and determine if your affinity ratings should be adjusted and then consider adjusting your cultivation plans.  It will be well worth the effort.