Tag Archive for: Stewardship

The Great Wealth Transfer: An Opportunity for Nonprofits

As Baby Boomers pass on their assets to Millennials and Gen Z, an estimated $68 trillion will change hands over the next 25 years1. This monumental shift presents a unique and unprecedented opportunity for nonprofits to secure a brighter future.

As this change occurs, recognizing generational differences will be key in building relationships with donors across age groups. Let’s explore what this change means for you and why integrating direct mail into your communications strategy is essential.

Why It Matters

Increased Giving Potential

With the wealth transfer to younger generations, who are said to be more socially conscious, there is a significant potential for increased giving. Although Millennials have less disposable income today, building relationships and stewardship efforts now may result in increased giving tomorrow.  These generations prioritize social impact and are more likely to support causes that resonate with their values.  Nonprofits aligning their missions with younger donors’ interests and values can tap into this expanded giving potential.

Engagement Opportunities

Engaging with current and next-generation donors now can secure future support and create lasting relationships. Building trust and demonstrating impact are crucial for maintaining donor loyalty across generations. Younger generations require transparency, authenticity, and reassurance that they’re making an impact. Nonprofits that invest in meaningful engagement strategies will be well-positioned to benefit from sustained and increased support. While digital channels are important, direct mail remains a highly effective tool for creating a tangible connection with donors. Direct mail pieces, when combined with digital outreach, can enhance engagement by providing a personal touch that digital communications alone can’t achieve.

Direct mail offers a unique way to stand out in a crowded digital landscape. Personalized, high-quality mail pieces can capture attention, convey appreciation, and highlight the impact of donations. In an era where digital communications can be easily overlooked, direct mail provides a physical reminder of your organization’s mission and its value to the donor community.

Strategic Planning

Did you know that Millennials are now the largest generation in the U.S., making up 21.7% of the population?

Nonprofits that strategically plan for this wealth transfer can position themselves to benefit from increased donations and larger bequests. Developing comprehensive stewardship programs and personalized donor journeys from direct mail to email will be key to capturing the attention and commitment of these new donors. Although this population has less discretionary money currently, it’s essential to build relationships and programs today to create bonds that last into the future.  Forward-thinking organizations will thrive by anticipating donor needs and preferences.

The Role of Direct Mail

Direct mail should be woven into your overall fundraising strategy because it adds a valuable personal touch that resonates with most donors. Direct mail can be used to:

  • Drive Home Messaging: Enable heightened storytelling that highlights success stories or upcoming initiatives that can be reinforced by digital efforts.
  • Personalize Engagement: Increase effectiveness through personalized touchpoints from stewardship efforts, impact reports, or tailored appeals that stand out and feel more sincere.
  • Relationship building: There’s nothing like a tangible item to stand out from the crowd and make a lasting impression that builds ties.

By incorporating direct mail into your strategy, you create a multi-channel experience that leverages the strengths of both physical and digital communications.

How We Can Help 

At BCG Connect, we understand the importance of staying ahead of trends and seizing opportunities. Our team excels in data segmentation, allowing us to isolate different groups and target them with personalized messaging. This ensures that your direct mail campaigns resonate with each unique audience segment.

Let us help you build lasting relationships across generations with our professional and creative direct mail offerings and supporting digital assets. By leveraging our expertise, you can create compelling, multi-channel campaigns that engage donors and inspire action.

Seize the opportunity. The Great Wealth Transfer is a historic moment that nonprofits can’t afford to overlook. By proactively engaging with donors and tactically planning for the future, you can ensure your organization thrives for years to come. An essential part of that plan is strategic direct mail and digital fundraising communications.

Let’s work together to make the most of this transformative wealth transfer and secure a brighter future for your organization.

For more information on how BCG Connect can support your nonprofit during this pivotal time contact us here: bcgconnect.com/contact.

Sources: Forbes1, National Philanthropic Trust, Statista, Anchor Marketing, & Donorbox

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Ideas for retaining donors through effective stewardship

Retaining donors is one of the most difficult initiatives for a fundraiser to do. With more organizations asking people to support their cause or mission, there has never been a more important time to optimize donor retention strategies. One strategy that helps with donor retention is stewardship.

Instilled in people from such a young age is the concept of saying, “Thank you.” How many times have you, or someone you know, given a child something and the adult with them says, “What do you say?” and they look at you and say, “Thank you!” Probably countless times! Being a fundraising professional should encourage you to use this phrase now more than ever. Simply thanking donors and showing the impact of their donation can go an extremely long way.

Stewardship is a vital part of an annual giving plan as it helps you retain donors – if it’s not a significant piece of your plan now, this is something that you should take into deep consideration for the future.

Here are 5 stewardship tips to help retain donors:

  1. SIMPLY SAY, “THANK YOU.” A thank you can go a long way. It makes people feel that they are appreciated and when they feel appreciated, they will start to build a loyalty and sense of pride to your organization. Saying, “Thank you,” through all different platforms is a great way to show your donors how much you appreciate them.
  2. SHOW THE DONOR HIS/HER IMPACT. Infographics are a great visual tool to show donors how they made an impact. By associating the contribution – whether it be a dollar amount, time, or other resource – to the exact area(s) it impacted, people are able to say, “I helped make that happen!” Without your donors, it is impossible to reach your goals. So, when they donate, show them what they did and how they helped make the organization better.
  3. PERSONALIZE THE THANK YOU. Personalization helps build a bond between you and the donor. It makes them feel that they are special and unique. Yes, most occasions and initiatives call for individuals to receive the same designed piece. However, that doesn’t mean you aren’t able to personalize or segment it. Data segmentation and personalization enable you to target your donor or donor segments. For instance, you can have different variations of the stewardship piece, with personalization, if you segment donors by areas they contributed to.
  4. DON’T JUST WAIT UNTIL YOUR FYE. Have you ever thought about incorporating a stewardship campaign into your annual direct marketing plan? You might want to consider how many times per year you are currently thanking donors and how many times you could be thanking donors. Is it once a year? Twice a year? After each time they donate? You can never thank donors too much. Wondering some ways that you can thank your donors? Some clients thank their donors through designed postcards, letters, self-mailers, or other creative direct mail pieces. Connect with us to view samples.
  5. IF YOU ASK THROUGH A CHANNEL, THANK THROUGH THAT CHANNEL. There are many different channels nowadays where donors can be reached. If you ask through a particular channel, you should thank through that channel. For example, if you are sending your donors asks through direct mail, and they expect to hear from you through direct mail, then you should send a thank you through direct mail.

Interested in seeing samples of stewardship pieces?

Request Samples

To sum it all up, stewardship is critical to success. You did so much work identifying and acquiring your donors, you can’t forget one of the most important parts – retaining your donors. By thanking your donors, you’re one step closer to retaining them. They’ll feel like they made an actual impact as they start to build or continue to build an affinity to your organization.

BCG Connect helps clients to identify, acquire, AND retain donors through effective annual direct marketing plans. If you need help implementing stewardship pieces into your plan, or would like to talk about different direct marketing ideas for your organziation to effectively identify, acquire, and retain your donors, connect with us to learn more!

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