As a non-profit organization, donor prospect research is an essential part of fundraising strategy. It helps identify potential donors, their interests, and capacity to donate. With data-driven insights, non-profits can streamline their fundraising efforts, increase donations, and build long-term relationships with donors.
In this post, we’ll delve into donor prospect research statistics and explore the benefits, trends, adoption, market analysis, demographics, software, opportunities, challenges, and more.
Key Donor Prospect Research Statistics 2023 – MY Choice
- According to the National Center for Charitable Statistics, there are over 1.5 million nonprofit organizations in the United States alone.
- Nonprofit organizations account for approximately 5.5% of the US GDP.
- The nonprofit sector employs around 10% of the US workforce, making it the third-largest employer in the country.
- In 2019, the total revenue of US nonprofits was over $2.9 trillion.
- The majority of nonprofit revenue comes from individual contributions, which accounted for 69% of all charitable giving in 2020.
- In 2020, religious organizations received the largest share of charitable giving at 28%.
- According to a survey by the Nonprofit Finance Fund, 61% of nonprofit organizations reported that they did not have enough unrestricted funds to operate for more than three months.
- The Sarbanes-Oxley Act of 2002, which established accounting and reporting requirements for public companies, also applies to some nonprofit organizations that receive federal funding.
- The Financial Accounting Standards Board (FASB) sets accounting standards for nonprofit organizations in the US.
- In recent years, there has been increased scrutiny of nonprofit accounting practices, particularly related to transparency and accountability. As a result, many nonprofit organizations have implemented stricter accounting and reporting procedures to ensure compliance with regulations and maintain public trust.
Donor Prospect Research Stats
- 91% of high net-worth individuals donate to charity regularly.
- In 2020, charitable giving in the US amounted to $471 billion.
- 28% of donors give through online platforms.
- 72% of donors prefer to support a specific program or project rather than donating to a general fund.
- The average donor retention rate in the US is 45%.
- Donors who have given for two or more consecutive years have a retention rate of 60%.
- Donors aged 65 and above give 47% more than donors aged 24 and below.
- 56% of donors worldwide prefer to donate through mobile devices.
- 76% of donors would like to see the impact of their donations.
- The average online gift in the US is $128.
Donor Prospect Research Facts
- Donor prospect research helps identify potential donors, their giving capacity, and interests.
- Non-profits use various data sources to conduct prospect research, including public records, social media, and wealth screening.
- Donor stewardship is critical in retaining donors and building long-term relationships.
- Effective fundraising strategies involve donor segmentation, personalization, and engagement.
- Prospect research can help non-profits identify major gift prospects, planned giving prospects, and recurring giving prospects.
- Data analytics can help non-profits identify trends in donor behavior, giving patterns, and preferences.
- Donor fatigue is a common challenge in fundraising, and non-profits need to balance their fundraising efforts with donor stewardship and impact reporting.
Donor Prospect Research Benefits
- Donor prospect research helps non-profits identify potential major gift donors, planned giving prospects, and recurring giving prospects.
- Data-driven insights can help non-profits tailor their fundraising efforts to donor preferences and interests.
- Personalized engagement can increase donor retention and loyalty.
- Donor stewardship can lead to increased donations, larger gifts, and long-term relationships with donors.
- Effective prospect research can help non-profits save time and resources by focusing on high-potential donors.
Donor Prospect Research Trends
- Non-profits are increasingly using artificial intelligence (AI) and machine learning (ML) to analyze donor data and predict giving behavior.
- Digital fundraising is growing rapidly, with more donors preferring to give through online platforms.
- Donors are becoming more selective and prefer to support specific programs or projects rather than donating to a general fund.
- Impact reporting is becoming more critical in donor engagement and retention.
- Non-profits are increasingly investing in donor stewardship programs to build long-term relationships with donors.
Donor Prospect Research Adoption
- Donor prospect research is widely used by non-profits of all sizes.
- Small and mid-sized non-profits are increasingly using prospect research tools to optimize their fundraising efforts.
- Major non-profits use advanced data analytics and AI to analyze large datasets and predict giving behavior.