DonorSearchDonorSearch

By donorsearch

What Determines the Cost of Prospect Screening Services?

// We all want to understand why we’re paying for what we’re paying for. From an exquisite steak to concert tickets to mortgages, any time we make an investment, we want to know what we’re investing our hard earned money in. And we deserve to know.

Even though we can’t solve all the world’s mysteries of cost, we can help in one area: prospect research costs. 

Let’s unravel the mystery of the factors that determine the cost of prospect research.

We’ll unravel this mystery by answering five key questions:

  1. Who needs prospect research?
  2. How do nonprofits know if prospect research is worth the cost?
  3. What services go into the cost of prospect research services?
  4. What are the additional services?
  5. Why is prospect research worth the cost?

Click on any of the links above to jump to a particular section. Otherwise, scroll through to learn all about the factors that influence the cost of prospect research and to decide if it’s the right fit for you.

And if you need to learn more about prospect research on the whole, make sure you check out Prospect Research — The Ultimate Guide!

read more

By donorsearch

3 Ways to Segment Your Donors for Prospect Research

If your nonprofit organization is conducting prospect research, you typically won’t be able to screen everyone due to time and resource constraints. One of the first major decisions you will likely need to make is which donors on your list or within your database to research. This is one of the most important decisions your organization will need to make because it plays a major role in how the results can be implemented into your fundraising activities. Think strategically about why you are performing prospect research and how you will use the results. Here are a few sample questions to ask yourself or your development staff:
  • What information does your organization already have about your donors?
  • Is your organization performing prospect screening before or after a major fundraising event?
  • Will the prospect research be used to help with a specific type of fundraising (i.e., major giving, annual giving, planned giving)?
  • Is your organization trying to identify new donors or learn more about existing donors?

read more

By donorsearch

Limits of Wealth Screening

All too often when nonprofits decide they want to invest in prospect research, they focus specifically on wealth screening. While having some information is better than no information, wealth data is just one indicator of many when it comes to predicting a prospect’s likelihood of giving. Additionally, research has shown that historical charitable giving data is a much stronger predictor of future charitable giving. For this reason, nonprofits that just focus on wealth screening are losing out on valuable information about their list of prospects and missing an opportunity to get the most out of their fundraising activities.

What is wealth screening?

Wealth screening is a subset of prospect research focused on wealth indicators such as real estate ownership, stock holdings in public companies, and business affiliations.

Why is wealth screening important?

Wealth screening is an essential part of the prospect research process. Understanding a prospect’s financial situation can provide insight into:
  • Capacity to give
  • Likelihood of giving
  • Ways to segment outreach
  • Suggested donation ranges
  • Relationships with other potential prospects unfamiliar with your organization

read more

By donorsearch

What is Prospect Research? (Your Question, Answered!)

// You’re here because you’re contemplating a very important question:

What is prospect research?

Well, ask and you shall learn because this entire post is dedicated to helping answer that very question.

Is your organization looking to grow its pool of major gift prospects? Are you hoping to upgrade annual fund donors? Do you wish you knew more about your prospects during cultivation?

If you answered yes to any of those questions or find yourself in very similar situations, your nonprofit could likely benefit from prospect research.

So, what is it? Let’s define prospect research. 

Definition of Prospect Research

Prospect research is a technique used by nonprofit organizations to learn more about potential or existing donors’ personal backgrounds, giving histories, wealth indicators, and philanthropic motivations to evaluate a prospect’s ability to give (capacity) and warmth (affinity) toward an organization. Now that we have the definition out of the way, let’s get into the nitty-gritty. In our discussion of what prospect research is, we’re going to address four key questions: How does it work? Which types of organizations perform prospect research? What are the common prospect research terms

read more

1 2