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How Non-Profits (And Everyone) Can Use Data Segmentation

Posted on the 17 September 2013 by Marketingtango @marketingtango
data-segmentation-measurement

Non-profit groups need to make the most of limited marketing dollars to generate continued funding. The best way to achieve that goal is to measure your integrated marketing performance and make the necessary adjustments to improve.

Non-profit groups, as well as any business, can learn from the example of how some libraries are using data segmentation data to track responses and measure marketing performance.

Direct Mail Response Tools

In one case, a non-profit library used response mechanisms such as trackable phone numbers, personalized URLs, and business reply cards (BRCs) to get their message out to a broader audience and increase individual donations. Previous donation appeals had been mailed to their existing donor list along with an acquired list of new names. However, this mailing method generated very little response. This time a mailing list of 7,000 recipients was considered.

Target Interested Members First

In the wake of budget cuts and an economic downturn, the need for donations was urgent and a wider audience was needed. So in a change of tactics, all existing library cardholders were targeted. This audience was considered likely to donate, since they already had a membership interest in the library.

Segment By Income And Geography

The library’s list of membership cardholders was segmented by affluent ZIP codes first, followed by ZIP codes nearest those branches most at risk of closure. Now the mailing list totaled 30,000 names.

Measure Response With Tracking Codes

A direct mail program was developed that included a custom full-color window envelope, personalized letter with perforated donation card, FAQ-style brochure, and preprinted reply envelope. The personalized donor card included a tracking code that flagged whether the respondent was from an existing donor group or a new cardholder.

Despite the weak economy and a general decrease in donations among non-profits, the library’s segmented mailing campaign was successful in exceeding the previous year’s fundraising efforts.

The new list of cardholders list is now outperforming the previous list by about 500% and the library now has a whole new donor list for future fundraising efforts.


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