In this extremely valuable study of giving by wealthy individuals, Indiana University’s Center on Philantropy reports this astonishing finding …
The #1 reason wealthy individuals stop giving to a charity they have supported is (pick one):
- They can no longer afford to give
- They were dissatisfied with the charity’s performance
- They were being solicited too often
- They developed different funding interests or priorities
If you picked any of these — any one of which would be somewhat understandable — you’re wrong!
The #1 reason, cited by almost 60% of respondents, is that they were "no longer feeling connected to the organization."
And how many stopped giving? 38% of wealthy donors stopped giving to one organization in 2007; 26% stopped giving to at least two organizations.
WOW! What a colossal failure of donor cultivation. Keep in mind that these are donors with either annual household income greater then $200,000 and/or net worth of at least $1 million. Not small fry.
Further, these are donors who say (46%) that their charitable contributions have a greater impact on their own personal fulfillment than on those who receive their gifts. Just less than 20% of these donors believe that their gifts have a major impact on the organizations they support, and only 6% believe they are making significant contributions to the improvement of society in general. Is this an affirmation of the emotional drive behind giving, or what?!
Tell me, how does a nonprofit fail to maintain an emotional connection with a current high value donor like this? If your nonprofit can’t manage to cultivate and bond with one of these folks, forget about your "rank-and-file" direct mail or online donors!