DM Diagnosis : Heritage Foundation Appeal Takes Risks

Monthly giving effort falls prey to postage increases and a potentially damaging deal to donors.

Then I saw the required "MADE IN HONG KONG" on the back of the return envelope, and I knew what went wrong. Because this package was produced overseas, there likely was several months' lead time due to all the work involved. My guess is the Heritage Foundation got broadsided by the postage increase, unable to change the denomination or number of the stamps enclosed.

And sometimes, when the choice is either to dump the mail and eat the considerable expense or to go ahead and drop it anyway, it makes more sense to lie back and think of England, because some response is better than no response.

A risky promise
The letter is a classic monthly giving invitation, and I hope it produced a respectable response in spite of the unfortunate timing. First, the case for support:

"President Barack Obama and his allies on the extreme left are poised to destroy everything that you and I have worked so hard for and hold so dear. Our economy, our jobs, our businesses, our retirement, our values, our savings, our medical care, our families … "

Then the stamps offer:

"And that is exactly why I sent you these stamps equaling your first-class return postage. I wanted you to see how serious I am — I don't want anything, not even the cost of return postage, to come between you and me and the most effective and efficient giving program we've ever had. You see, I am urging you to please become a member of our Leaders Club today."

The three-page letter contains liberal personalization with "Ms. Seville" appearing six times, and the monthly pledge request also can be personalized based on my previous gifts, at "$4, $5 or $6" with the most concentration on the $4 ask.

Heritage Foundation's monthly giving program signs up donors for automatic bank drafts, but does not include a credit card option or allow donors to send monthly checks. All the Heritage Foundation wants is my "Starter Check" and my signature on the bank draft agreement to join its Leaders Club. Or, if not, it would like my "special one-time only check" in the curious amount of $32, $38 or $44.

Automatic bank draft donors have the highest lifetime value compared to other types of monthly donors, and I understand why many nonprofits concentrate on obtaining more of them. However, a promise that they'll receive little or no mail as a benefit is a concern.

"Your monthly $4 gift means we won't have to send you so many mail solicitations, Ms. Seville. We'll save valuable resources that would otherwise be spent on postage, paper and printing. That allows us to concentrate even further on fighting the radical agenda of President Obama and the liberals in Congress."

The downside of this strategy is that an organization's very best donors — people who are so committed to the cause they'll let it dip into their bank accounts every month — then have fewer opportunities to further bond or perhaps even have any kind of relationship with the nonprofit.

How will they know their gifts are making a difference? How will they feel appreciated? How will they be inspired to make occasional extra gifts in addition to their monthly pledges? How will they be motivated to make bequests?

Rather than effectively end the relationship, I think the better way to go paperless is to offer to move the communications online. That way the organization can cultivate the relationship with regular updates on how donors' monthly gifts are being used and also give them the lovely, feel-good flush that making a donation triggers.

It's the least they deserve. FS

Kimberly Seville is a creative strategist and freelance copywriter. Reach her at kimberlyseville@yahoo.com

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