Show Notes
In this episode of The First Day from The Fund Raising School, Bill Stanczykiewicz, Ed.D., welcomes back Rick Dunham, founder and chairman of Dunham & Company, to unpack the firm’s latest annual survey of donors. One of the biggest findings is a disconnect between donors’ personal finances and their perceptions of the broader economy. Donors reported feeling less financially stressed personally, yet more pessimistic about economic conditions, and roughly 25% said that pessimism could cause them to reduce their giving. Rick’s advice to fundraisers is not to pretend those concerns do not exist, but to meet donors with empathy while keeping the “why” front and center. Show what a gift makes possible, tell stories that demonstrate real impact, and maintain a steady cadence of communication. In uncertain times, donors need to know that nonprofit leaders understand the world they are living in, and that their generosity still matters.
The conversation then turns to a fundraising tool that apparently refuses to retire: direct mail. Despite occasional declarations that the mailbox belongs somewhere between the rotary phone and the fax machine, more than 80% of donors say they respond to direct mail. Even more striking, 93% of Gen Z donors report responding to it, and 80% say they would like to receive monthly mail from organizations they support. Rick calls this the “mailbox advantage”: while digital inboxes are overflowing, the physical mailbox is often far less crowded. But the real lesson is that direct mail and digital giving are not competing channels. Nearly half of donors who receive direct mail prefer to complete their gift online, compared with about 20% who respond through the mail itself. Rick shares one client example in which online revenue tied indirectly to mailed appeals was consistently two to two-and-a-half times the revenue returned through the mail. The warning for fundraisers is clear: measure the whole donor journey, or you may dramatically underestimate what your direct mail program is actually producing.
That donor journey has to work once someone reaches the website, too. One in five donors said they have abandoned an online donation because the process was too difficult. Older donors tend to worry more about security, while younger donors place a premium on simplicity, so nonprofits need both a seamless giving experience and visible signals that transactions are secure. Bill and Rick also emphasize that a website should do more than provide information; it should make a compelling case for support. Donors frequently cite an organization’s website as a major influence on their decision to give online, and person-to-person requests remain an important driver of digital donations as well. Dunham & Company included non-donors in the survey for the first time and found a notably higher level of distrust toward charities among that group. Rick recommends building trust through impact stories, financial transparency, board visibility, and especially donor testimonials; letting current supporters explain why they believe the organization is worthy of support.
Bill and Rick close by looking at two areas with major implications for the future: tax policy and Gen Z. Many donors remain unaware of newer charitable tax provisions, including the Universal Charitable Deduction, even though Rick notes that about 67% of donors likely take the standard deduction. That creates an opportunity for nonprofits to educate supporters through receipts, newsletters, and simple “did you know?” messages. Meanwhile, Gen Z continues to challenge assumptions about younger donors. Rick points to survey data showing that 40% of Gen Z respondents attend religious services almost every week, and he connects that engagement with charitable behavior. The takeaway for fundraisers is to keep one eye on the coming transfer of wealth while refusing to ignore the donors already coming up behind it.
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