Question
Is direct mail still worth the cost for small nonprofits?
Answer
Yes, especially once you separate the cost of finding new donors from the cost of mailing people who already give. The economics improve dramatically after the first gift.
| Mailing type | Typical cost per dollar raised |
|---|---|
| Acquisition (new donors) | $1.00 to $1.50 initially |
| House list (existing donors) | $0.15 to $0.25 |
- Long-term value: repeat gifts from acquired donors offset the upfront acquisition cost.
- Keep costs low: printing postcards and self-mailers in bulk lowers the per-piece price.
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