Case Study: American Red Cross achieves 103% higher net yield and 59% response-rate increase with Blackbaud Loyalty Insights

The American Red Cross Reinvigorates Direct Mail and Uncovers New Donor Intelligence with Target Analytics

The American Red Cross needed to improve donor segmentation because many supporters were uncommitted and gave mainly in response to disasters—2.8 million disaster-specific donors were acquired between 2010–2013 and only 5% gave again before the 2011 Japan earthquake and tsunami. The organization sought more reliable, non-crisis funding to sustain its mission.

Target Analytics deployed its Loyalty Insights solution, grouping donors into seven behavioral segments using the National Cooperative Database (behavioral, biographic, geographic and demographic data from 900+ nonprofits). By reclassifying donors based on gift designation and timing and removing disaster-only solicitations, ARC cut total mail by 14%, developed targeted communications, and realized a 59% increase in response, a 47% increase in income, a 42% reduction in cost per dollar raised, and a 103% increase in net yield.

American Red Cross