The top five indicators of rising wealth
Dear Diary,
Typically, these are the comments and discussions concerning younger major gift prospects during strategy meetings and pre-event planning sessions,
“We really need younger prospects at our fundraisers!”
“I think we should discuss who can join our junior board.”
“How do we engage and find younger donors with capacity? Millennials and people in their 30s like to give, right?”
Well, today we will discuss five indicators of rising wealth prospects that you should look for when conducting research and/or during a conversation with a prospect.
A rising wealth prospect is an individual that is within a specific age range, and based on the following indicators, is on the path of becoming a major gift or high net worth prospect.
Focus on,
1. Age
Age is the first indicator to pay attention to when classifying a prospect as a rising wealth prospect because you are generally seeking prospects between 25 to 49 years old.
Example: Leo Haul is 38 years-old, works as a Managing Director of a boutique investment firm, and has an estimated annual income of $500,000 thanks to salary estimations.
The fact that Mr. Haul is in a leadership position at the age of 38 is significant.
2. Career projections
Currently, Mr. Haul is a Managing Director. And from his LinkedIn and Company biography, you can see that Mr. Haul has climbed in his career at a steady pace. This is helpful because you can easily foresee that he will pursue a Partner position in the next three to five years.
3. Salary
Mr. Haul's estimated annual compensation of $500,000 is a huge indicator that qualifies him as a rising wealth prospect. Salary is a hard asset that adds to a prospect’s interests, capacity to give, and overall lifestyle.
4. Industry
Having a broad understanding of your prospect’s industry helps you analyze the vitality and impact of the field to the overall economy, and this indicator ties back into salary and career projections. This is also great for fundraisers and executive directors of nonprofits who are trying to recruit a prospect for a committee or board based on shared interests.
5. Assets
Let's say that Mr. Haul owns a home, valued at $400,000. Being a homeowner is a big indication of Mr. Haul's ability to make an investment, which is great for fundraisers considering him for a planned gift, or major gift pledge.
Now with these indicators try to query the prospects in your database or look at your events list, and conduct some quick research. Let me know below how your research on rising wealth prospects goes. Have you begun to engage these emerging prospects?
Until next time, May 15th!