Blackbaud today announced the results of a commissioned Total Economic Impact study conducted by Forrester Consulting on behalf of Blackbaud, demonstrating the impact of Blackbaud CRM ™ to nonprofit organizations over a five-year period. Forrester’s interviews with the six nonprofit organizations and subsequent financial analysis found that a composite organization based on these customers experienced an increase in funds raised, improved data quality and return-on-investment in less than three years.
The study was conducted using Forrester’s Total Economic Impact (TEI) methodology. Drawing on research associated with commercial CRM deployments, Forrester’s methodology provides a complete picture of the economic impact of purchase decisions related to nonprofit CRM technology. The six organizations interviewed for the study raise funds for social issues like healthcare, hunger, medical research and disaster response and are all based in the United States. The amount of money they raise annually ranges from tens to hundreds of millions of dollars. The study’s findings are based on a composite organization that raises $110 million annually.
According to the study, prior to implementing Blackbaud CRM, the organizations were keenly aware that they were operating in an environment where competition for donor attention and share of wallet were fierce. At the same time, many of them had lofty fundraising goals. They understood that to raise the funds required to further the mission of their organizations, they would need to improve their business processes and the quality of the data that powered these processes. This, in turn, would require an overhaul of the IT systems that were used to enable constituent relationship management.
Upon implementation, key benefits of Blackbaud CRM identified in the study include:
- Lift in funds raised – by integrating Blackbaud CRM throughout the organization, nonprofits experienced a lift in funds raised stemming from numerous organizational improvements including managing gift officer productivity; engaging in more frequent, integrated campaigns; and improving access to robust data and analytics.
- Increase in house file size – by combining donor files from multiple systems, the organizations were able to find constituents not previously in the house file.
- Improved data quality – organizations observed data quality improvements in many areas, including removal of duplicate names, removal of multiple addresses for the same individual and deletion of deceased donors among others.
- Better reporting and analytics – giving organizations a more holistic view of their constituents and allowing them to categorize constituents by type and frequency of engagement so they can tailor their interactions accordingly.
- Improvements in business processes – by centralizing multiple gift processing departments into one, organizations were able to reduce gift processing times from weeks to days.
- Retention of institutional knowledge – organizations were able to capture and retain knowledge across the entire organization in one central system.