Obtaining Donors : An Important Part Of Nonprofit Organization

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Individual Literature Review Obtaining Donors Donors. All authors agreed that obtaining donors is an important part of nonprofit organization. Most of the previous literature on obtaining donors and fundraising suggests that it is determined by external factors (Vesterlund, 2002). The main reason is because they ignore the fact that some of the fundraisers may drive the campaigns to maximize the output from this activity (Vesterlund, 2002). In order to get maximum benefit from these campaigns, it is necessary to understand the phenomenon of charity giving from donors’ point of view (Romano & Yildirim, 2001). Most of the studies, including Andreoni (1998), Slivinski & Steinberg (1998) and Bilodeau & Slivinski (1998), have indicated it to be…show more content…
According to Schiff (1990), new donors are very much concerned about the quality of charity for which they are going to make donations. The people who have already contributed have played a very important role in building their perceptions about the charity. In contrast, Hermalin (1998) suggested that the donation of the leader has contributed to building a good quality perception of charity based upon their effort. Most of the research efforts have been placed in order to study obtaining new donors and very little amount of literature is available on the issue of donor retention (Sargeant A. , 2008). There is a lot of money spent on fundraising campaigns each year to attract and acquire new donors while the efforts for retention of existing donors can be more fruitful (Sargeant A. , 2008). Satisfaction. Satisfaction is one of the most important factors to impact loyalty of customer in consumer markets (Sargeant A. , 2008). When the actual benefit from using a product or service becomes equal to, or exceeds the expected benefit, satisfaction is achieved (Gustafsson, Johnson, & Roose, 2005). Sargeant (2001) has found the positive correlation between the satisfaction of donor and loyalty of consumers. Donors who are satisfied with the performance of charity organization in the field are more likely to give donations to those organizations in future as well (Sargeant & Woodliffe, 2007). Donor’s intentions and future behavior is shaped by the quality of
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