Useful Truths: Apply With Care

* Total lifetime value of the $10 donor will be about one-fifth as high.
* The lower donor will lapse sooner.
* Chance of upgrading (to a significantly higher level of giving) will be about half as high for the lower donor.

And here’s where it gets cool: It’s easy to calculate. A donor’s lifetime value to an organization is about 10 times the amount of her first gift. (Your actual figure might vary, but not by much.) Once you get that first gift, you have a very accurate picture of what you have coming to you in the long term.