Helping a tax time appeal reach the right donors

Chris Paver – 28 September 2020

Dataro partnered with ActionAid Australia in mid-2019 to test whether machine learning could be used to support ActionAid’s critical mid-year tax appeal. The appeal is an important annual program, raising funds to empower women globally to claim their human rights and campaign against injustice.

The goal was to identify supporters with a higher ‘propensity to give’ in the tax appeal, allowing ActionAid to reduce mail volumes and save on campaign overheads. At the same time, using machine learning to identify patterns of behaviour could help ActionAid to engage with additional supporters who would otherwise fall outside their usual campaign selection criteria.

Dataro used machine learning algorithms to generate propensity scores from an analysis of transactions, communications, and demographics data. Each donor was given a score between 0 and 1 to reflect their propensity to give, with scores closer to 1 representing a higher probability of giving. Using these scores, ActionAid selected a substantially smaller campaign list than in previous years. The results showed a strong correlation between predictive scores and instances of giving, highlighting the utility of this new methodology.

Key results included:

  • 73% of campaign revenue was donated by supporters with propensity scores above 0.8 (i.e. donors the analysis indicated had the highest propensity to give) and 15.2% of revenue was donated by supporters with propensity scores between 0.6 and 0.8. The scores were highly predictive of actual giving.

  • Supporters with the highest propensity scores also had by far the highest response rates. For example, nearly 50% of donors with scores above 0.9 gave to the campaign, while 25% of donors with scores between 0.8 and 0.9 gave to the campaign. That compares with a response rate of about 1% for donors with scores of 0.2 or lower.

  • Another interesting outcome was that the vast majority of financial gifts received during the campaign period that were not attributed directly to the appeal also came from donors with the highest propensity scores. This again validates the usefulness of the modelling process for predicting potential givers.

On the basis of these early results, ActionAid Australia is now working with Dataro to integrate machine learning propensity scoring directly into the organisation’s CRM. If you are interested in learning more about Dataro integrations, you can contact us here.

Want to see what Dataro can do for you?

More Case Studies

A perfectly timed thank you call helps The Fred Hollows Foundation NZ prevent churn

A perfectly timed thank you call helps The Fred Hollows Foundation NZ prevent churn

The Fred Hollows Foundation NZ saved an estimated 211 regular givers from churning over a 7 month period, using Dataro’s AI prediction software and a well-timed intervention thank you calling campaign. With Dataro’s AI-powered donor churn propensity scores implemented directly into their CRM, The Foundation were able to

Read more
Joining the fight against prostate cancer with Prostate Cancer UK

Joining the fight against prostate cancer with Prostate Cancer UK

Dataro recently joined forces with the team at Prostate Cancer UK to test how AI predictive modelling would perform against traditional list selection methods in an Autumn Appeal. The results showed that Dataro’s selections increased revenue by over £11,000 and attracted more than 440 new gifts that otherwise

Read more
Helping Parkinson’s UK appeal to the right supporters

Helping Parkinson’s UK appeal to the right supporters

Parkinson’s UK increased revenue in its September Appeal by over £15,000 using AI-driven supporter predictions. In a pivot from the charity’s existing propensity model, the research and support organisation introduced Dataro’s appeal predictions to attract 411 new gifts that otherwise would have been missed, raising critical funds for

Read more
How Victor Chang helped existing donors keep heart

How Victor Chang helped existing donors keep heart

Victor Chang Cardiac Research Institute saved an estimated 296 donors from churning over 3 months using Dataro’s software. With Dataro’s AI-powered donor scores, VCCRI was able to identify which regular givers were most ‘at risk’ of churn and funnel them into a rolling fortnightly telemarketing program to thank

Read more