This paper studies optimal targeting as a means to increase fundraising efficacy. We randomly provide potential donors with an unconditional gift and use causal-machine learning techniques to "optimally " target this fundraising tool to the predicted net donors: individuals who, in expectation, give more than their solicitation costs. With this strategy, our fundraiser avoids lossy solicitations, significantly boosts available funds, and, consequently, can increase service and goods provision . Further, to realize these gains, the charity can merely rely on readily available data . We conclude that charities that refrain from fundraising targeting waste significant resources.
Ineffective fundraising lowers the resources charities can use for goods provision. We combine a field experiment and a causal machine-learning approach to increase a charity's fundraising effectiveness. The approach optimally targets fundraising to individuals whose expected donations exceed solicitation costs. Among past donors, optimal targeting substantially increases donations (net of fundraising costs) relative to benchmarks that target everybody or no one. Instead, individuals who were previously asked but never donated should not be targeted . Further, the charity requires only publicly available geospatial information to realize the gains from targeting . We conclude that charities not engaging in optimal targeting waste resources.
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This paper studies optimal targeting as a means to increase fundraising efficacy. We randomly provide potential donors with an unconditional gift and use causal-machine learning techniques to "optimally " target this fundraising tool to the predicted net donors: individuals who, in expectation, give more than their
Ineffective fundraising lowers the resources charities can use for goods provision. We combine a field experiment and a causal machine-learning approach to increase a charity's fundraising effectiveness. The approach optimally targets fundraising to individuals whose expected donations exceed
R
With this strategy, our fundraiser avoids lossy solicitations, significantly boosts available funds, and, consequently, can increase service and goods provision
Among past donors, optimal targeting substantially increases donations (net of fundraising costs) relative to benchmarks that target everybody or no one. Instead, individuals who were previously asked but never donated should not be targeted
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to realize these gains, the charity can merely rely on readily available data
the charity requires only publicly available geospatial information to realize the gains from targeting
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that refrain from fundraising targeting waste significant
not engaging in optimal targeting waste