How Not to Be Boring When Measuring ROI
So, everyone is talking about this, but how many nonprofits are actually doing it? My guess, is not including the big national nonprofits (i.e. Red Cross and United Way), few if any.
ROI = Return on Investment. And, basically, this is asking: did you make more than you put in? This is how you measure it:
But let’s get real. There are 2 practical issues coming into play when you see this formula:
- It looks too complicated.
- “But we’re a nonprofit! You can’t measure friendraising!“
It isn’t that complicated once you know what you’re measuring. And, yes, that can be even be intangible things.