Concierge Marketing – Know Your Customers Before They Are Customers


I am a marketer, so I have the same priorities and hear the same trends as you ….. “use more data, segment, personalize, optimize”.   But this can all feel a little distant and hard to grasp when we are putting together that next campaign, or go-to-market strategy.   So (as I was taught) I decided to look at this from the consumer perspective….how can we make this notion of data-driven personalization more tangible?

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Predictive Modeling and Analytics


Among the top philanthropy buzzwords are “data” and “data scientist”. Certainly the phrases “predictive modeling” and “data analytics” have made their way into the fundraising lexicon. Predictive modeling can have a significant impact as part of a data-driven annual fund in helping to take some of the unknown variables out of the equation. To help explain modeling and analytics further, we spoke with WealthEngine’s Vice President of Analytics, Cong Qian.

Q. How would you describe Predictive Modeling or Predictive Analytics?

Cong: Essentially, predictive modeling is trying to summarize what you have accumulated from the past and apply that knowledge to predict future events. In other words, assuming future events will be relatively similar to the past, then let’s see what the future could be, so if this happened then these things are also likely to happen.

Q. What is the process for creating or building a predictive model?

Cong: Usually, a model is trying to answer a specific question, such as “Which of my donors are most likely to give more than $250?” or “Which of my non-donors are most likely to make an annual fund gift?” Statisticians then try to identify the most predictive data elements that can be grouped into a formula to answer the question. At WealthEngine we leverage not only our client’s important data such as giving history, demographic information, etc., but also data from over 60 sources that we are able to find through our wealth screening process, including Propensity To GiveTM codes (P2G), Estimated Giving Capacity, lifestyle and business information and other additional demographic information. All of these data points are evaluated to determine their relationship to each other and their impact upon the desired behavior.

We then build the model using the appropriate statistical methodology with the data set known as the “training sample”; we also validate the model, to ensure its accuracy and consistency against a subset of the data tested.

Q: How, then, is a model helpful in the context of an annual fund?

Cong: Once the model has been built, the data pool is divided into segments based upon their statistical likelihood to perform the desired behavior. These segments, or “deciles”, are ranked from highest to lowest in terms of likelihood. So, for example, the people in an Annual Fund Model Decile 1 would be most likely to make an annual fund gift at the established gift threshold. The higher the model score, the more likely they are to perform the way we hope they will – make a gift to the annual fund. Figures 1 and 2 represent the percentages of model likelihood in each decile.

Figure 1: Percent of major donors in each model decile compared to average or random sampling (represented by gray line)

Figure 2: Cumulative gains of major donors captured by decile compared to random distribution (represented by green line)

Q. How can this type of information help an organization’s annual fund?

Cong: Modeling is designed to take some of the guess work out of fundraising and therefore target resources more efficiently. By focusing the annual fund on the prospects with a higher likelihood, the response to the solicitation should improve and the return on investment (ROI) should be stronger as well.

Q. Are there other types of modeling?

Cong: There are. The typical models we’ve discussed ask the data a specific question and then predict outcomes based upon the contributing variables. Other types of models are more of an overall analysis of data behavior or a more customized segmentation methodology. At WealthEngine we utilize what we call a Donor 360° model to analyze donor behavior with cluster analysis and group similar types of donors into clusters. We also create what’s called a Look-Alike Model, which we can use to gain insight about the best donors. We measure and evaluate an array of variables from giving history, wealth and capacity ratings, demographic and life styles data, etc., and then cross-reference significant variables onto other donors or prospects to identify potentials that are likely to behave as the best donors for fundraising outreach or acquisition. Modeling can be very flexible and extremely useful in the process of data mining.

WealthEngine Announces WE Analyze as New Strategy for Analytics & Prospecting

Powerful, Affordable, and Actionable Solution Developed to Kick Start Fundraising Initiatives

WealthEngine, the leading provider of wealth intelligence, prospect research and marketing services for nonprofits, officially released today its new integrated analytics solution, WE Analyze, to provide nonprofit clients with a powerful, affordable, and actionable solution to drive fundraising results.

Fundraising continues to be complex and challenging to organizations of all sizes. There’s more competition, an increasing range of fundraising tactics, and most importantly, an evolving donor database that needs strategic segmentation. WE Analyze delivers an easy to execute approach for segmenting existing donors and prospects, aligning tactics to the appropriate segments and delivering high potential new prospects.

The new solution is being launched at the Association of Fundraising Professionals Annual Conference in San Antonio, TX this week.

“Our goal with WE Analyze was to take away much of the ‘heavy lifting’ typically associated with fundraising analytics and remove some of the barriers that may have prevented some organizations from taking this approach. WE Analyze focuses on delivering an actionable plan rather than just presenting data,” said Tony Glowacki, Former CEO & President of WealthEngine. “By focusing on the highest potential donors and aligning tactics to their segmentation, fundraisers will develop a clear strategy that will yield the highest ROI. We are thrilled by the initial response to WE Analyze and look forward to collaborating with our clients,” added Mr. Glowacki.

About WealthEngine 
WealthEngine™, Inc. is a leading provider of wealth intelligence and marketing services to nonprofit, luxury goods, retail, and financial organizations. The company’s unique data-driven approach to analytics, prospecting, and marketing has delivered actionable strategies and measurable results to more than four thousand clients. Headquartered in Bethesda, MD, WealthEngine serves both the United States and the United Kingdom. For more information, visit

Prepare to Be Patient if You Aim to Serve Wealthy Business Owners


The nation’s business owners are an affluent bunch and they require a broad swath of services from a financial adviser — but the potential pay-off to advisers may be many years down the road. About one-third of the nation’s wealthy investors, those who have $1.5 million or more to invest, are business owners, and that proportion jumps dramatically as wealth level rises, a new study finds.

Business Ownership and Entrepreneurship – The Keys to Extreme Wealth for the Next Generation

Shift in Wealth Concentration Changing the Future of the Client-Financial Advisor Relationship

As the last members of the Baby Boomer generation turn 50 this year, financial advisors need to prepare for attracting and serving a new wave of wealthy clients whose goals and backgrounds are dramatically different from previous generations. According to the annual State of the Affluent 2014 industry intelligence report released today, an entrepreneurial spirit and business ownership are two key traits for extreme wealth creation in the coming years.

The report was produced by CEG Worldwide, a research and coaching firm for financial advisors, and developed in partnership with WealthEngine, a leader in wealth intelligence and marketing services.

There is a clear connection between business ownership and an individual’s ability to attain a level of wealth that makes him or her part of the affluent, super affluent and ultra-affluent communities – defined in the report as investable assets between $1 million and $5 million, $5 million and $25 million and $25 million and over, respectively.

According to the report, 33% of affluent, 74.5% of super affluent and nearly 90% of ultra-affluent individuals own a business.

Commenting on this trend, John Bowen, CEO and founder of CEG Worldwide, said: “This report demonstrates that entrepreneurs are the next generation of the ultra-high-net-worth community, a fact that is greatly changing the way that financial advisors serve their affluent, super affluent and ultra-affluent clients. Entrepreneurs have different needs, personalities and desires from their Baby Boomer counterparts. We are seeing a shift in the advisor community toward adopting a client-centric model that goes beyond just offering traditional investment management services, and more toward providing a complete wealth management experience.”

However, not all business ownership is creating wealth equally. Revealed in the report’s research is a dramatic difference in the level of wealth depending on the business’ average annual revenue. Specifically, the report says that the average annual revenue of a business owned by an affluent individual is just over $750,000; whereas a business owned by a super affluent individual has average annual business revenues of over $22 million, compared with over $370 million in average annual revenues for businesses owned by an ultra-affluent individual.

The translation of equity into individual wealth is also lopsided for the ultra-wealthy. According to the report, a business with $750,000 in annual revenue creates approximately $138,000 median equity for an affluent person, whereas a business with $22 million in annual average business revenue creates $5.7 million in median equity for a super affluent individual, compared with a business of $370 million in average annual revenues creating $49 million in median equity for an ultra-wealthy business owner.

“Our data highlights the growing trend that wealth is created through business ownership and entrepreneurship, and less and less through traditional salary, pension or social security wages,” explained James Dean, Senior Vice President at WealthEngine “This is important because it changes the ways in which financial advisors communicate with prospective clients, especially as unhappy individuals seek financial advisors who place a premium on long-term relationships. This trend presents an opportunity for advisors to capture a growing segment of the market,” noted Dean.

For more information or to receive the full report, please contact James Dean at:

Media Contacts: 
John Bowen
CEG Worldwide

Mitchell Schwenz / Claire Shutt
Peppercomm for WealthEngine
+1.212.931.6156 / +1.212.931.6148

About CEG Worldwide 
CEG Worldwide is the #1 coaching organization for the financial services industry. We coach financial advisors to achieve breakthrough results in their careers by substantially increasing assets under management, accelerating affluent client acquisition and growing personal net income—all while serving their clients well. We deliver insights garnered from empirical research on industry best practices and coach financial advisors to implement these practices in their businesses. The result: focused, energized and enriched financial advisors who build substantial economic value in their practices, deliver a world-class experience to their clients and ensure a high quality of life for themselves.

CEG Worldwide also works collaboratively with leaders of financial institutions to grow new net assets under management and the loyalty of their top financial advisors while attracting new top financial advisors. We provide insights, developed from empirical research, into what motivates top financial advisors, how to help them stay fully engaged and how to accelerate the achievement of their professional goals. Our services secure the long-term success and allegiance of top financial advisors who generate significant income for financial institutions.

For more information, visit

About WealthEngine 
WealthEngine™, Inc. is a leading provider of wealth intelligence and marketing services to nonprofit, luxury goods, retail, and financial organizations. The company’s unique data-driven approach to analytics, prospecting, and marketing has delivered actionable strategies and measurable results to more than four thousand clients. Headquartered in Bethesda, MD, WealthEngine serves both the United States and the United Kingdom. For more information, visit

Ralph Lauren Centralizes Luxury Business with New Hire


U.S. apparel brand Ralph Lauren has created a new position, president of Ralph Lauren Luxury Collections, to oversee the global expansion of its luxury business.

The brand hired Valérie Hermann, the former CEO of French label Saint Laurent Paris and handbag brand Reed Krakoff, to the new role, which she will begin April 7. With this new hire, Ralph Lauren is able to centralize the strategy for all of its luxury portfolio, as well as focus on growing its luxury brands.

The Rich & Single: America’s Wealthiest Bachelors & Bachelorettes


In honor of Valentine’s Day, we thought it would be fun to look at America’s richest singles.  Did you know that majority of these bachelor and bachelorettes live in New York, California and Texas?  Or that the most charitable of these singles live in Florida, Connecticut and California?  Click the infographic below to learn more about the wealthiest single men and women.

WealthEngine goes beyond wealth to uncover key characteristics about individuals in the US and UK. Combining wealth, demographics, lifestyle interests, and social behavior, marketers and fundraisers use precision marketing to  find, engage, and influence in a way that matters.

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WealthEngine to Help Customers go “Beyond Wealth” as Demand Grows for Wealth Intelligence and Marketing Services


Announces New Enterprise Investments and Key Additions to Leadership Team

WealthEngine, the leading provider of wealth intelligence and marketing services, announced today plans for the next phase of the company’s evolution with investments in technology and customer care operations, as well as three key leadership appointments.

WealthEngine is working to meet growing demands for wealth intelligence and marketing services in an environment of increased competition in the non-profit and commercial sectors. To meet growing customer needs and expand the value delivered to users, the company plans to invest heavily in major areas of its business, including: upgraded platform technology, expansion of its’ WealthEngine Consulting Services, heightened self-service capabilities, real-time data and analytics, and greater customer support for marketing automation.  Supported by an expansion of its API, the company is also targeting significant growth in its partner network.

To support WealthEngine’s strategy to extend its top position in the industry and exploit emerging trends, the company has added three new executives to fill critical roles:

  • Bobby Yazdani joins as Executive Chairman. In this role, Mr. Yazdani will be responsible for strategic business development and implementation. A former executive with Oracle Corporation, Mr. Yazdani is also founder of Saba Software and an investor in Google, Salesforce, Dropbox and Klout.
  • Peggy Padalino joins as Chief Revenue Officer. In this role, Ms. Padalino will be responsible for sales, professional services and customer care. Having worked in customer service and sales capacities at companies like Avectra, CareerBuilder and Sybase, Ms. Padalino brings more than 20 years of experience to WealthEngine.
  • Mike Lees joins as Chief Marketing Officer. In this role, Mr. Lees will be responsible for positioning WealthEngine as the go-to source for marketers and fundraisers seeking information on the “mass affluent”, HNW and Ultra-HNW demographics. Mr. Lees has led marketing initiatives at companies including Cerebra, webMethods, Software AG and more recently, Intralinks.

“Demands on the resources of the affluent are increasing and traditional approaches for marketing to them are rapidly becoming outdated. Simply knowing a prospects’ net worth is no longer enough, and marketing to a mass group based on demographics and zip code alone is ineffective. Marketers and fundraisers need to know more – they need to go beyond wealth to understand their prospects’ personal interests and passions. We are investing heavily in our technology and operations to evolve our service that helps clients design effective marketing and donor outreach programs,” said Tony Glowacki, CEO & President of WealthEngine. “I am also thrilled to welcome Bobby, Peggy and Mike to the WealthEngine leadership team.  Together, their expertise will allow us to provide our customers in the US and UK with access to highly-effective intelligence tools,” added Mr. Glowacki.

WealthEngine is Going Beyond Wealth. For more information, please visit

About WealthEngine:
WealthEngine™, Inc. is the leading provider of wealth intelligence, including data, analytics, and marketing services to nonprofit organizations, financial services, and luxury brands. Over four thousand clients use WealthEngine’s products and solutions for comprehensive consumer and business insights on individuals, companies and foundations. Headquartered in Bethesda, MD, WealthEngine serves both the United States and the United Kingdom.

Jackie Kolek / Mitchell Schwenz | Peppercomm | +1 (212) 931.6100 |
Jackie S. Graziano | Director of Marketing | +1 (240) 483.4912 |

Roto-Rooters and Middle Donors


I’ve long been a big fan of the wit and wisdom of Jeff Schreifels and Richard Perry of the Veritus Group.  Recently, in their Passionate Giving blog they exhorted major gift officers to clean out their clogged middle donor pipelines. Say Jeff and Richard, “So in 2014, if you want to maintain a healthy major gift program, you’re going to need to invest in some good donor plumbing… to get your mid-level donor program flowing freely.” Truer words were never spoken.  But these two worthy fundraising gurus actually glossed over one of the most important tools (other than a Roto-Rooter) to clean out said pipeline: regular data screening of your donors.  They give a nod to it by suggesting you “…conduct a wealth overlay on all your midlevel and major donors to get a better understanding of capacity.”

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