Ten ways to grow the legacy
market and your income
Rob Cope
Director, Remember A Charity
The legacy market at a glance
• Legacies account for 13% of all voluntary income and 5% of
all income received by charities
• In 2011, the legacy ‘market’ was worth £1.85bn…
• That represents just 3% of all the money left in estates
• In all, just 7% of people die with a gift to charity in their will…
• Compared to the 74% of British adults who support charities
while they are alive
Legacy Foresight, Inland Revenue, NCVO
The legacy market has flat-lined since 2008
UK legacy market 1988 – 2011, £bn
Recession
2.0
Expansion
1.6
1.2
Recession
0.8
0.4
Legacy Foresight, CaritasData, NCVO, Smee & Ford
2010
2008
2006
2004
2002
2000
1998
1996
1994
1992
1990
1988
0.0
Despite falling deaths, bequests keep rising
Total number of charitable bequests 1988 – 2011,000s
120
110
100
55% cash gifts
90
80
52% cash gifts
70
60
Legacy Foresight, CaritasData, NCVO, Smee & Ford
2010
2008
2006
2004
2002
2000
1998
1996
1994
1992
1990
1988
50
‘XL’ charities hit hard in recession aftermath
Legacy income growth by size of charity, 2007/8 - 2010/11, % pa
4.0
3.0
2.8
2.0
2.2
1.0
1.0
0.0
-1.0
-1.4
-2.0
Small
Legacy Foresight analysis of Caritas data
Medium
Large
Extra large
The legacy market by sector
Legacy market shares, %, general charities, 2011
Other , 18
Children, 4
Health, 42
Development,
6
Disability,
8
Conservation, 8
Legacy Monitor 2012
Animal, 14
Nimble, contemporary causes gain ground
Winners and losers by cause area
Fast growth
Slow growth
Disability
Children
Conservation
Hospices
Advancement
of religion
Animal
welfare
Health
Arts/culture
Domestic
poverty relief
Older
people
Armed
services
Education
Overseas
development
Wildlife
trusts
Legacy Foresight analysis of Caritas data 2012
Longer term, rising deaths will fuel growth
Projected UK deaths, 2000 – 2030, 000s
640
620
600
580
560
540
520
OPCS, Government Actuary’s Department
2030
2029
2028
2027
2026
2025
2024
2023
2022
2021
2020
2019
2018
2017
2016
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
2002
2001
2000
500
615,000 deaths
7,500 additional
charitable Wills
Family First
Lack of
Salience
Not the social
norm
Legacy has to
be large
No flexibility
with legacies
“For me ….and I would expect lots of people…. it’s family
first, charities second”
Rarely discussed; rarely thought about…
“It just hasn’t occurred to me…..I’ve never really thought about it”
Legacies are just not on the radar !
Legacies are not something that regular, everyday people do
There is a (media-driven) perception that legacy givers are:
 Wealthy eccentrics; famous celebrities
 People who have a grudge against their kids
Strong perception that ‘a legacy’ has to be a large amount
“You only hear about big legacies, don’t you…..not small ones”
…because legacy giving linked with celebrities, wealthy eccentrics
Didn’t know that can leave fixed amount or %
Didn’t know that can change a legacy amount
…… uncertainty about future circumstances is a major barrier for some
Major motivations for giving a legacy…
Repaying
a debt
Personal
relationship
Knowing
someone
‘Repaying’ a charity for helping someone
you care for
THE primary motivator for many legacy
givers
Helping an organisation you have a
long term affinity with
Knowing that another family member
has left a legacy
Legacy giving = powerful emotions……
‘Repaying’ the debt
Heartfelt
gratitude
Inner
satisfaction
“I have put Macmillan in my will...I just had to for
what they did for my friend…they were so
wonderful”
Deep sense of self worth
“It’s a pride within yourself…it makes you
proud of the way you’re living your life”
Passing on the ‘family culture’
Family
values
“It’s continuing the family ethics…I feel
I’ve been brought up right, and I want to
pass that on to my kids”
The marketing / communications materials need to tap into these
emotions
Top 10 tips for growing
your legacy income
1.Set out your vision of where you want
to be and why
2. Connect with your cause with passion,
inspiration and emotion – collect,
inspire, tell stories
3. Define the impact your donors make
that inspires and satisfies
4. Focus on conversations – directly or
indirectly, not pledges
5. Build and deliver a systematic method
of engagement, follow up and
stewardship – a personal experience
6. Make your whole organisation capable
of legacy fundraising through –
knowledge, tools, confidence
7. Integrate everything
8. Gain insight every day and act on it
9. Find and keep great people – staff,
volunteers, trustees, leadership
10. Treat each legacy as a gift.
Say thank you.
Back to the future…
1. The strategy is engagement
2. The outcomes are whatever they
tell us
3. The goal is to help them make a gift
Thank you for listening