When we think of the science of analytics, we consider it as a part of mathematics. And math is a set of instructions, even more than science. For instance, it doesn’t matter how you set up your equation, 3 + 3 + 5 = 11. Set differently, the equation would still be: 5 + 3 + 3 = 11. And:
3 + 5 + 3 = 11.
In a world where wealth now includes mining rights, fracking revenue, and other intangible assets like patents, copyrights, and trademarks, it can be confusing to figure out whether some assets add value to a prospect’s capacity rating. Here, we'll explore the intrinsic value of patents and how to include them in a prospect’s profile.
Most data mining and donor modeling projects include one dependent variable compared to several independent variables. Let’s review these concepts briefly before we get into the meat of this article.
When starting a data mining project, we are often challenged by our management to “go do some data mining.” We can get stuck from there, unless the tool that we’ll use has already been chosen, like a screening service or modeling vendor. Even then, making sure that we understand the question involved helps frame how we set up the study and then what we do with the results.
There are two reasons to use giving variables in a prospect model. First, unlike any other part of a fundraising shop, gift records are audited. That means that they are the cleanest and most consistent of all the data you would use. Second, past behavior often indicates future behavior – past giving can show the pattern of future giving. Using giving history judiciously can improve your major gifts model well.