Insights from Avalon’s Annual Analysis of Co-Operative Lists
Each year, Avalon’s Analytics team conducts comprehensive Gross Return on Investment (GROI) analysis to evaluate the long-term performance of co-op and non-co-op acquisition lists across our client base. The goal is simple: ensure our recommendations are grounded in data and continue to drive sustainable growth for our clients.
Our most recent findings reinforce something we’ve seen building overtime. Co-ops are not just a viable part of acquisition strategy. They are essential to it.
A Growing Role in Acquisition Strategy
Over the past several years, as co-op performance has continued to outperform other lists, Avalon has increasingly prioritized co-ops across our clients’ acquisition strategies. In 2020, co-ops made up roughly 55% of our client’s acquisition volume. Today, that number has grown to nearly 75-80%.
This is not a marginal shift. It reflects a broader change in how organizations are thinking about acquisition, with more emphasis on building long-term donor value rather than optimizing only for short-term efficiency.
Understanding the Tradeoffs
At the same time, we recognize why co-ops can be met with hesitation.
They often come with higher upfront costs than traditional rental or exchange lists, which can result in lower GROI and net per donor in year one. Because of that, non-co-op lists tend to look more efficient early on, and in a cost-conscious environment, that can be compelling.
But acquisition strategy should not be evaluated on a one-year timeline, as the long-term performance is what really tells the story.
When we look at performance over five years, the picture becomes much clearer. Co-op lists deliver approximately 63% GROI, compared to 53% for non-co-op lists. That long-term shift reflects stronger donor value over time and reinforces a core principle of acquisition strategy: sustainable growth is built over multiple years, not measured in a single campaign cycle.
No One-Size-Fits-All Approach
It’s also important to note that not all co-ops perform the same, as results can vary meaningfully by sector. For example, Apogee continues to perform best for animal welfare organizations, while every list within the societal benefit group reported a positive GROI, with Donorbase at the top.
These differences underscore the importance of a tailored, data-informed approach rather than relying on any single model or list.
Moving Past Skepticism
For years, many in the industry have questioned the long-term viability of co-ops, suggesting that shared donor data could eventually diminish performance over time.
The data tells a different story. With strong five-year returns and consistent growth over time, co-ops remain a reliable driver of long-term value.
What This Means for Nonprofit Leaders
The takeaway is straightforward: If your goal is to build a sustainable, high-performing donor file, co-ops should play a meaningful role in your acquisition strategy.
As the data shows, the most effective programs balance short-term efficiency with long-term value, supported by ongoing testing and regular performance review to reflect changes in donor behavior and shifts within the sector.
Maintaining that balance requires moving beyond a one-time strategy. It takes consistent evaluation, a willingness to adapt, and a clear understanding of what’s driving long-term value. That’s why Avalon’s annual analysis is not a one-off exercise, but an ongoing effort to ensure the strategies we bring to our clients continue to evolve and drive stronger, more sustainable results over time.
