The UK legacy market is estimated to be worth around £1.9 billion* a year yet many charities struggle to create effective strategies and communications that tap into this. Striking the right balance between inspiring a supporter to want to leave you a legacy and overcoming the barriers that stop them doing so is essential within your legacy marketing strategy. Only by understanding people and their motivations, then using this insight effectively, can you create the right offer (not ask!) that genuinely engages, inspires and reassures. Speakers Roger Lawson, Strategy & Planning Director, Paul Newman, Senior Planner and Debbie Clark, Planner, The Good Agency shared some of the most effective legacy marketing in the sector. Rob Cope, Director, Remember a Charity shared insights on how Remember a Charity can share your burden. * Legacy Foresight 2009

1. How brave are you about
legacies?

3. UK legacy „market‟ at a glance
• In 2009 the legacy market was worth almost £2bn
• That‟s almost15% of all voluntary income...
• ... and 6% of all incoming resources
• Just 7% of all people leave a bequest...
• ... representing 3% of all money left in estates

4. Huge change in wealth

5. Single (childless) people account for over half of the
charitable legacy pot
Value of charitable legacies by gender and marital status
Married females
Married males 1%
Widowed/divorced
1%
males
9%
Single females
31%
People with no „natural heirs‟
Widowed/divorced
are the most likely to leave females
residual bequests 34%
Single males
24%
Source: Inland Revenue, based on a sample of 1000 deaths in 2000/01

6. Residual legacies account for 85% of
Consortium income
Consortium income and notifications by bequest type, 2009
Smaller Residual Large Residual
Pecuniary Other
(<£100,000) (>£100,000)
% of bequests 52% 34% 5% 9%
% of income 8% 36% 49% 7%
Source: Legacy Monitor Consortium 2010

7. In 2007/8, only 4,200 charities received any legacy income
The legacy market by charity size, 2007/8
Size band No charities Legacy % of total
income £m
Micro 80,608 2.5 0.1
Small 53,971 5.7 0.3
Medium 21,470 175.2 9
Large 4,128 350.1 18
Major 438 1,468.2 74
All 160,615 2,001.7 100
Source : NCVO Civil Society Almanac 2010

8. The top 10 players account for 30% of all income
Legacy income in 2008/9 (£m)
157
160
140 Cancer Research UK for 8%!
120
100 95
80
66
60 50
45 44 43
37 36
40 32
20
0
RNLI
RSPCA
Macmillan
PDSA
BHF
RNIB
Guide Dogs
CR - UK
National Trust
Salvation Army
Source: Caritas database

9. Medium-sized legacy charities are growing fastest
Growth in legacy income by size of charity,% pa, 2004/5 – 2008/9
8
7
6
5
4
3
2
1
0
Extra large £20m+ Large £8-20m Medium £1-8m Small £0.3k - £1m
Source: Legacy Foresight analysis of Caritas data, 2010

10. But the legacy „super-brands‟
still get the biggest residuals
Average residual value by size of charity, £000, 2009
60
50 54.6
47.1
40
42.9
30
20
10
0
Extra large Large Medium
Source: Legacy Monitor 2010

11. Health and animal
charities dominate
Legacy market by sector, 2008/9
Other, 17.2
Children, 3.9
Health, 42.6
Development, 5.5
Conservation, 8.3
Disability, 8.1
Animals, 14.3
Source: Legacy Foresight analysis of Caritas data, 2010

12. But new sectors are gaining
ground
Winning and losing sectors, 2004/5 – 2008/9
< Slowest growth Fastest growth >
Blindness Religious Overseas development Wildlife trusts
Children Domestic poverty relief Cancer Armed services
Deafness Old People Animal welfare Arts
Learning
Blindness Medical conditions Education
Disabilities
Heritage Environmental protection Hospices
Mental health NHS Trusts
Saving lives
Heart
Source: Legacy Foresight

13. The legacy market quadrupled in
20 years
Total legacy income, (1988-2009), £bn, current prices
Average annual growth = 7.3% pa
Long period of expansion,
driven by continually rising
house prices
Early 90‟s recession
Sources: Smee & Ford, NCVO, Legacy Foresight

14. But the outlook for the next five years is muted
Real annual growth in legacy income, % pa
Late 1980s Boom +11.0%
1990 – 1995 Recession -0.5%
1996 – 2007 Boom +5.5%
2008 – 2010 Recession -1.8%
2011 – 2015 Recovery +1.2%

15. In the long term, prospects are good
Number of deaths, UK, 1986 - 2060
750
700
650
600
550
500
1991 1996 2001 2006 2011 2016 2021 2026 2031 2036 2041 2046 2051 2056
Source: Office for National Statistics, Government Actuary's Department

16. The boomers are coming!

17. ... And a new generation of childless women

19. “I‟ve never really thought
about it...”
“It‟s when you‟re dead and
you don‟t want to think
about dying...”

25. Window vinyls were used in charity shops, offices and museums to
bring the campaign to the high street.

26. Starting the legacy conversation…

27. Task Groups

28. Website traffic
Remember A Charity Week generates significant heightened
awareness and action among the public

29. 20%

32. Thank you