United Cancer Council, Inc. - Page 72

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          the greatest percentages of responses to prospect mailings.                 
          Also, contrary to the usual experience with prospect mailings,              
          some sweeps packages produced substantial profits.                          
               Although the sweeps packages were often profitable for                 
          petitioner, they had their drawbacks.  Sweeps packages generally            
          worked on individuals who were primarily interested in playing              
          the contest, as opposed to being interested in supporting                   
          petitioner.  In his memorandum dated July 9, 1986, to                       
          petitioner’s executive director, Watson, in generally commenting            
          on petitioner’s direct mail campaign, made the following                    
          observations about the sweeps package donors who contributed to             
          petitioner:                                                                 
               UCC basically has two donor files--one being sweepstakes               
               donors and the other being regular or straight donors.                 
               The Sweepstakes file makes up 80% of all donor names and the           
               straight file has the balance of 20%.                                  
               Although sweeps names have a higher conversion rate into               
               second and third donations, the life span of these donors is           
               less than straight donors.                                             
               We are continuing to try to expand the straight file which             
               is a true donor base and is the one that can be tapped for             
               future major gifts.  * * *                                             
                              *   *   *   *   *   *   *                               
                    In summary, it appears that the UCC direct mail                   
               fundraising program is healthy and shows signs of continued            
               improvement.  As the straight donor file expands, it should            
               lend stability to the monthly income for UCC.  The                     
               sweepstakes housefile mailings should continue to provide              
               the buffer needed to provide the minimum revenues to help              
               UCC make its monthly budgetary commitments.                            
          In addition to the problem that Watson noted, some of the                   




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