The document discusses the costs and returns of using social networks like Facebook and MySpace for fundraising and advocacy. It finds that the ROI for time spent on social networks is typically very low, around -90%, and that growing an email list internally is only financially worthwhile if it costs under $2-3 per email address. It also provides examples of higher-earning fundraising campaigns using email versus social networks, finding that email campaigns tend to raise much more money and have better ROI.

1. Social Networks Fundraising & Advocacy ROI Calculator http://www.frogloop.com/social-network-calculator If you’re expecting to use social networks to raise money with minimal work, you can expect to see a -90% ROI against time spent by staff. This is a conservative estimate using widely published benchmarks for online marketing, and an hourly wage of $10/hr.

3. Trade-off of Grow vs. Buy If the cost of growing your email list through in-house marketing is higher than $2-3 per email address, your organization is instantly losing money and lots of time.

4. Calculating Cost Per Email Total cost per email = $5.20 Instant loss!! = $2.20-$3.20 Staff Salary + Benefits (+30%) Annual Email Subscribers $40,000 + $12,000 10,000 email addresses

7. MySpace: a Place for Donors? http://www.frogloop.com/myspace-analysis