The catchphrase “Keeping up with the Joneses” is a familiar concept for most Americans.  It refers to measuring yourself against someone, usually a neighbor, using some sort of comparative measurement such as the car they drive or the brand of clothes they wear. 

Invariably, as anyone who has gotten caught up in this trap can attest, trouble eventually arises because of asymmetric information, or the idea that one party has more complete information than the other.  For instance, after trying unsuccessfully to match the Joneses lifestyle, we find out that the Joneses are not like us at all.  Turns out that the reason they could afford that new car and fancy vacation was a recent inheritance they didn’t tell anyone about.  Or maybe they simply project the perception of success while secretly drowning in a sea of debt.  In other words, the Joneses are not a good comparable if you have any hopes of not ending up in the poor house.

Nonprofits struggle with this same concept of information asymmetry.  We know exactly how our organization is performing across key metrics such as fundraising, email file health, and mobilizing advocates, but have little or no empirical data outside our organization to compare ourselves against.  “We’re doing better than last year, but are we leading or falling behind our peers?” is a common question for many nonprofit leaders.  And who are my peers anyways?  Even on the rare occasion that we get a glimpse into how another nonprofit is performing, we are still left to wonder if they are really a good comparable or not for our organization?

Because a Public Broadcasting Station’s mission and how they operate is very different than a University or Disaster Relief Organization, it is important for nonprofits to compare their individual results against a group of peers that is most like their own; ideally based on multiple dimensions.  For example, organizations with a common mission,  email sophistication (use a proxy like the size of their email file), and their organizational budget, would be a good place to start.

Undoubtedly, relevant benchmarks are important for nonprofits to measure themselves against.  But this list of dimensions is by no means exhaustive.  So before we all run out comparing ourselves to everyone on the block, don't forget our friends our friends the Joneses.  Your online results are just part of the picture.  What an organization is doing offline via their direct mail programs, events, telemarketing, and how well these programs are integrated will have an impact on online results.  And at the end of the day, remember every organization is different -- each with its own strengths, organizational challenges and goals.