According to Blackbaud’s Corporate Profile, they are “the leading global provider
of software and services designed specifically for nonprofit organizations, enabling them
to improve operational efficiency, build strong relationships, and raise more money to
support their missions” (2011).
Blackbaud provides products and services for
fundraising, constituent relationship management, financial management, website
management, direct marketing, education administration, ticketing, business intelligence,
prospect research, consulting, and analytics.
Blackbaud established itself in 1981, has
over 2000 employees in seven countries worldwide.
Likewise, we have over 24,000
customers located in 75 countries, with concentrations in North America, Europe and
Blackbaud is the dominant provider of fund-raising and operations management
software to nonprofit organizations.
Blackbaud is a well positioned company which will
continue to grow in profitability and creating shareholder value and wealth.
Paul Larson of
Morning Star Investor
(2010), The Raiser’s Edge which is a customer
relationship management software that is tailored to address the needs of non-profits, is
Blackbaud’s most popular and profitable product.
Blackbaud sells perpetual licenses for
its products and then offers customers annual maintenance contracts whereby customers
get free access to new versions of the product.
Since Blackbaud acquired eTapestry (the
division I work for), the firm can deliver relationship management software as a hosted
services, accessed over the internet, to both small and large nonprofit organizations that
wish to outsource the management of their software.
According to Larson and the
Morning Star Analytic Team, they expect to see the most growth in revenue to be driven
by small nonprofit organizations; thus, leading to projected lower gross margin revenue