internet fr summit_march2014

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IT ’S AND, NOT OR Danielle Johnson-Vermenton

Senior Interactive Consultant

March 19, 2014

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• Almost 4 years at

Convio/Blackbaud

• Lover of nonprofits

• Passionate about online

engagement & communications,

strategy and inspiring my clients

• 13 years in fundraising &

marketing

• If I weren’t doing this I’d own a

small diner

CONS ULTANT, T RAINE R, S P E AKE R, MOM

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Growth is Slow

Another 7-8 years to get back to the high of ’07

Giving USA 2013 Report

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THE STATE OF FUNDRAISING ACCORDING TO BLACKBAUD’S CHARITABLE GIVING REPORT

6 of 9 verticals saw

double digit increase

online compared to 2012

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ONLINE MARKETING BENCHMARK REPORT 2013

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SUPPORTERS WANT TO BE ENGAGED ONLINE

• More than half of donors received information from their favorite charity’s

website and by email or eNewsletter

• Website is #1 for information (the face of your org)

• Preferred to spread the word about their favorite charity by email (51%),

Facebook and in person

• Donors aged 50+ prefer visiting the website and email to stay in touch

• Nearly half of respondents gave the majority of their annual

donation to the charity they felt most connected to

NTEN & CharityDynamics Donor Engagement Study 2012

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Almost SIX out of every ten donors

from the previous year DID NOT

renew by year’s end! AFP FEP Study from 2013

Key Reasons They Leave

No memory of ever supporting

Did not feel connected to the organization

Not asked to give again

Other causes are more deserving

Never heard how donation was used

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Sources: Dr. Adrian Sargeant and Woodliffe, 2007 and Growing Philanthropy in the US 2011 Study

A 10% CHANGE IN RETENTION CAN INCREASE THE

LIFE TIME VALUE OF A DONOR BASE UP TO 200%.

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# of Nonprofits 43% since 2001

What characterizes these organizations? nimble multichannel technology driven

Source: Giving USA 2011

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Key Take-Aways Double digit growth in online revenue

You need to communicate – online

Retention is a challenge for all organizations

Competition for supporters is increasing, where are you

landing?

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So what are you doing today?

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Major Gifts

Events

Budget Goal

Grants

Planned Giving

Direct Mail

Board Gifts

IS YOUR STRATEGY DIVERSIFIED?

Online

• What does your budget

look like?

• Are you dependent on

one or two main sources

of income?

• What are your strengths?

Weaknesses?

Opportunities?

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TODAY VS TOMORROW

Direct Mail

Grants

Events

Board

Major

Gifts

Online

What’s the plan for next year? 5 years?

How will you overcome challenges &

trends? Where will you find new

support? How will you retain donors?

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It’s And, Not Or

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Online

Middle & Major Gifts

Direct Mail

Planned Giving

Corporate Giving

Special Events

Grants & Foundation

Sustained Giving

ONL INE IS Y OUR ANNUAL F UND P IP E L INE

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Lifetime Donor Value Donor Value 12 Months New Donor Renewal Rate

THERE IS PROVEN VALUE IN

MULTI -CHANNEL ENGAGEMENT

Sources: Study entitled “Integrating Online Marketing (eCRM) with Direct Mail Fundraising” by Convio and StrategicOne

Traditional defined as offline use. Internet Enabled defined as both offline and eCRM use.

34.4%

50.9%

Mail

+48%

Multi-Channel

$96

$187

Mail

+95%

Multi-

Channel

$314

$694

Mail

+121%

Multi-Channel

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WIRED WEALTHY – C O N N E C T I N G TO M A J O R G I F T S

Putting it into context

•86% say they visit websites before making a gift

•Only 8% say they are inspired by the website to give

•Half say giving online is their preferred method

Wired Wealthy Report http://www.convio.com/files/GD_WiredWealthy_Report.pdf

Donor Categories Annual Gift Self Reported Behaviors & Preferences

Relationship Seekers (29%) Avg $11,000 Likely to engage in

social media

60% say websites

help them to feel

connected

Strong multichannel

donors, more than

half give online

All Business (30%) Avg $12,000 Most visit websites to

donate - period

15% say websites

help them feel

connected

Key to happiness?

Easy and smooth

donation process

Casual Connectors (41%) Avg $9,000

Middle ground between the top 2 clusters, interest in online

connection, websites and giving. Multichannel with a split preference

for giving method.

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T H E G E N E R AT I O N S – T H E Y WA N T TO H E A R F R O M Y O U

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How do you get there?

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EMAIL IS KING

Email is where the rubber meets the road. It is 1 x 1 communication

that enables the constituent to give. It is transactional & the path for

personal communication based on preferences & interests.

-John Haydon

Source: http://social.razoo.com/2011/10/email-fundraising-is-still-king/

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THERE’S VALUE IN EMAIL

$13! On average for Luminate Online customers

As your housefile (# of emails) grows so does the

impact to your annual fund in revenue and reach.

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GETTING STARTED

Think like a supporter

Capture their email

Provide multiple touch points

Put out the welcome mat

Have the right software tools

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THINK LIKE YOUR SUPPORTERS

ABOVE THE FOLD Reduced 4x ABOVE THE FOLD – 1 step

Who would you give your email to?

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HAVE MULTIPLE TOUCH POINTS & GIVE THEM A REASON

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You’ve got the email, now what?

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30% of donors reported being

thanked immediately, 21% said

they were never thanked.

How many people do you think

are thanked when they sign-up?

What do you think that first

impression is like for the new

subscriber?

Email is an agreement between

you and the subscriber. Start

that relationship with trust and

appreciation.

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ENGAGE THOUGHTFULLY FROM DAY 1

Relevance Curve

0%

10%

20%

30%

40%

50%

60%

1 month 2 to 3

months

4 to 6

months

7 to 12

months

Year 2 Year 3

Time on Housefile

Em

ail O

pe

n R

ate

Org #1

Org #2Org #3

The honeymoon period to engage new subscribers is greatest in the first 45-60 days.

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PUT OUT THE WELCOME MAT – ESTABLISH YOUR RELATIONSHIP

These are examples of Luminate Online

Go! customer Welcome Series.

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Key Take-Aways Email has economic value

Think like a customer

An online relationship often starts with an email

Engage subscribers immediately

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What Are You Waiting For?

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CONCLUSION

Online growth continues to outpace

Retention is low

Communicate based on preferences

Organizations should be technology driven

To grow revenue you need to be diversified

Email is valuable so start with a welcome

Online creates a pipeline of support

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Evaluate your resources and tools

Is your database in order?

Is your website user focused & mobile?

Are you capturing emails?

Is there a welcome mat?

Is your online fundraising software

doing the job?

Does leadership understand the need

for better tools & training?

GET STARTED TODAY

Online & Social

Middle & Major Gifts

Direct Mail

Planned Giving

Corporate Giving

Special Events

Grants & Foundation

Sustained Giving

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Keep the conversation going!

npENGAGE www.npengage.com

twitter @Blackbaud

http://www.youtube.com/user/blackbaudinc

Connect

@DJVermenton

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Charitable Giving Report: How Nonprofit Fundraising Performed in 2013 https://www.blackbaud.com/nonprofit-resources/charitablegiving

2013 Online Marketing Benchmark Study https://www.blackbaud.com/nonprofit-resources/onlinemarketingstudy

NTEN & CharityDynamics Nonprofit Donor Engagement Benchmark Report http://www.nonprofitdonorengagement.com/

Integrating Online Marketing (eCRM) with Direct Mail Fundraising Whitepaper http://www.strategic-one.com/Integrated_Marketing_White_Paper.pdf

Wired Wealthy Report http://www.npengage.com/uncategorized/convio-wired-wealthy-study/

The Next Generation of American Giving https://www.blackbaud.com/nonprofit-resources/generational-giving-report

What is Luminate Online? https://www.blackbaud.com/online-marketing/luminate-online

RESOURCES