Diversifying donors beyond members

Association Foundation GroupMay 12, 2016

Paul Amundsen, MNA, CFRE

Terminology clarification“Non-member” is anyone who doesn’t pay dues and is outside of the association’s established channels of communication.

A quick poll.

Assumptions, we agree …

• Mission comes first

• Donors are people

• People give to what they care about

• Members have to care about your mission before they’ll give

• Non-members theoretically understand what you do

• You know why your current donors give

Are you ready to branch out? Questions … • Who are our logical non-member

prospects?

• Do they care about our mission?

• What specifically do we do that they care about?

• What channels exist that allow us to reach them?

• Can our outreach efforts improve their impression(s) of our members?

Must haves• Public benefit mission

• Solid, ideally growing, member donor base

• Clear channel(s) for reaching beyond membership

• Realistic, specific goals

• Board support, buy-in

• Patience

Sometimes we overlook the ‘easy stuff,’ part 1

Eventual Adopters

Likely Adopters

Early Adopters

Current Donors

Sometimes we overlook the ‘easy stuff,’ part 2

High Interest/Low

Capacity

High Interest/High

Capacity

Low Interest/Low

Capacity

Low Interest/High

Capacity

Low High

Low

High

A quick exampleHSHC’s diversification strategy

HSHC’s case

Problem

• Tooth decay is the most common childhood infection

• Decay affects all children, but more prevalent among lower SES populations

• Tooth decay can lead to multiple, more serious problems

HSHC’s case

What we’re doing

• We support dentist-led, community-based initiatives providing dental care to children who cannot afford it

• More than 300,000 children have received HSHC-funded care since 2010

• 81 agencies in 29 states, plus DC, have received $4.1 million in HSHC grants and commitments

• We will issue at least $500,000 in grants and commitments in 2017

Grants and contributions on the rise

$0

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

2009 2010 2011 2012 2013 2014 2015 2016

Contributions Grants made Access to Care

Mission impact on donor prospecting• Members 40 and older

• At least 100 AAPD members have an annual giving capacity of $10,000 or greater Blackbaud Target Analytics

• At least 400 AAPD members have an annual giving capacity of $2,000 to $9,999 Blackbaud Target Analytics

• Giving patterns suggest increased receptiveness to making major gift commitments during the months of March through June

Non-member cultivation opportunities • Multi-year grant states

• Consistent donors, 5-year consecutive annual giving

• PR support

• In-office outreach

• Moms like you approach

Donor diversification checklist Compelling, understandable

mission

Maximum external focus

Strong, growing member giving

Clear bridges, channels

Resources for targeted investment

Board support

Specific financial goal

Wrapping upLoose ends and to-dos

Thank youPaul Amundsen, MNA, CFREVice President for Development and Charitable ProgramsHealthy Smiles, Healthy Children: The Foundation of the AAPDpamundsen@aapd.org

Resources• Asking, Jerold Panas

• Association of Fundraising Professionals, www.afpnet.org

• The Axelson Center, www.northpark.edu/centers/axelson-center-for-nonprofit-management

• The Chronicle of Philanthropy, www.philanthropy.com

• Conducting a Successful Capital Campaign, Kent E. Dove

• Forces for Good, Leslie R. Crutchfield and Heather McLeod Grant

• Fund-Raising: Evaluating and Managing the Fund Development Process, James M. Greenfield

• Good to Great and the Social Sectors, Jim Collins

• Nonprofit Essentials Major Gifts , Julia Ingraham Walker

• The PreHistory of The Far Side: A 10th Anniversary Exhibit, Gary Larson

• Principles of Fundraising: Theory and Practice, Wesley E. Lindahl

• Why the Wealthy Give, Francie Ostrower