Download - What Donors Want!
What Donors Want!Mark Moshier, CFRE
Team Leader, Council Fund DevelopmentBoy Scouts of America, National Council
Donors Want 2 Things
They want:
• to feel good…
• about what their money has done.
-Tom Ahern
Your Job
• Deliver Accomplishments
• Induce emotional gratification
-Tom Ahern
Donor Survey: Why Make a Gift?
Very ImportantBelieves that the charity is well-run and efficient 82%
Making life better for the less fortunate 57%
Making a difference in your own area or community 55%
Fulfilling a desire to give back to society 46%
Can direct exactly how donation is going to be used 40%
Addressing an illness that afflicted a loved one 30%
Helping to construct a lasting building/structure 19%
Creating income tax deductions 18%
Donor Motivation for Making Gifts
1. Philanthropy2. Gratitude3. Honoring Loved Ones4. Nonprofit as Family Substitute5. Tax Benefits 6. Financial Benefits 7. Social Standing and Prestige 8. Recognition
2009 charitable giving Total = $303.75 billion
Types of recipients of contributions, 2009 Total = $303.75 billion
Our Environment
◦ Philanthropic Climate Competition for charitable dollars
Donor awareness
Donor expectation
What Donors Want
The number of 501(c)(3) organizations 2000–2009
Our Environment
◦ Philanthropic Climate Competition for charitable dollars
Donor awareness
Donor expectation
What Donors Want
Factors for Success
◦ Organization Factors
Board Strength
Case for Support
Organization History
What donors Want
Glossary definition - case for support A written statement of why a donor should consider
supporting your organization.
Telling your story through the Case for Support because the case should be just like a good story.
The case should therefore be: *Enticing, captivating, persuasive and stimulating!
Case For Support
This means your case statement has to:◦ Be and feel larger than your organization. ◦ Show how you meet a major public need. ◦ Be moving and personally relevant for reader. ◦ Be credible and convey a sense of genuine
urgency.
Key Point: Case should be told from donor's viewpoint.
Case for Support
1. Why us?2. Why now?3. Why should a donor care?
Three Big Questions
-Tom Ahern
Why us?What are we doing that is so uniquely
worthwhile?
-Tom Ahern
Not sure why you matter?Pretend you’ve gone
away.-Tom Ahern
Why Now?What’s the big hurry? What Changes? Why is
this crucial now?
-Tom Ahern
Why you?“You” is the donor. Have you
madethe donor “my hero”?
-Tom Ahern
“Why in the world would Igive away my hard-earned
money to you?”
-Tom Ahern
Donor Centered Fundraising
Author – Penelope BurkCygnus Applied Research, Inc.Burk & Associates LTD.
“Donor Centered Fundraising” by Penelope Burke, is based on a survey of hundreds of charities and donors◦ Ended mid-2003
Donors in the survey supported an average of 25 charities each year
WHAT IS IT BASED ON?
1. Prompt, personalized acknowledgment of their gifts
2. Confirmation that their gifts were used by the charity as intended
3. Measurable results about the impact of their gift before being asked for the next gift
THREE THINGS DONORS WANTED THE MOST
– Penelope Burke
1. Impersonal acknowledgements2. Acknowledgements received more than
two weeks after the gift3. General appeals with few measurable
results
THREE THINGS DONORS DIDN’T LIKE
– Penelope Burke
In other words, donors want:◦ 1. Acknowledgement◦ 2. Recognition◦ 3. Information
Get donors to see a picture of who you are and what you do.
THREE THINGS DONORS WANTED THE MOST
– Penelope Burke
The best “thank you” letters acknowledge the human being who gave the gift◦ Warm, personalized◦ Say more about the person than the gift
75% of all “thank you” letters start out:◦ “On behalf of…” or “Thank you for …”
First sentence of the letter is extremely important
THANK YOU LETTERS
– Penelope Burke
“What does a donor feel like when they give?
This is what you should keep in mind when acknowledging gifts
Warmth of the “thank you” should reflect the warmth the donor felt when they made the gift
THANK YOU LETTERS
– Penelope Burke
Billing Inserts
Donors like newsletters◦ But do they like yours?
NEWSLETTERS
– Penelope Burke
68% of donors prefer a one-page newsletter◦ They feel that they would know and learn more
about the charity
69% of donors say they don’t have time to read the newsletters they get now
NEWSLETTERS
Donors like photos, but they should be “your program in action”◦ Don’t show people getting awards◦ Don’t show people shaking hands◦ The “Big Check”
If you only send your newsletter to donors, it won’t attract new donors
NEWSLETTERS
– Penelope Burke
Donors do not like “doo-dads” and “knick-knacks” for recognition◦ 86% of individual donors do not like token gifts◦ 100% of corporations do not like token gifts
What about plaques?◦ Individuals do not display plaques/certificates◦ But corporations DO display them
RECOGNITION OF GIFTS
– Penelope Burke
But individual donors DO like to receive photos – as long as they are photos of the program at work
◦ They don’t really want photos of themselves
RECOGNITION OF GIFTS
– Penelope Burke
85% say they would make another giftAND
86% say they would make a larger gift… if they received what???
A THANK YOU PHONE CALL FROM A BOARD MEMBER
THE BEST RECOGNITION OF ALL?
– Penelope Burke
Phone Calls
Donation Amount Acknowledgement Action Level of Interaction
Up to $25 Computer generated letter or receipt
Impersonal-minimal effort
$25.01 to $50 Computer generated letter receipt along with more meaningful information
Information Sharing
$50.01 to $100 Computer generated letter receipt along with more meaningful informationPhone call from fundraising staff
Personal Interaction with staff
Donor Acknowledgement Plan
Donor Acknowledgement Plan
$100.01 to $250 Computer generated letter receipt along with more meaningful informationPhone call from fundraising staffHandwritten note from Scout Executive
High Level Staff Personal Interaction
$250.01 to $500 Computer generated letter receipt along with more meaningful informationPhone call from fundraising staffHandwritten note from Scout ExecutivePersonal thanks from a board member
High Level volunteer personal interaction
$500.01 + Computer generated letter receipt along with more meaningful informationPhone call from fundraising staffHandwritten note from Scout ExecutivePersonal thanks from a board memberNote from non-development staffInvitations to special events or activities
High-Touch attention and cultivation
Donor Acknowledgement Plan
“Asking” is not the same as “communication”
70% of donors would give more if communications improved
DONOR LESSONS
– Penelope Burke
Consider “flagging” first time donors, and have Executive Director and Board member thank them◦ Greatly increases chance of second gift◦ Many donors say they use first gifts as “tests” to
see how the charity responds A second gift is more likely to be more in
line with a donor’s giving capabilities◦ Invest in “low level” donors
DONOR LESSONS
– Penelope Burke
It is always less expensive to try and keep existing donors, than to acquire new ones or recover lapsed donors.
DONOR LESSONS
– Penelope Burke
Today’s donors require Seven Contacts between gifts
Donors want a timely acknowledgement of their contribution
Donors want a personalized “thank you” for their gifts.
Seven Contacts Approach
My Sources
Penelope Burke- Cygnus Applied Research◦ “Donor Centered Fundraising”◦ www.cygresearch.com
Tom Ahern- Tom Ahern and Ahern Communications◦ www.aherncomm.com
Marshall Howard- Marshall Howard Associates◦ “Lets Have Lunch Together”◦ www.marshallhoward.com
Acknowledgements
Mark Moshier, CFRETeam Leader, Council Fund DevelopmentBoy Scouts of America, National [email protected]
www.scouting.org/financeimpact