How a Nonprofit can Survive and Thrive in the World of

Crowd Collaboration

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February, 20, 2014

Presenters

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• Senior Business Development Associate at Launcht

• Marathon runner (Boston 2014)• Originally from Iowa

• Inbound Marketing Coordinator at FirstGiving

• Musician• Thinks trail mix is tasty

Georgia Wright-Simmons Dan Fonseca

“What we face now is a pace of change that is

unprecedented. Major innovations that used to change our lifestyles maybe once or twice in a generation, we’re seeing that now

almost on an annual basis.

So what needs to be top of mind for all [non-profits], no matter how

established their brand is, is to stay relevant among our [donors].

We have to think about how the lives of our end users are changing, whether that end user is a consumer, a patient, a doctor or anyone else.

And to remain relevant we need to be part of their new ecosystem.”

— Kim Kadlec Worldwide Vice President, Global Marketing Group Johnson & JohnsonQuoted in ZMOT

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MULTICHANNELAPPROACH IS KEY

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Generation YGeneration X

BoomersMatures

47

40 42

27

5251 53

44

10

22

40

52

Why Multichannel Matters: People Give in Many Different Ways

Give Online Checkout DonationsGive in Response to Direct Mail

#FGWebinar All stats from Blackbaud report unless otherwise noted

Misconceptions

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• Generation Y is NOT selfish and should not be discounted

• Online fundraising is NOT the end of traditional fundraising

• Online fundraising is NOT a panacea

• Using crowdfunding technology is not a niche restricted to “hipsters” and “artists”

ONLINE FUNDRAISING

Overall Giving

Online Giving

1.7%

10.7%

Percent Increase from 2011 to 2012

Percent Increase from 2011 to 20127%

93%

Percent of Total Donations

Online Other Sources

*Other sources include major gifts, annual fund, checks, telephone, direct mail, and event

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Benefits of Online Fundraising

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• Online fundraising improves your transparency, showcasing the depth and breadth of what you do

• Online fundraising gives donors a sense of agency—they have the power to choose where their money goes

• People feel a stronger connection to the projects they fund than to organizations in general

• Crowdfunding and Peer-to-peer fundraising create avenues for peer endorsement, which builds trust with new donors

• The Cloud creates endless opportunities for donor entry

• Fundraisers build engagement beyond donating

• Online fundraising is very cost-effective for your organization

• It is easily quantifiable and trackable

What ARE crowdfunding and peer-to-peer fundraising?

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Crowdfunding: Build your base

Major Donors

Recurring & Annual Donors

Occasional Donors & Event Participants

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Crowdfunding Opportunities

• Connect members of an existing community

• Umbrella organization giving small associated nonprofits access to a larger donor pool

Benefits:• Surface new projects,

connecting money with ideas beyond email lists

• Putting small nonprofits on a big platform

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Crowdfunding Opportunities

• Breaking annual fund into more concrete and interactive projects

Benefits:• Connect young and new donors

with projects they identify with in a very concrete way

• Significantly increase click-through on email outreach:UVMStart had a 14% click-through on email outreach about their crowdfunding platform

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Crowdfunding Opportunities

• Initiative-based fundraising• Based around specific

fundraising efforts, with the goal of increasing transparency

Benefits:• Connecting donors with

impact rather than with mission

• Giving donors a sense of control over where their dollars go

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Crowdfunding Opportunities

• Brands crowdsource where their philanthropy dollars go

Benefits:• Philanthropy dollars do

double duty, marketing the company and creating positive associations

• Brings attention to brand’s connections with non-profits

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Three Steps to Getting Setup

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1. Choose which strategy makes the most sense for your organization and initiatives

2. Structure your site and populate it with content

3. Reach out to top supporters—ask them to create campaigns on your site or be your champions: the first to donate and share

Peer-to-peer Fundraising:Increase Engagement Using a Specific Event

Fundraisers

Recurring Donors & Event Participants

Occasional Donors

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Peer-to-peer Fundraising

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Blackbaud

4 problems personal peer-to-peer fundraising page solve for your

nonprofit

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1. Lack of engagement on a supporter’s behalf2. Lack of exposure to new networks3. Not meeting fundraising goals 4. Poor job marketing the brand

Peer-to-Peer Screenshot

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Steps for Getting Started

A nonprofit ready to take advantage of peer-to-peer fundraising will have the following:

1. A strong supporter base2. A peer-to-peer fundraising worthy event

• Traditional endurance events• “Thons” – Bowl-a-thon, dance-a-thons, etc.

3. Information to arm the fundraiser with• Logos, email templates, best practices, mission

updates, etc.

4. The right peer-to-peer fundraising platform#FGWebinar

Crowdfunding / Peer-to-Peer?Making a Decision

Crowdfunding: Peer-to-Peer:

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• Cause and Project Based • Event Based

• Bring in new donors • Increase engagement of top supporters

• Provide depth and breadth

• Focused on a single cause

• You control your message • Supporters share your message

PLANNING FOR SUCCESS

What was once a message is now a conversation between funders and the organizations they support

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Equal Thought, Not After Thought: Creating a Holistic Strategy

• Integrate with your current marketing plan

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Equal Thought, Not After Thought: Creating a Holistic Strategy

Identify top supporters

Choose a worthy event and build a

platform

Equip your campaigns with useful materials

Help Initial campaigns

plan outreach

Reach out to donors before launch

Go Live

Crowdfunding ≈ 1-3 months of preparation

Peer-to-peer fundraising ≈ 2-4 months of preparation

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Equal Thought, Not After Thought: Creating a Holistic Strategy

Start with an “MVP”

Collect Data

Iterate based on Data

Be Dynamic:Perfect is the Enemy of Good

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Equal Thought, Not After Thought: Creating a Holistic Strategy

• Follow Up

Thank you!

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Online fundraising has the potential to

turn small victories into big wins

“The average donor gives $50 while the average fundraiser raises about $500”

Donor

Network

$

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Wrapping it all up!

• Multichannel approach is key• Crowdfunding is great for project based initiatives • Peer-to-peer fundraising works well with event

based initiatives• Planning is key. Budget 1-2 months for

crowdfunding campaigns and 3-4 months for peer-to-peer campaigns

• Keep them engaged. Thank them and keep in touch.

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Questions?

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Facebook: facebook.com/firstgivingTwitter: @firstgivingBlog: info.firstgiving.com/blog

Facebook: facebook.com/launchtTwitter: @launchtBlog: launcht.com/blog

Be a part of our communities

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Interested in learning more?

FirstGiving

Contact our Online Fundraising Consultants• Email: sales@firstgiving.com• Telephone: 617 542 0010 x 4

Launcht

Contact our team for more information• Email: hereforyou@launcht.com• Telephone: 617 765 2000

Thank you!• Georgia Wright-Simmons

– Senior Business Development Associate– Launcht– georgia@launcht.com

• Dan Fonseca– Inbound Marketing Coordinator– FirstGiving– dan.fonseca@firstgiving.com

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