nonprofit success workshop - convio• penelope burke study found 46% of lost donors due to “a...

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Nonprofit Success Workshop9/15/2011 @ NYC

Instructor: Jennifer Darrouzet


Change Happens


Agenda

• The Next Generation of American Giving

• Communication Trends

• Major Gift Fundraising

• Acquiring New Donors

• Top 10 Multi-Channel Marketing Principles


Revenues Flat & Donors Down

Source: Target Analytics


New Donor Acquisition Down

Source: Target Analytics


Bright Spot Analysis

0

20,000

40,000

60,000

80,000

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120,000

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160,000

$0

$200,000

$400,000

$600,000

$800,000

$1,000,000

$1,200,000

$1,400,000

10/2

006

11/2

006

12/2

006

1/20

072/

2007

3/20

074/

2007

5/20

076/

2007

7/20

078/

2007

9/20

0710

/200

711

/200

712

/200

71/

2008

2/20

083/

2008

4/20

085/

2008

6/20

087/

2008

8/20

089/

2008

10/2

008

11/2

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1/20

092/

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3/20

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7/20

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9/20

0910

/200

911

/200

912

/200

91/

2010

2/20

103/

2010

4/20

105/

2010

6/20

10

Cumulative Online Revenue

# Email Records


The Next Generation Study


$0.

$100.

$200.

$300.

$400.

$500.

$600.

$700.

$800.

$900.

$1,000.

$1,100.

$1,200.

30% 40% 50% 60% 70% 80% 90%

% Giving

Tota

l Ann

ual G

ivin

g

Boomers

Gen X

Matures

Gen Y

58% Give35.9M donors$796 yr/avg4.2 charities$28.6 B/yr

56% Give28.5M donors$341 yr/avg3.6 charities$9.7B/yr



Who’s Giving?

Size of each pie is significant –represents total population of eachgeneration


Today’s supporters are channel-hoppers


ANNUALGIVING

DONATED BYCHECK BY MAIL

PRIMARY CHANNELS FORUPDATES

REGULARLY ON FACEBOOK

Channels for Revenue & UpdatesMatures

39MPOPULATION

Boomers Gen X

78MPOPULATION

62MPOPULATION


Channels for Awareness

Gen YMainstream media 27%Word of mouth 22%School 18%

Gen XMainstream media 24%Word of mouth 18%Mail 16%

BoomersMainstream media 28%Mail 19%Word of mouth 16%

MaturesMail 35%Mainstream media 24%Word of mouth 18%

52% first heard childhoodAverage time support: 4 yrs

55% first heard 30’s+Average time support: 13 yrs

68% first heard 30’s+Average time support: 15 yrs

32% first heard childhoodAverage time support: 7 yrs


Rare Consensus re: Social Channels

GEN Y GEN X BOOMER MATURE

87% 89% 82% 76%

“Peer to peer solicitation is the most acceptable form of solicitation”


What We Mean by Multi-Channel


What Multi-Channel Is


Channels Work Together

Offline-only donorswho get email from an organization

give doubleover a lifetime


Channels Work Together


What Multi-Channel ISN’T• Major Donor visits website• Submits a form• Receives “Did You Know?”

email (about program he funds)

• Member signs up to fundraise• Gets emails & phone calls about

everything but fundraising

• Event attendee makes cash gift • Receives direct mail thank you• Never invited again (invites

went out via email)


Why Multi-Channel Matters


1. Revenues are flat & donors are down

2. New donors are getting harder to acquire

3. Constituent expectations are changing

Why Multichannel Matters


Obstacles & Solutions


“We’re very major-donor focused”“Online/Social/Mobile is just a distraction…”


The Wired Wealthy Study

The Wired Wealthy

Connecting with Your Mid to Major Donors

An in-depth survey and study by Convio, Sea Change Strategies, and Edge Research


• Penelope Burke study found 46% of lost donors due to “a failure to communicate.”• feels charity is not fulfilling its mandate• disagrees with change in direction• lost interest in the cause• believes charity no longer needs donor’s support• feels there are more compelling causes out there• believes charity has not kept in touch

Why Donors Stop Giving

How can this be??


More Channels, Insufficient Staff

Mail

Phone

Face-to-Face

Email

Mobile

SocialNetworks

Website

Donor CommunicationChannels, 1991Now in 2011


Out of Balance

Public (“foreground”)

Staff (“background”)


90%of organizations store supporter data in more than one place.

50% of organizations use paper, spreadsheets, or electronic address books to manage supporter data.

(Becomes Institutional Memory Loss)

Insufficient Systems


CC:

FW:

RE:

Channels gone wild

SUBJ: Major donor wants an update…

RE:

RE:

RE:

RE:

CC:

CC:

CC:

CC:


Channels driving results


Recognition/Cultivation Step

Timeline$1-

$249

$250-

$499

$500-

$999

$1,000-

$2,499Action

Thank You Letter, Signed by ED with Tax Info (On Letterhead)

Within 24 hours X X X X Print Letter for ED to Sign

Handwritten Thank You Note with Pet Photo

48 hours X X X X Provide Card

Phone Call from ED or Development Director

48 hours X X X Provide Number

Note from Furry Friends Board Chair

2 weeks X X Send Board Chair Info, Card

Call from Furry Friends Board Member

Within 2 weeks X Provide Number

Invitation to Tour Shelter, Mobile Spay/Neuter Clinic, etc.

As Appropriate X Send Invite

Note from Volunteer Shelter Worker, Veterinarian, Adopter, etc

2 months X Identify, Give Stationery

Holiday Cards Send in November Every Year

X X X X Put Together Mailing List

Donor Listing in “The Scoop” Annual Report

Annual X X X X

Invite to “Wag and Purr” Donor Appreciation Event

Annual X X X X Plan, Organize


Multi-Channel Stewardship


What could this mean for you?

“YES”Give Again,If called by

BOD

“YES”Increase Amount

From Donor Centered Fundraising, by Penelope Burke


Don’t let this be you!

Donors not getting calledexcept for ask

From Donor Centered Fundraising, by Penelope Burke

Donors not getting visitedexcept for ask


Public (“foreground”)Staff (“background”)

Solution: Invest in Balance

• Harness technology in foreground & background


Test DriveMoves Management & Stewardship Plans

On-the-Fly


BREAK TIMEReconvene @ _______

Next up: 2 Steps to Acquiring New Donors


“Our email list is too small”“We can’t reach a wide enough audience”


List Growth

Joined Convio April 2009

• Fielded petition

• Doubled their list

• Boosted revenue 600%


List Growth Ideas

Pledges


List Growth Ideas

Pledges

Give-Aways


List Growth Ideas

Pledges

Give-Aways

Downloads


List Growth Ideas

Pledges

Give-Aways

Downloads

Sponsored Donations


• Acquire multi-channel contact information via engagement campaigns• Ask yourself:

• What are we giving away “free” now?• Is there an item or experience we could give away?• What solutions can we recommend for common issues?• What controversies are we/our constituents facing?• Who might sponsor a donation to grow our circle of friends?

Solution: Offer Incentives


Pop Quiz!

• Pick a partner NOT with your organization

• State your mission

• What could your partner’s group provide YOUas an incentive worthy of• An email address,• A Facebook “like”, • A Twitter follow,• A LinkedIn group membership, or• Other multi-channel contact information


Test DriveList Growth

On-the-Fly


“Social Media doesn’t work for us”“We tried & got nothing”


“Adapt or Perish”

Percent of online time Americans spend on social networking sites

Source: Nielsen ratings, May 2011


Had 669 social ties

Had > 200 Facebook

friends* Pew Internet & American Life Project. “Social networking sites and our lives.” 16 June, 2011.. Link**Facebook Published Usage Statistics. Link.

In June 2011, the average American

http://www.pewinternet.org/Reports/2011/Technology-and-social-networks/Part-3/SNS-users.aspx�

https://www.facebook.com/press/info.php?statistics�


Common Ground™


• What are people sharing? Who’s sharing it?

• How relevant are YOU, really?

• Where are relationships being driven forward?

• How can you PROVE you are getting more relevant, & more effective?

• How can your Social efforts be both more responsive & more scaleable?

Turning Your Social Ship


Let’s Remember that Rare Consensus

GEN Y GEN X BOOMER MATURE

87% 89% 82% 76%

“Peer to peer solicitation is the most acceptable form of solicitation”


Test DriveGetting Results from Social

On-the-Fly


Top 10 PrinciplesFor Multi-Generational/Multi-Channel Success


Be Holistic

VOLUNTEERSDONORS 67%

Source: Fidelity Charitable Gift Fund and VolunteerMatchhttp://www.charitablegift.org/learn-about-charity/news/12-03-2009.shtml

http://www.charitablegift.org/learn-about-charity/news/12-03-2009.shtml�


Be Balanced

ForegroundBackground


Be Consistent


Be Present


Be Likeable


Guess what these have in common?

50% of facebook posts

25% of tweets

They contain links!

Be Shareable


Be Welcoming

1 2


Be Persistent

1

2

3


Be Data-Driven


Be Adaptable


Donors

Prospects

Events

Programs

Corporations Volunteers Media

Academics

Foundations

Partners

Practitioners

Advocates

Lapsed

Brought to You by Common Ground

The donor database(or “central nerve system”)

of the modern nonprofit

Mail

Phone

Face-to-Face

Web

Social

Mobile

Email


• Drop a business card for studies

• Curious? • Get a quote for

Common Ground now• Take a live online tour

Wednesdays @

Thank You!

www.convio.com/commonground


Appendix


Meeting Generational Needs


Meeting Generational Needs Template

Gen Matures Boomers Gen X Gen Y

Attitudes/Values

Guarded Scrutinize

Time vs. MoneyPremeditated Giving

Online ConnectionRandom, Peer Motivated

Time to Give BackWhat’s In It For Me?

Tact

ics

+ S

trate

gies


Assessment: How do we reach Matures?

• Annual Tax Receipts

• Guidestar/BBB/Charity Navigator Insignia

• Fundraising Expenditure Disclosure

• E-Newsletters

Guarded

Scrutinize


Meeting Generational NeedsGeneration Matures Boomers Gen X Gen Y

Attitudes/Values

Guarded Scrutinize

Time vs MoneyPremeditated Giving



Tact

ics

+ S

trate

gies

Longer-form appeals

Annual Tax Receipts

Guidestar/BBB/Charity Navigator logos

Fundraising Expenditure Disclosure

E-Newsletter


Assessment: How do we reach Boomers?

• Renewal Appeals and Notices

• Event Fundraising Donation (vs. Participation)

• Basic Donation Forms

• Volunteer Opportunities

• Data Mining Planned Giving

Pre-meditated Giving

Time vs. Money



Matures Boomers Gen X Gen Y

Attitudes/Values

Guarded Scrutinize




Tact

ics

+ S

trate

gies

Longer-form appeals

Annual Tax Receipts



E-Newsletter

Renewal Appeals and notices

Event Fundraising Donation (vs. participating)

Basic Donation Forms

Volunteer Opportunities

Data Mining Planned Giving

E-Newsletter


Assessment: How do we reach Gen X?

• Create/Donate to a Tribute Fund

• Make a Sustained/Committed Gift

• Sign a Pledge

• Event Attendance

• Mobile Site Optimization

Random, peer motivated

Online connection




Attitudes/Values

Guarded Scrutinize




Tact

ics

+ S

trate

gies

Longer-form appeals

Annual Tax Receipts



E-Newsletter






E-Newsletter

Creation of/Donation to a Tribute Fund

Make a Sustained/Committed gift

Sign a pledge

Event attendance

Mobile Site Optimization


Assessment: How do we reach Gen Y?

• Premiums/Contests

• Event Fundraising Participation (vs Donation)

• Social Media

• Mobile Outreach

What’s in it for me?Time to give back




Attitudes/Values

Guarded Scrutinize

Time vs MoneyPremeditated Giving



Tact

ics

+ S

trate

gies

Longer-form appeals

Annual Tax Receipts



E-Newsletter






E-Newsletter

Creation of/Donation to a Tribute Fund

Make a Sustained/Committed gift

Sign a pledge

Event attendance

Mobile Site Optimization

Premiums/Contests

Event Participation (vs. Donation)

Social Media

Mobile Outreach


Tactics Worksheet: Matures

Generation Matures

Attitudes/Values

Family Financial/Professional Giving Orientation and Attitudes

Family out of the house, likely to have grandchildren.

Most likely to give large amounts. Focused on protecting existing investments.

Risk-averse. Focused on known brands and orgs. Places high value on accountability and credibility

Representing your cohort, identify online or offline development office tactics that most appeal to your audience.

TACTIC RATIONALE WHY

Embed Charity Navigator and/org BBB logo in collateral and donation forms.

Data told us that Matures value institutional credibility over anyone else.


Tactics Worksheet: BoomersGeneration Boomers

Attitudes/Values


Has more time to spend on personal hobbies and pursuits.

Starting to form regular giving habits and favorite orgs. Beginning to plan retirement.

Giving more likely to be pre-meditated.Considers “time vs. money” tradeoff



Create and promote a sustained giving program.

This group is attracted to the price point and automated convenience of sustained giving programs.


Tactics Worksheet: Gen XGeneration Gen X

Attitudes/Values


Starting a family, possibly with small children at home. Everything is busy, busy, busy all the time.

Highly focused on career development, also developing a more significant giving capacity.

Focuses on convenience. Giving more likely to be random or the result of peer-to-peer asks.



Develop automated membership renewal efforts that maximize retention rates.

This group in intentional about their giving and renewal efforts, and respond well to online ways to make that easier.


Tactics Worksheet: Gen YGeneration Gen Y

Attitudes/Values


Most likely single, and socially active.

Just starting career, and usually little financial giving capacity, but high enthusiasm for other ways to participate.

Understands things as a value proposition –“What’s in it for me” Looking for ways to “give back”



Promote event fundraising participation opportunities (instead of directdonations).

This group is most likely to participate in an event where gifts are solicited from peers.

nonprofit success workshop - convio• penelope burke study found 46% of lost donors due to “a...

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