7

Jan

How To Be a Better Fundraising Professional


1. Engage. Have you noticed that the best conversationalists – the people you always find yourself drawn to at gatherings – don’t actually talk that much? They ask questions. They stimulate ideas and opinion sharing. And they make you feel energized and special by their sincere interest in what you have say. If you want your nonprofit to be the one your donors are the most drawn to, try talking less and listening more.

2. Give. You ask your donors to upgrade, make extra gifts, respond to matching gift challenges, meet year-end shortfalls, and make stretch gifts. Do you do any of these things? If you want to effectively connect with donors, you yourself need to be one.

3. Dazzle. Whether you are talking to your donors in a ballroom or a living room, through a letter or a blog post, nothing inspires a donor like passion, intelligence and originality. It’s a lot of work to bring your A game to every donor communication. Fortunately your organization’s mission is well worth it.

By , 01/07/11 • Posted in Nth Factor • Tags: , ,



22

Dec

The Giving Pledge, Donor Retention and Wishes for the New Year


The new round of Giving Pledges announced on December 9 has generated fresh excitement and debate. The movement which was started by Bill and Melinda Gates earlier this year has thus far enlisted 58 billionaires who have pledged to give at least half of their wealth to charity. The estimated value of the pledges – $600 billion attributed to the original 40 participants alone – is obvious reason for celebration.

The plan is not without its skeptics however, who argue that global redistribution of wealth – an explicit goal of the Giving Pledge – doesn’t  serve the immediate funding needs of charities. Mark Zuckerberg, for instance, may have pledged that he’ll eventually give half of his wealth to charity (and how those assets will benefit charity remains to be seen), but that doesn’t change the fact that nonprofits are struggling right now to provide services at a time when the need is up, but giving is down.

Perhaps the most biting criticism however is that the Giving Pledge doesn’t fundamentally advance philanthropy – another explicit goal of the movement. Case in point: $600 billion has been pledged this year through the Giving Pledge, but giving – actual giving – is down.

In spite of the grave ramifications of declines in charitable giving, we can’t lose sight of one important thing: how much money your organization raises isn’t the only measure of your fundraising program’s success. As an evaluation metric, it’s not even the most important one.

Consider the organization with 1,000 long-term donors giving varying amounts every year, versus the organization with just a few major donors giving annually. Each organization may raise the same amount in individual giving, but the first one is a healthy organization; the second one isn’t.

So what’s the most important metric? It’s the same one it’s always been, of course: donor loyalty.

Though we can influence giving level, ultimately how much our donors give is controlled by things that are out of our control, like the economy. But whether our donors stick with us, or leave … well, that’s all on us.

And so as we come to the end of a year and the beginning of a new one, let me be the first to wish you success where it matters most: inspiring donor loyalty and being an organization that inspires.

Thank you for contributing and reading. I can’t wait to continue the dialogue in the new year!

By , 12/22/10 • Posted in Nth Factor • Tags: , , , ,



29

Nov

The Problem With Year End Appeals


I often get asked when the best time is for an organization to send its year end appeal. The problem with this question, and the problem with year end appeals, is that they’re all too often viewed as single events that take place at a single moment in time.

November 1, November 15, the Monday after Thanksgiving … these are just dates. But your year end appeal, of course,  is not a date.

Your year end appeal is:

  1. Part of a larger, ongoing dialogue with your donors.
  2. An expression of your donors’ highest values and dreams.
  3. A whole season of communication through varied channels, not a single direct mail piece.
  4. Only just beginning, right now.

By , 11/29/10 • Posted in Donor Communications • Tags: , , ,



16

Nov

Why Your Nonprofit Should Use QR Codes (Even If Your Donors Don’t)


qrcode

There has been a lot of talk this year from np techies to fundraising pros alike about QR (“quick response”) codes – those blocky looking codes that, when scanned by your mobile device, take you to a URL or send a phone number or text to your smartphone. We’re seeing more and more case studies of nonprofits using QR codes to successfully mobilize constituents. And for every new case study it seems that there are dozens more ideas waiting on whiteboards everywhere.

But for the most part, it needs to be said, the vast majority of our donors probably aren’t equipped to use QR codes, much less know what they are.

For instance, to read a QR code, you need a smartphone. While the number of smartphone users is increasing, according to Nielsen, smartphone users currently comprise only 28% of the mobile phone market. And it’s the younger part of the mobile market. For example, half of all Andriod users are under the age of 35. Do your donors fit this profile? If you’re like most nonprofits, chances are most of your donors, and your most valuable ones, don’t.

Even if you’re a donor who owns a smartphone though, you need to be sufficiently tech savvy and interested in QR codes to install a reader on your phone. Some Nokia models come pre-installed with a QR reader, but the top selling smartphones – the iPhone and Droid – don’t. At least not yet. True, readers are free, and easy to install, but again, awareness and perceived need are the crucial precursors. You know how your mother has a cell phone, but doesn’t text? Not surprisingly, 25% of U.S. smartphone users don’t even use their data service, according to another Nielsen report.

Are these reasons not to experiment with QR codes in your membership program? No way. The mobile web is predicted to be bigger than desktop internet use by 2015. Though your donors may still be getting there, that’s no reason not to be ready for them when they do, or better yet, help show them the way.

But you need to recognize and understand that simple fact – your donors are still getting there – so that when you do test QR codes in your own program, you do so in a meaningful way.

So have I gotten you thinking about the fact that your donors aren’t using QR codes? Great. Then now is an excellent time to make a list of ways your forward-thinking nonprofit is going to test them. Just start your brainstorming the same place you always do, no matter what the medium:

What do you want to say? Who do you want to say it to? What do you want to have happen?

And then imagine how this new medium might be uniquely helpful in achieving those goals, now, next year, and the year after.

By , 11/16/10 • Posted in Online Giving & Action • Tags: , , , , , , , ,



22

Oct

Two-Minute Fundraising News Roundup


For the time-challenged (aka everyone in nonprofit membership development right now), here’s a quick roundup of some of the most interesting recent news and information from the fundraising world:

1. On October 7, the Chronicle of Philanthropy reported on a study from Campbell Rinker in which 37% of online donors stated that when they receive an organization’s direct mail appeal they use that organization’s website to give, rather than sending a check. The full article is defintely worth reading. The Agitator‘s post, “Why has this taken so long?!” pretty much summed up how exciting it was to get concrete data on the interplay between dm and online.

2. On October 21, Blackbaud released its latest Index of Charitable Giving. First finding: “New fundraising channels, although growing, are not replacing traditional channels.”

So … the Chronicle is reporting that direct mail is prompting many online gifts and Blackbaud is saying new channels aren’t replacing direct mail. No wonder everyone’s email is starting to look a lot like direct mail.

In other news:

3. Donors are giving gobs of money to political candidates. Are you modifying your fundraising strategies in light of the elections?

4. The Bridge Conference Call for Papers deadline is October 30.

 5. Tom Gaffny is speaking at the DMFA in New York on Tuesday October 26 on designing winning direct response fundraising. On November 3rd, the DMFA is holding a brown bag workshop in DC on putting your website to work for your direct response program.

6. And because it’s Friday … did you catch Jimmy McMillan, The Rent is Too Damn High party candidate, on Monday’s New York gubernatorial debate?

 

 

Andrew Cuomo says he has a point. The donors you’re communicating with right now might agree too.

By , 10/22/10 • Posted in Membership Development •



13

Oct

Three Fundraising Conferences Every Nonprofit Should Attend


If you want to hone your direct response fundraising skills and stay apprised of the latest trends in nonprofit membership development, the good news is there’s no shortage of conferences and educational events to help you do just that. Unfortunately that’s the bad news too. With an unending supply of webinars and workshops promising to teach you how to do everything from conquer social media to overhaul your acquisition program, how do you choose?

Obviously you want to put your time and professional development budget to the best possible use. But this doesn’t just mean getting quality information and case studies from industry experts. It also means getting unbiased information – or at least sometimes taking the information you receive with a grain of salt. For instance, free webinars from service providers can be a great source of information and the price is nice, but just keep in mind that they are, by nature, intended to showcase the supplier’s services.

So which conferences should you attend? No matter what coast you’re on, if your organization is serious about direct response fundraising, it’s well worth making space in your calendar and budget for these three essentials:

2011-bridge-conference-logo1. The Bridge Conference, July 20-22, 2011. For five years the Washington DC Chapter of the Association of Fundraising Professionals has teamed up with the Direct Marking Association of Washington to bring nonprofit fundraising and marketing professionals this two-day, information-rich conference in Washington DC. The sessions cover nonprofit branding, online giving and advocacy, direct mail, social media and other marketing and fundraising tools and techniques. Register by April 15, 2011 for best rates. And if you’re interested in speaking the Call for Papers Deadline is October 30.

2. NTC, March 17-19, 2011. NTEN‘s Nonprofit Technology Conference is the single largest annual conference focusing on nonprofits’ use of technology. It’s not strictly a fundraising conference, but it’s all about the tools you need to understand and integrate into your programs for successful membership development and advocacy. In 2011 the conference will be held in Washington, DC (the location alternates between San Francisco and Washington DC, with a wildcard city in between).

11ntc_logo

Sessions cover everything from driving traffic to your website and online conversion techniques to email fundraising and advocacy, to cloud computing and content management systems. Whether you’re an uber techie or just a smart media-agnostic fundraising professional, NTC offers essential information and case studies in online communications, fundraising and new media that you can’t afford to miss.

3.dmanf-logo1 DMA Nonprofit Conference, February 17-18, 2011 (DC Conference). The DMA Nonprofit Federation holds two annual nonprofit conferences in Washington, DC (winter) and New York (summer). Focusing exclusively on direct marketing for nonprofits, it’s a high impact conference that delivers up a wealth of case studies and ideas that you can put into action in your own program. You don’t need to attend both conferences – just attend whichever one is closest to you and you’ll be glad you did.

And for professional development in between conferences, DMFA educational programs offered in New York, Washington, DC and Boston provide high quality direct resonse training and networking opportunities whether you’re just getting started in membership development or are an old pro. Next week on October 21 the DMFA will be offering DM101, a full-day workshop in DC covering online fundraising, direct mail, targeting, analytics and more.

What are your must-attend conferences and resources for fundraising information and ideas? Share your tips here.

By , 10/13/10 • Posted in Direct Response Fundraising • Tags: , , , , , , ,



23

Sep

How to Apologize to a Donor


Oops! 

The author who wrote love means never having to say you’re sorry obviously didn’t know the first thing about direct response fundraising. Direct response is complicated, involving dozens of elements – data, production, content management systems, the post office, and the perfection of mere mortals to name a just few.

And so it’s inevitable: occasionally we mess up. But how well we say “I’m sorry” when we make a mistake is one of the most compelling ways we say “I love you!” to our supporters – and, in turn, earn their respect and loyalty.

So what do you do when you mess up? First, take a deep breath. Then take these three simple steps – and you may just find that those lemons you accidentally lobbed at your donors can make for some pretty great lemonade.

1. Act quickly. When you’ve made a big error that warrants recontacting your donors, drop everything. Get back in touch with your donors as soon as possible to respond to the mistake. This means if it’s a major donor, you should communicate with them via phone or email within hours. Same thing if it’s an erroneous email to a large number of donors: get your correction out via email within hours. And if your communication channel is direct mail, take the “snail” out of mail and get your correction out within 48 hours.

For example, a mailshop once made a production error on a client’s direct mail project in which a #10 window envelope was enclosed in a solicitation mailing instead of standard #9 closed face reply envelope. This meant that when the donor mailed their gift and personalized reply device in the window envelope that was provided with the solicitation, the gift did not deliver to the organization. Instead, it mailed right back to the donor. It was a huge mistake, worsened by the fact that it occurred within a high dollar segment of the campaign. Fortunately the mailshop knew it too. The error was discovered Friday night. They worked all weekend and remailed corrected packages Monday morning.

2. Be transparent. When you make a mistake come out and say it. When one organization realized that it hadn’t acknowledged a sizeable batch of donor gifts for over two months, they addressed their error head-on in their delayed thank you letters saying:

Please accept our sincere apologies for the delay in acknowledging your very generous gift. We encountered a mistake in our computer system and have realized that a significant amount of time has passed. We’ve since resolved the problem and assure you it will not happen again.

Likewise, in the case of the reply envelope mess up, the corrected packages were sent with a cover note from the Executive Director that got right to the point:

Dear Friend of (Organization Name),

Last week, we sent you important information about (Organization Name)’s (Special Campaign Name). We have just learned that due to a production error however, you might not have received the correct set of materials from us. As one of (Organization Name)’s most valued supporters, I want to apologize sincerely for this error and ask you to please be sure to review the corrected information enclosed …

3. Be positive. You may have messed up, but your donors are still incredible and your organization is still doing incredible work. After you say “I’m sorry,” take the opportunity to let your donors know how much you appreciate them, and remind them how important their support is to the work you’re doing together.

Here’s what the organization that messed up on their acknowledgment letters went on to say to their donors:

Your support means so much to us and we are profoundly grateful to have you with us. Thank you again, not only for your gift, but for your understanding.

Pretty great, huh? And here’s the rest of the cover note on the high dollar donor package resend:

If you have already responded to our (Special Campaign Name), and this letter has crossed in the mail with your gift, I want to thank you for your generous support. If you haven’t yet considered our request, I would like to convey my hope that you will take part in (Special Campaign name) by sending your gift today. On behalf of the Board of Directors and all of us at (Organization Name), please accept my deepest thanks for your ongoing friendship and generous support.

Not only were its donors impressed by the organization’s attentiveness, but they also gave more to this mailing than they had ever given to a single solicitation before.

So on those rare occasions that we may disappoint our donors – or ourselves – remember that all is not lost. On the contrary, when you mess up, it’s an opportunity to improve your processes for implementing your campaigns. More importantly, it’s an opportunity to show your donors how much you value you them, because in direct response membership development nothing says “I love you” like “I’m sorry.”

By , 09/23/10 • Posted in Donor Communications • Tags: , , ,



25

Aug

The Worst Reason to Ask Your Donors to Give:


Because it’s time to.

Powerful fundraising is the intersection of strategy, passion and relevance. Of course we have communication calendars. And we most certainly have fundraising goals.

But if you find yourself starting your next development/membership department meeting with “What are we gonna write about this month?” then take a step back.

Instead, ask yourself and your membership team:

What is our organization fired up about?

What gets our donors fired up?

Where is funding needed?

What do we want to have happen with this appeal? (And don’t just think about financial goals.)

Start here and your powerful message – and results – will follow naturally.

Where have your best ideas come from? Share your thoughts here or drop us a line at topics@nthfactor.com. And if you’d like to expand your own idea library, email us to request MKDM‘s free Idea Book.

By , 08/25/10 • Posted in Donor Communications • Tags: , ,



12

Aug

7 Things You Should Be Doing NOW To Meet Your Year End Fundraising Goals


checklist

A lot of factors go into year end fundraising success: targeting, message, strategy, the economy, and current events, to name a few. These are big, important, perhaps even daunting, components of how well, or not, your year end campaigns turn out.

But another predictor of success in year end fundraising – and one of the most significant ones – is a rather practical matter, and completely within your control: when you start working on your year end campaigns.

“I’ll get to it right after Labor Day” is, frankly, not a plan; it’s a liability. That’s because not allowing sufficient time for quality analytics, creative and targeting can spell underperformance not only for your year end campaigns, but for your entire annual program too.

As a rule of thumb, allow at least three months for campaign development (although development time can be much longer for large-scale campaigns). For a year end campaign launching November 15th, here are seven things you should put on your immediate “to do” list to ensure that your carefully crafted campaign receives the attention and response your organization deserves.

1. Organize and analyze essential data. Roll up your sleeves and look at your data every which way to plan your year end strategies. For starters, what are the giving trends among your prospects, members and donors, by significant types and segments? What does this suggest in terms of year end fundraising strategies and message differentiation? Also, what does your body of testing data point to for year end strategies, and what new tests do you need to conduct? Take a closer look, too, at what factors have contributed to your year end fundraising successes in the past. How can you replicate them this year? Start mining critical data now in order to shape meaningful year end strategies.

2. Collect information and ideas from all departments. Gather key development, membership, program and communications staff to review organizational priorities and program happenings, and brew ideas for fundraising and constituency-building. Whether that means a meeting of ten people, or two, it’s important to develop campaign ideas collaboratively, across departments.

3. Determine how much you need to raise. You already have specific goals for your year end efforts in your campaign plan, but if your overall program isn’t performing according to plan, you may need to modify your year end goals. Is your program performing above or below goal? Do you need to make up a shortfall, or build on success? Get a solid handle on where you stand relative to your annual goal, and shape your strategies accordingly.

4. Define your target audiences and approaches. What audiences do you wish to reach in your year end campaigns and how should you differentiate your approaches in terms of media and messaging? You may, for instance, communicate one way with low dollar members, another way with high dollar contributors, and an entirely different way with prospective donors.

5. Book your vendors. For agencies, copywriters, designers, mail houses, telemarketing firms and other service providers specializing in fundraising, the fall is like tax season for accountants. Everyone gets incredibly busy. Some don’t even take new clients after Labor Day. Avoid coming up shorthanded in your year end campaigns and book your key vendors early.

6. Develop a contingency plan. If, like most organizations, your year end fundraising revenue makes up a significant portion of your annual goal, you should have a backup plan of action in the event your year end campaigns don’t perform according to plan. This is another reason to start early on your campaigns. For instance, if you don’t launch your year end campaign until the second week in December because you fell behind schedule, then if your campaign is anything less than you expected, you have no time to address it before the end of the year.

7. Read up and reflect. Take time to think about what’s going on in the world – from serious news to pop culture – and think about what may be on your donors’ minds. Unemployment is 9.6%. The Dow fell below 10,000 again this summer. BP spewed oil into the Gulf for 87 days. And a flight attendant stormed off the job earlier this week and Americans mentally high fived him. Think about the significant threads of culture and current events shaping your donors’ perspectives, and how you might shape your year end campaigns accordingly.

So get started today and you’ll be in great shape for your year end campaigns. One last Bonus Tip: to really drive home the three-month lead time rule of thumb for your campaigns, keep a “Donor Time” Calendar set three months ahead within daily view of your workspace. Your Donor Time Calendar will serve as a daily reminder of what campaigns you should be developing today, to reach your donors three months from now.

How are you planning for your year end fundraising success today? We want to know! Post your tips and ideas here.

By , 08/12/10 • Posted in Development Planning • Tags:



4

Aug

Make New Friends But Keep the Old


If you’ve ever been a Girl Scout, you probably have this campfire song permanently imprinted on your brain. I think about this song a lot as we encounter and test new membership development strategies with what seems to be increasing speed and frequency. As Tony Elischer pointed out at last week’s Bridge Conference, we can easily get so caught up in seeking the next big thing in fundraising that we take for granted – or even dismiss – the tried and true techniques that our programs were built on.

Blackbaud‘s newly released Index of Online Giving neatly affirms the old Girl Scout adage. In its survey of over 1,400 nonprofits of all sizes, it showed online giving to be the fastest growing segment of charitable giving. Small and mid-sized organizations in particular, are finding online giving to be an attractively cost effective channel, and a preferred method of giving among younger donors, while organizations focused on major gift fundraising are enhancing online fundraising efforts in support of their annual funds.

Blackbaud Index for Online Giving

At the same time, Blackbaud reported that online gifts to the organizations in the study accounted for just 5.7% of overall fundraising revenue. In fact, Target Analytics‘ last report on national fundraising performance released last year showed that the overwhelming majority of charitable contributions are still made via direct mail: 77% as of Fall 2008.

As we continually refine and update our programs to keep pace with our donor’s preferences, we would all be well served to keep in mind our old direct response friends that, while perhaps no longer shiny, are as golden as ever. They’re also more than willing to get to know, and work with, our new friends.

By , 08/04/10 • Posted in Direct Response Fundraising • Tags: , , , ,



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