Archive for June, 2008

Together - You can make it happen!

Monday, June 30th, 2008

Last week was one of “firsts!”  I began working with a new client which required traveling to the mid-west …

 

1-            The outbound flight was on time

2-            The return flight was on time

3-            My Garmin got me to all my destinations (no Mapquest!)

 

But most importantly, I met with a group of folks who didn’t spend the two days telling me why they couldn’t make changes to their current fundraising plans … or that they’ve “been there  - done that” … but rather, they felt that by working together they could make them happen!

 

Please don’t get me wrong … I have worked for, and with, some wonderful organizations over the years … but I have to say this is the first time I have EVER worked with a group that, from the moment meetings began until the moment the meetings ended and I never heard anyone say “we can’t …”.

 

They all said “WE CAN!” 

 

Yes … they know there is no utopia when it comes to a work environment … but what they understand is that in order to be successful, all departments have to work together to achieve their goals!

 

What is their secret?

 

n  Collaboration

n  More than good will

n  A shared measurement (Win-Win)

n  A joint commitment

 

Just a little something to think about as you look back over the first 6 months of this calendar year … evaluating where you are and where you need to be by December 31st. 

 

Organizations that will succeed in this tough fundraising environment are gonna need a whole lot of lovin’ … or just some good old fashion collaboration and joint commitment!

 

Another first for those of you that are interested in how focus groups play a role in on-going engagement … according to the Washington Post … there is a program tonight at 8 pm on C-SPAN … yes C-SPAN where pollsters take a focus group through there paces, allowing viewers to gain an deeper insight into how emotions play a huge factor in our decision making processes.   Yeah this is about looking at factors determining how we vote … but there are similar lessons for how we give.   

 

Regards,

 

Sue

Still the Most Generous Country in the World!

Tuesday, June 24th, 2008

Americans donated a staggering $306 billion to nonprofits in 2007, despite the continuing mortgage crisis, increasing inflation and soaring gas prices.  The majority of gifts, $229 billion came from individuals, according to the latest report from the Giving USA Foundation.

Yet despite this outpouring of generosity … many in the industry are cautiously optimistic for 2008 … as well they should be … with more nonprofits competing for every donated dollar … need for more services … along with attention to issues and programs being usurped by the upcoming presidential election. 

Philip Rucker of the Washington Post looks at how endowments are making up the shortfall for some organizations … and how increased demand is stretching others to the limit. 

Where does your organization fall?  Many nonprofits are already seeing the economy impact their gifts during the first half of 2008 … and are looking to make changes to their development plans. 

One word of caution … simply reducing expenditures such as cutting a mailing will certainly save you the some money … but make sure you reduce your anticipated revenue.  There are simply no easy answers. 

Sue

Online Proves It’s Worth Again!

Monday, June 23rd, 2008

The Sunday morning talk shows were all a buzz with the latest news (more a tempest in a teacup if truth were told) about Obama opting out of public financing. 

Seems because he and his team have done the unconscionable … raising hundreds of millions of dollars online from 1.5 million small donors … and built a pool of supporters some are crying FOUL! 

Okay I must be missing something … small donors not big money interest is the reason he is saying no to public funds … these are actually people who felt moved to make a contribution and because his team has not only built a large network of supporters but continues to cultivate and steward these gifts … they can anticipate even more contributions and likely a growing online constituent file.  Wow … that sounds like online fundraising 101 to me … just super-sized!

The comments are similar to those I heard during the major disasters of 2005 … that a few nonprofits were taking all the donations … inferring that these organizations should not be so effective with online fundraising.  Right … I mean who wants to be successful?

My answer then as it is now … a well thought out campaign plan using good basic fundraising principals and acting rather then reacting will win out every time.   If systems had not been put into place … if strategies had not been incorporated … if a constant testing of new ideas and techniques had not been built into a plan … then no I don’t imagine that either the 2005 disasters or the 2008 elections would see this unprecedented flow of monies through online.

Okay … let’s not forget traditional “Media” and the role it plays.  Presidential campaigns are well thought out media blitz’s … cultivating reporters and stories … yet ready to take advantage of every opportunity. 

No matter which side of the political spectrum you fall … if you really want to see an effective online campaign … then I suggest sign up … the Obama team follows what we have been promoting for years in online …

First you acquire … build a relationship … and then ask.  Unlike mail … where you acquire with an ask and then build a relationship. 

According to Jim Margolis, Obama’s media advisor, in a recent Washington Post Article “We live in a different world then we in lived in before.  The campaign is only possible because of the Internet.”

I think that pretty much says it all!

Regards,

Sue

The Survey Says …

Thursday, June 19th, 2008

Yes it’s that time again … reporting on the latest DonorPulse Survey results conducted by Harris Interactive in early 2008.  It has been just over 6 months since the last reported survey from May 2007 and little has changed according to the results of the 2,275 of polled adults 18+ who have volunteered, donated or advocated during the past 12 months.   The survey’s key findings include:

1-  A desire for increased engagement, but many not able to fulfill due to lack of time and money

2-  Social media is increasingly important, especially among younger supporters

3-  Word of mouth is a powerful tool

4-  Rate of volunteering and donating have remained steady over time

I think we can all agree that most folks would like to do more for their favorite nonprofit … and that there are many more younger people involved in social media then their elders … the jury is still out for the next 6 months on whether we will continue to see the same level of donating as we have in the past … this survey was conducted before the $4.00+ gas hike and continuing bad economic reports about the housing market.  Oh yeah … and a historical presidential election!

Instead I would like to focus on “Word of Mouth is a Powerful Tool!”  

When asked “Have you ever recommended a nonprofit or charitable organization?”  61% of those polled said yes.   And yet, when you look at the the breakdown of the survey’s catalysts for engagement … only 1% of those polled said that word of mouth prompted them to donate.  Gee am I the only one who thinks this is a bit of a contradiction?

So what does prompt those surveyed to give?  Personal connection to an issue is still ranked #1, Good reputation #2, National disaster #3, and Benefits and events #4.  So no change there.  Additionally, 35% still choose direct mail as the clear preferred method of communication, 18% searching an organization’s website, 14% friends, 12% family and 10% email from an organization.

When asked which method they would prefer to make a donation … what they desired and how they last gave varies from 4% to 12%.   In other words what we say and what we do may not necessarily be the same!  For example 33% said they preferred to give in person … yet 45% said this was their last method used.  41% said they preferred direct mail … but only 36% shared this was the last method they used.   Online was the closest in reporting with 17% preferring to give online and 13% stating this was the last method used.  Not forgetting the telemarketing folks … 2% said this was their last method of giving. 

So what does all this tell us?

Okay … when we feel a strong connection to an issue we have no problem sharing our philanthropy with friends and family … thus the growing success of events, face to face and major gifts.

Mail is still extremely viable as a fundraising method as is online.  I mean would you want to give up either?  We have to continue making it as easy as possible for a donor to give.  Whether it be in the mail, on the phone or online, face to face, or participating in events … the donor is who counts!  Without them … we simply wouldn’t be able to provide programs for those who need them most. 

Regards,

Sue

 

Using Offline to Build Your Online Files!

Tuesday, June 17th, 2008

Don’t you just hate it when a blog simply sends you to another blog for a story because …

a.     The blogger couldn’t think of anything

b.     There is nothing new and exciting to write about or

c.     It’s almost summer and we would all rather be at the beach!

However in this case when I read the blog from the DMANF’s Integrator … I felt that the ideas and tips written by the team at Network for Good were more then worth passing along!  Enjoy and I will be back tomorrow with the latest from the DonorPulse Survey!

Regards,

Sue

Social Networks and Search Engines Can Get You Noticed!

Monday, June 16th, 2008

Today it is extremely easy to get your message and your brand out to millions of people by simply using Social Networks and Search. 

It has been reported that In January 08 Google performed 5.9 billion searches and Yahoo 2.1 billion.  (Okay you caught me … I went on and searched these stats!)  We also know from recent articles in both nonprofit and commercial publications that Social Networks are viewed by tens of millions of users. 

So doesn’t it make sense to utilize all of the available resources to push your message and your mission?  Two colleagues have just written an article about this very thing that appeared in PR News - Don’t Compete with YouTube!  

I hope you will take a moment to read their insights and suggestions for maximizing your digital marketing options!

Regards,

Sue

Investment in Online Fundraising Still Pays Off

Thursday, June 12th, 2008

Many nonprofits are facing a real challenge when it comes to determining how much resource and investment should be directed to various fundraising vehicles and strategies in order to meet their revenue goals.  Should they …

1- Hire more major gift folks?

2- Spend more on acquisition in the mail or online?

3- Buy a Magic 8-Ball?

In a recent survey of 111 nonprofits conducted by the Chronicle of Philanthropy … it was found that online donations still make up a very small portion of most organizations’ revenue— less than 1 percent in 2007 (pretty much the same as 2006) — never the less online is becoming an increasingly important fundraising tool.  Donations to the individual groups grew by a median of 42 percent last year. 

What does all this mean for nonprofits?   It shows that even though some organizations are seeing a decline in online gifts a greater number are seeing an increase.  

Online never claimed to be a solution to all fundraising challenges.  What it does provide is a tool that allows constituents to donate, receive communications and updates in a way that is most conducive to their lifestyles.  Do they bank … get their news … communicate with friends and family online?   Then this is most likely a medium they feel very comfortable using … just look at the recent amount of dollars raised in this year’s presidential campaign  and the hundreds of millions of dollars already raised online. 

Organizations that are Investing not just in the tool … but a strategy are finding it enhances their overall fundraising program by providing donors another option.  And, isn’t that what is important in the end … communicating with donors in their preferred method? 

Have a great weekend!

Sue

Stay the Course - Fundraising Lessons from 9/11!

Thursday, June 12th, 2008

In June of each year the DMA NonProfit Federation holds a fantastic and insightful Leadership Summit.  Sadly this year I was not able to make it … but thanks to a great friend and colleague, Heather Maylander of Lake Group Media, Inc. … I am able to share some of the insights of the conference from some of the top nonprofit practitioners in the business! 

 

In tough economic times, the advice is simple: stay the course. 

 

There’s no better way to ensure that your organization will emerge healthy and poised for renewed growth when the tough economic times are over.  A sentiment that Mal Warwick has expounded on really resonated with the attendees.  Many are reporting to the board not to change plans based on sluggish response (less donors) because it will have a horrible impact on planned giving programs.  So mailers are looking for cheaper packages, new target audiences, experimenting with new mediums, still testing but conservatively and more emphasis on monthly giving programs. Most mailers said they either had or were working on crisis plans and you need to pull out your play book from 9/11 and/or the last recession and prepare accordingly. 

 

“Fundraising in a recession is like a roller coaster ride – the only ones that get off early, get hurt!”

 

 

Concerns:

  • New donors are being bombarded so they may choose to give to 2 versus a few or stay with the ones they have been consistently giving to already
  • Response is continuing to decline. At Lake Group Media we are recommending that clients reduce response projections by 5-8% and average gift projections reduce 3-5% for Fall campaigns due to the economy and election mail glut.
  • Youth don’t give

Opportunities:

  • Alternative Media – Newspaper inserts and on page ads are showing success for fundraisers
  • DRTV – prices are dropping as clients pull out so more remnant space available
  • Review processing fees and convert credit card use by donors to EFT so you are paying pennies instead of 3-5% to the credit card companies
  • Youth – they are looking on sites to see what fundraisers are visible – so if you start building relationships now then they will be your donors in the future – Branding is key and speaking to them in their medium (social networks, texting)
  • Integration among channels for maximum impact is more important now then ever

Fundraising Success Magazine’s Melissa Busch, shares more Conference Roundup information from “Learning from the Corporate World” to “Getting Buy-In from the Top”.  I am certain you will find the concepts and ideas as thought provoking as I did. 

 

Regards,

 

Sue

Back From the Road!

Wednesday, June 11th, 2008

My husband and I decided to celebrate the $4.00+ gas hike by taking our first LONG road trip in 10 years!  Now we are back and I have just been going through all my emails.  Three items really popped out …

1-  Blackbaud to Buy Kintera;

2-  Senator Grassley after the Red Cross for their latest disaster fundraising efforts; and

3-  Almost all enewsletters and nonprofit blogs discussing the impact of social networks.

I will leave the first two for you to ponder … but I can’t resist putting my two cents worth in about Social Networking. 

As I shared in an earlier blog “Social Media - It’s not Just for Fundraising!”

This is one of those areas that we don’t have all the facts and figures yet … but what we have become acutely aware of is that in order to do well in this customized communication age … you have to go where people are engaged … sharing with each other and spending time!  

That is what makes Social Networks such a great … and cost effective marketing resource for organizations.  You can build brand awareness … react quickly to media reports, and share your successes and the lives you touch to a broader audience and in turn they will share your story. 

True only 22% of users are over the age of 40 … but another 26% say they may use social networks in the future.  But isn’t the whole idea of trying to begin engaging a younger demo graphic … build awareness … along with empowering and engaging people who have an interest in your cause? 

Regards,

Sue