key principles for fundraising...

Key Principles for Fundraising Success

October 23, 2014 Judi Urquhart

The Good News

Page 2 Source: Target Analytics, Q2 2014 donorCentrics Index

A Couple of Fundamental Things…

• There are only two ways to raise money

– Get new donors

– Get existing donors to give more frequently and/or at higher amounts.

• To get the gift, you have to ask for the gift. If you don’t ask, someone else will!

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Laying the Groundwork: Build Your Team

Director of Development

Database/IT Manager

Major Gifts Officer

On-line Manager

Donor Support

Specialist

• Overall Strategy and Management of your fundraising activities

• Implementation as needed

• Personal Cultivation & Solicitation of Majors

• Corporate & Foundation Giving

• Gift Entry • Data Hygiene • File Pulls • Reporting • Acknowledgments

• Support to DOD • Program

Implementation • Donor Support

• Overall Online Support

• Web Updates • E-blasts • Social

Networking

Laying the Groundwork: Build Your Team

Director of Development

Database/Online Manager

(Asst. Director)

• Overall Strategy and Management of your fundraising activities

• Program Implementation • Personal Cultivation &

Solicitation of Majors • Corporate & Foundation

Grants

• Gift Entry • Data Hygiene • File Pulls

• Reporting

• Gift Acknowledgments

• Overall Online Support

• Web Updates

• E-blasts

• Social Networking

Development Team Lite

Laying the Groundwork: Build Your Team

To agency or not to agency • Copywriting

• E-mail blasts

• Creative design (mail and e-mail)

• Prospect List acquisition

• Grant writing

What to ask yourself? • Do I have the internal expertise to accomplish this?

• Do I have the time to accomplish this?

• Can I afford to hire an outside agency?

• Can I afford not to hire an outside agency?

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Laying the Groundwork: Donor Database

• Name, Address, E-mail and Phone

• Ability to store every gift transaction

– Gift Amount, Gift Date, Gift Source

• Other Key Information

– Gender, Age, Wealth Profile

– Other Touchpoints: adoption, clinic, volunteer, purchases, etc.

• Keep all your data together. Your donors expect you to know everything about them, so your database should reflect a holistic view of

involvement.

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Laying the Groundwork: Donor Database

• Basic Functionality

– Gift/Data Entry

– Mail File Pulls Based on your criteria

– Reporting

• Data Hygiene

– De-dupe records

– Address Updates to ensure deliverability and postal compliance.

Laying the Groundwork: Donor Database

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• Raisers Edge (www.blackbaud.com/raisersedge)

• Donor Perfect (www.donorperfect.com)

• Giftworks (www.giftworksconnect.com)

• Donor Express (www.donorexpress.com)

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Laying the Groundwork: Know Your Donors

• What is your donor profile?

– Who are they?

– How were they acquired?

– Do they give frequently or have they only given once?

– What motivates them to give… or not?

– To answer these and other questions, it might be worth it to invest in an analysis of your donor file in order to understand your key performance indicators?

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Laying the Groundwork: Know Your Donors

Donor Inventory by Recency-Gift Level (based on last gift)

Gift Level/Recency 0-6M 7-12M 13-18M 19-24M 25-36M 37-48M 49-60M 61+M Grand Total

$.01-$14.99 805 247 255 130 272 265 271 631 1,904

$15-$19.99 388 150 166 103 210 162 191 446 988

$20-$24.99 497 180 181 75 165 164 163 383 1,217

$25-$49.99 1,419 512 434 321 527 401 422 974 3,482

$50-$74.99 664 241 259 107 232 177 162 358 1,518

$75-$99.99 74 26 25 11 21 16 26 44 149

$100-$249.99 546 180 194 79 183 123 140 311 1,118

$250-$499.99 90 30 45 19 62 34 47 97 205

$500-$749.99 49 10 12 14 18 17 20 48 92

$750-$999.99 2 1 2 4 6 4 9 14 8

$1,000-$4999.99 37 6 10 4 19 13 10 32 66

$5,000+ 3 2 1 5

Grand Total 4,574 1,583 1,585 867 1,716 1,376 1,461 3,338 16,500

Total Active --> 10,325 Total Lapsed --> 6,175

Laying the Groundwork: Know Your Donors

Audience Strategy Channels

Lapsed Donors Recapture Mail, E-mail, Telemarketing

Multi Year Donors Monthly Giving Ask Mail, E-mail, Telemarketing

Major Donor Prospects Join Major Donor Club Mail, Personal Asks

Major Donors Hi Level Asks Mail, Personal Asks

Gift Level/Recency 0-6M 7-12M 13-18M 19-24M 25-36M 37-48M 49-60M 61+M Grand Total

$.01-$14.99 805 247 255 130 272 265 271 631 1,904

$15-$19.99 388 150 166 103 210 162 191 446 988

$20-$24.99 497 180 181 75 165 164 163 383 1,217

$25-$49.99 1,419 512 434 321 527 401 422 974 3,482

$50-$74.99 664 241 259 107 232 177 162 358 1,518

$75-$99.99 74 26 25 11 21 16 26 44 149

$100-$249.99 546 180 194 79 183 123 140 311 1,118

$250-$499.99 90 30 45 19 62 34 47 97 205

$500-$749.99 49 10 12 14 18 17 20 48 92

$750-$999.99 2 1 2 4 6 4 9 14 8

$1,000-$4999.99 37 6 10 4 19 13 10 32 66

$5,000+ 3 2 1 5

Grand Total 4,574 1,583 1,585 867 1,716 1,376 1,461 3,338 16,500

Total Active --> 10,325 Total Lapsed --> 6,175

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Annual Fundraising Plan

• Start developing your plan 5 months before your fiscal year starts.

• Complete it 3 months prior so you can start implementing

• Include the following channels along with projected income for each:

– Direct Mail

– E-Fundraising

– Special Events

– Grant Funding

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Fundraising Plan: Direct Mail

• Direct Mail:

– Key Variables:

• # of Donors & Donor Segments

• # of Prospects

• # of Mailings

• Cost per Mailing

• Expected Response Per Mailing (# of Gifts)

• Average Gift

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Fundraising Plan: Direct Mail

• Typical Annual Direct Mail Plan

– 4 to 6 Direct Mail Appeals (every 2nd or 3rd month)

– 1 to 3 Prospect Appeals

– Helpful to change the theme and look of the appeals throughout the year in order to resonate with as many of your donors as possible:

• Membership/Supporter

• Premium-Based

• Seasonal Themes

• Year End/Holiday

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Fundraising Plan: Direct Mail

Typical Annual Direct Mail Budget

PROJ. PROJ.

MAIL PROJ. PRINT TOTAL PROJ. # OF GROSS NET

CAMPAIGN DATE QTY. PROD. POSTAGE EXPENSE RR% GIFTS AVG. GIFT INCOME INCOME

Spring Acquisition 5/12/2014 10,000 $3,900 $1,400 $5,300 1.50% 150 $30.00 $4,500 ($800)Fall Acquisition 9/8/2014 10,000 $3,960 $1,400 $5,360 1.50% 150 $30.00 $4,500 ($860)ACQUISITION TOTALS 20,000 $7,860 $2,800 $10,660 1.50% 300 $30.00 $9,000 ($1,660)

Membership Appeal 1/6/2014 11,400 $5,700 $1,596 $7,296 9.00% 1,026 $50.00 $51,300 $44,004

Testimonial Appeal 3/24/2014 8,100 $4,050 $1,134 $5,184 6.00% 486 $40.00 $19,440 $14,256

Multi Premium Appeal 5/12/2014 11,400 $5,700 $1,596 $7,296 8.00% 912 $40.00 $36,480 $29,184

Summer Fund Package 7/7/2014 8,300 $3,984 $1,162 $5,146 7.25% 602 $40.00 $24,070 $18,924

Multi-Premium Package 9/8/2014 11,400 $5,700 $1,596 $7,296 8.00% 912 $37.50 $34,200 $26,904

Holiday Appeal 11/10/2014 11,400 $6,270 $1,596 $7,866 10.50% 1,197 $47.50 $56,858 $48,992DONOR TOTALS 62,000 $31,404 $8,680 $40,084 8.28% 5,135 $43.30 $222,348 $182,264

TOTAL 82,000 $39,264 $11,480 $50,744 6.63% 5,435 $42.57 $231,348 $180,604

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Fundraising Plan: Direct Mail

Package Format: Membership Appeal

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Fundraising Plan: Direct Mail

Package Format: Label Premiums

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Fundraising Plan: Direct Mail

Package Format: Summer Fund Appeal

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Fundraising Plan: Direct Mail

Package Format: Holiday Appeal

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Fundraising Plan: E-Appeals • E-Fundraising Plan

– Wrap-Around E-Mails (channel integration: mail and e-mail)

– # of Stand-Alone E-Appeals • specific animal story (these perform the best)

• campaign theme (i.e. protect your pet from hot cars)

• advocacy message (i.e. animal abuse legislation)

– Find the right e-communications tool • Constant Contact

• Mail Chimp

• Vertical Response

• What Counts.com

• Salsa Labs

• Exact Target

• Raisers Edge (Net Community)

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Fundraising Plan: E-Appeals

• E-Fundraising Plan

– Determine your e-metric assumptions

• Open Rates

• Click Through Rates

• Conversion to giving

Quantity Open Rate Click Through Rate Conversion Rate # of Gifts Average Gift Projected Income

E-Mail #1 50,000 20.00% 15.00% 12.00% 180 $35.00 $6,300.00

E-Mail #2 50,000 20.00% 15.00% 12.00% 180 $35.00 $6,300.00

E-Mail #3 50,000 20.00% 15.00% 12.00% 180 $35.00 $6,300.00

E-Mail #4 50,000 20.00% 15.00% 12.00% 180 $35.00 $6,300.00

E-Mail #5 50,000 20.00% 15.00% 12.00% 180 $35.00 $6,300.00

E-Mail #6 50,000 20.00% 15.00% 12.00% 180 $35.00 $6,300.00

Annual E-Solicitation Revenue $37,800.00

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Fundraising Plan: E-Appeals

• Ways to build your e-mail file

– Prominent e-registration button that promises ongoing communication

– Ask people for their e-mail (adopters, event attendees, etc.)

– Hi-jack pages with a call to action that requires e-mail

– Downloadable information that requires e-mail, name and address

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Fundraising Plan: E-Appeals

Prominent E-Registration Buttons

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Fundraising Plan: E-Appeals

Hi-Jack Packages

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Fundraising Plan: E-Appeals

Downloadable Content

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Fundraising Plan: E-Appeals

Watch Your Mailbox PRE-mail Direct Mail Appeal

WRAP AROUND E-MAIL SAMPLE

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Fundraising Plan: E-Appeals

Direct Mail Appeal Reminder E-mail

WRAP AROUND E-MAIL SAMPLE-Reminder

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Fundraising Plan: E-Appeals

STAND-ALONE E-MAIL SAMPLE – Animal Story

Key Components • Impactful Photo • Prominent Donate Button • Call to Action with specific

ask amount

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Fundraising Plan: E-Appeals

STAND-ALONE E-MAIL SAMPLE: Targeted Campaign

Key Components • Defined Campaign Theme • Limited text encourages click

through to learn more. • Prominent Donate Buttons • Call to Action – Join the

Movement

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Fundraising Plan: E-Appeals

STAND-ALONE E-MAIL SAMPLE: Advocacy

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Integrated Mail and E-Mail Schedule

Creative Concept/Package

Positioning

Stand Alone E-Mail

Date Mail Date Pre-Mail Post Email Recommended Audience Selection

Supporter Appeal 1/9/2014 1/10/2014 $1+ 0-18 Month & $10+ 19-36 Mo. Direct Mail DonorsAnimal-Specific Story 2/14/2014

Supporter Appeal Follow-up 2/20/2014 3/6/2014 Non-Responders to Above

Testimonial 3/23/2014 3/24/2014 4/14/2014 $10+, 0-24 Month DonorsAnimal-Specific Story 4/24/2014

Multi-Premium 5/14/2014 5/15/2014 6/5/2014 $1+ 0-18 Month & $10+ 19-36 Mo. Direct Mail DonorsAnimal-Specific Story 6/19/2014

Annual Fund Package 7/9/2014 7/10/2014 7/31/2014 $15+, 0-24 Month Donors

Circle of Friends 8/6/2014 8/7/2014 8/28/2014 ALL $75+ Donors in the last 36 monthsAnimal-Specific Story 8/21/2014

Label Appeal 9/7/2014 9/8/2014 9/29/2014 $1+ 0-18 Month & $10+ 19-36 Mo. Direct Mail DonorsAnimal-Specific Story 10/23/2014

Holiday Greeting Card Package 11/5/2014 11/6/2014 11/27/2014 $1+ 0-36 Month Direct Mail Donors

Year End Mail Appeal 12/3/2014 12/4/2014 12/25/2014 ALL $75+ Donors in the last 36 monthsYear End Appeal 12/27/2014

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Fundraising Plan: Special Events

• Special Events

– Event attendees often have a different motivation than mail/e-mail donors

– If they don’t have an affinity toward your organization, they may instead have an affinity toward:

• An activity: walk/run; party

• A person: the walker/runner who is a supporter

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Fundraising Plan: Special Events

Sponsorship Event Ticket Sales/Auction

Description: Run/Walk for Animals Gala/Ball

Objective: Maximize participants and their sponsors

Maximize Attendees and Auction Gifts

Income Projections: Participants & Average Sponsorship per Participant

Ticket Sales & Auction Purchases

Implementation Steps

• Determine your audience (prospects and donors)

• Pick an event date

• Map out event implementation timeline & communications plan

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Fundraising Plan: Special Events

• Peer-to-Peer Fundraising (Donor get a Donor)

– Harnessing the power of your supporters to raise money.

– Encourage your donors to get supporters to sponsor them in the event

– Tool Kit could include:

• Sample Fundraising Letters/E-mails

• Sample Fundraising Page with financial goal

• First Giving (www.firstgiving.com)is good online tool to support your efforts

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Fundraising Plan: Special Events

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Fundraising Plan: Corporate/Foundation

• Pursue grants from corporations & foundations

– Research funding opportunities that map to the mission of your organization

– Determine timeline of funding

– Obtain their Request for Proposal

– Submit proposals

– Hope they say ‘Yes’

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Fundraising Plan: Corporate/Foundation

• Some potential funders in the animal welfare space – A Kinder World Foundation

– Banfield

– DJ&T Foundation

– Walmart Foundation

– Margaret A. Cargill Foundation

– Bank of America

– PETCO

– Purina

– PetSmart Charities

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Fundraising Plan: Corporate/Foundation

Funder Due Date Amount Program Contact Information

Funder #1 1/31/2015 $7,500 Gen’l Support

Funder #2

4/15/2015 $2,500 Spay/Neuter

Funder #3

6/30/2015 $10,000 Feral Cats

Funder #4

10/31/2015 $4,000 Gen’l Support

TOTAL $24,000

• Build a database of target funders

Other Fundraising Options

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• Crowdfunding – Funding a project or campaign by raising online

donations using a tool like Go Fund Me, IndieGoGo, RocketHub or Crowdrise

– Allows your organization to set up a very targeted campaign to donors and prospects to raise money for a specific need (i.e. animal in need of extraordinary medical services).

– Promotion of crowdfunded campaigns can occur through e-blast, Facebook post, Twitter feed or through the crowdfunder’s site traffic.

Other Fundraising Options

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Other fundraising options

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• Vehicle Donations

– Allows individuals to donate proceeds from the sale of their donated car to your organization

– Generate additional income while providing a tax break for your donors

– Third Party Vendor Options

• Auto-Donation.com

• Charitable Auto Resources (www.careasy.com)

– Average Net Return = $350

Other fundraising options

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• Electronics Recycling

– encourage supporters to donate their used electronics (digital cameras, phones, I-Pods, PDAs, print cartridges etc.)

– Third party acts as the intermediary for collecting the used items and sells them for either parts recycling or resale

– Your organization earns cash

– www.fundingfactory.com

Thank you!

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