donor first: building loyalty and engagement

Donor First: Building Constituent Loyalty and Engagement

Jann SchultzDirector of Donor Relations Operation [email protected]+1 757.321.7645+1 757.593.6560

Twitter: @jannschultzLinkedIn: Jann Schultz

Donor First: Building Constituent Loyalty and EngagementDonor First: Building Constituent Loyalty and Engagement

© 2009 Blackbaud, Inc.

Today’s financial news…

• Uncertain economy• Reduced results• Anxious board

members• Demanding donors



What are you doing to differentiate your organization from the rest of the pack?

• 21st Century Donor can be defined as a consumer

• Approximately 1.4 million registered non-profits in the US



• Founded in 1982• Served more than

130,000 children & young adults

• Free surgery provided by volunteer medical teams around the world



Growth of Direct Response Programs

TVAcquisition

Begins



Organizational Challenges

• Culture focused on delivery of mission – transforming children’s lives

• Poor retention of donors • Lack of process & procedure that was

donor-centric• Donor Relations Team considered a cost

center - non-revenue generating • Lack of trained staff for implementation of

sales & service “best practices”



Donor Loyalty and EngagementProgram

• Multi-layered project– Several phases

• Strategy

• Enhanced process & procedures

• Implementation

• Success Metrics



To serve the donor with the same exceptional care that Operation Smile provides to children and their families

around the world.

Operation Smile Donor First Philosophy



ASSESSMENT

• Internal Review– Donor Database– Donor Relations Team – Process & Workflows– Development Team Procedures

• Review of Third Party Vendors– Direct Mail Provider– Gift Processing– Direct Response TV Call Center



Common Denominator?

Donor Database

• Under utilized

• Information silos

Result:

• Database Quality Initiative



Established a full service

Donor Relations Team

Purpose– To effectively nurture and efficiently build

long lasting relationships with our constituents who financially support, volunteer and advocate for Operation Smile.



Process and Procedure

• Document all work flows– Donor touch points

• Establish standard procedures– Donor Lead Strategy– Donor Thank You Strategy– Donor SAVES Program



Donor Relations TeamThank You Calls or Handwritten Notes

$240 - $999

Development Services TeamThank You Calls or Handwritten Notes

$1,000 - $4,999

Donor Database TeamAll donations receive Tax Receipt/Acknowledgement from Operation Smile

Office of the Co-foundersThank You Calls and/or Notes

$5,000+

v. Sept 08Operation Smile Donor Thank You Strategy

48-72 hours

1 week

1 week 1 week

1 week

2+ weeks



SAVES Strategy

• Level One – retention of donor at current level of giving– Option - provide alternate method for giving

• Level Two – retention of donor at reduced level of giving

• Level Three – retention of donor as a fundraiser– Option – grassroots fundraising on behalf of OS

• Level Four – retention of donor as a supporter– Option – raise awareness, hold collections,

volunteer

Operation Smile SAVES Strategy



Vendor Partners

• Direct Response Marketing Agency– All programs coordinated by a single

source for consistency of donor experience

• Gift Processing– Enhanced data quality and donor

experience

• DRTV Call Center– Personal delivery of “Donor First” training



Implementation

• Education & Training– Donor First Philosophy Training– Seven Faces of Philanthropy– Donor Spotlight Series– HQ Theme Weeks

• Presentations, E-Mail Communications, Posters & Bulletin Boards

– Professional Book Clubs– Stewardship Summit for Development

Team

Full integration of our direct response initiatives



Was it worth the effort?

• Improved efficiency & response– Same Day Bank Deposits– 86% Improvement in Problem Solving

Response Time– 80% Improvement in Time to Acknowledge– 4% DM Revenue from Second Ask

Acknowledgement Program

• Reduction in Donor Concerns



Measures of Success

• Common Language– “Is that best for the donor?”

• SAVES Program– 1000+ Smile Partners– $250,000+ annual donations

• Improved Relationships



DISCUSSION

• Are you feeling the effects of the economy on your fundraising programs?

• Do you believe retaining donors is cost effective for your organization?

• What strategies are you currently implementing to engage and retain donors?

• What will you do differently, based on what you heard today?



KEY TAKEAWAYSDonor First: Building Constituent Loyalty and Engagement



Key Takeaways

• Define exceptional customer service expectations and implement across your organization– Donor First Program

• Establish a team focused on building relationships and retaining donors– Provide them with the tools and training they

need• Insure you have vendors who partner with

you to provide exceptional service to donors



Key Takeaways

• Properly thank your donors – and listen to what they have to say when you call!

• Train your staff to retain donors – offering alternatives for donors to remain engaged with your organization

• Allow for flexibility within your direct response fundraising program so donors can choose the response method that suits them best



Why? Help more children…



Operation Smile Partners

• Blackbaud– Donor Database - The Raiser’s Edge– Target Analytics

• Russ Reid Company– Direct Response Marketing Agency

• Merkle Response Services– Gift Processing– Online Image Viewing– Acknowledgements



Sources

• Winning on Service in an Uncertain Economy, Carlson Marketing Worldwide, 2008

• Accelerate Your Customer-Centric Journey: Four Best Practices, CustomerThink Corp. 2008

• Accenture Survey, July-August 2008– http://www.directmag.com/crm/poor-service-n

ot-price-survey-1999• Non-Profit Sector in Brief, May 2008

– Urban Institute and National Center for Charitable Statistics

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