Fundraising Best Prac0ces for 2012 and Beyond
Is The Check Still In The Mail?
Chip Grizzard September, 2012 Join the Conversa.on on Twi1er!
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[email protected] @chipgrizzard 678.427.9716 www.grizzard.com
Chip Grizzard CEO
[email protected] @chipgrizzard 678.427.9716 www.grizzard.com
• Partnerships with more than 1,400 nonprofits in North America
• Raised $4 billion • 200 associates na0onwide • We help clients improve results by building passionate and loyal donors. We do that through beWer messaging, digital integra0on, and mul0-‐channel fundraising strategies
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Grizzard Communications Group
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$-‐
$50
$100
$150
$200
$250
$300
$350
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Offline Revenue Trend
0
5
10
15
20
25
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Online Revenue Trend
In billions
In billions
What Does the Future Hold?
Nega0ve Trends
• Response rates are declining
• Compe00on is increasing
• Costs are increasing • Donor confidence is eroding
• Acquisi0on of new donors gets harder and more expensive
Posi0ve Trends
• More people in the giving age groups
• They have more money
• Overall consumer confidence is high
• Total giving is up • Average gibs are up
“There's just not that many videos I want to watch.” Steve Chen, Co-‐Founder YouTube
“Apple is dead.” Nathan Myhrvold, former CTO of Microsob
Neglix vs. Blockbuster (2004 -‐2010)
$4 Billion
$6 Billion
$2 Billion
$0
2004 2005 2006 2007 2008 2009 2010
$2.2 Billion
bankrupt
CHANGING LANDSCAPE
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Characteris0cs of Boomers • They want control over what their giving does
• They give larger amounts less frequently and to fewer chari0es
than older donors
• They are slightly less responsive to direct mail, which means we
need to get our act together online
• They cross channel lines
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Five-‐Year Overall Index New Donor Trends
Cumula0ve Rolling 12-‐Month Median Change from Q3 2006
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Mail Volumes Shi6ing to a Less Profitable Mix
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The Digital Connec0on
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Senior Donors
Boomer Donors
Funding Gap
2016
ACQUISITION
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Short Term:
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Short Term vs. Long Term Strategy
Long Term:
TRANSACTION FOCUS: point of
acquisi0on
Average Gib
Response Rate
Cost
DONOR FOCUS: life0me value
Cul0va0on Poten0al
Engagement
VS.
Actual Long Term Value
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$1,635,000 projected five year revenue from all donors acquired
5,000 donors acquired
$48.00 ini0al
average gib
$327 projected five year
revenue per donor
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Ques0ons???
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ENHANCE QUALITY OF DONOR RELATIONSHIPS
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Timeliness of Thank You’s
• 24 Hours 20% Response • 72 Hours 15% Response • 5 Days 7% Response • 7 Days 4% Response • 14 Days 1% Response
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2011 Thank You Study (Direct Mail)
• 15 gibs made on 11/24/11 • 73% sent a thank you • Fastest turnaround – 6 days • Average turnaround – 6 weeks • 3 name changes not made
2011 Thank You Study (Online)
• 10 organiza0ons supported 11/24/11 • Average clicks to donate – 4 • Most clicks to donate – 9 • Duplicate records – 4 • Emails sent since gib
4 orgs. sent no emails
1 org. sent 11 emails
Average – 3 emails
A Personal Message from Jimmy Carter
Thank You Video
Hold a Donor Conference Call
• 5,097 calls made • 823 accepted • 102 listened for en0re 25 minutes
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IMPACT:
13.4% Increase in Net Revenue over next 6 months
Thank You Calls
Are thank you calls effec0ve: • Donors will give 40% more • Reten0on increases by 20% • Average gib increases by 20%
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INTEGRATION
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32% of online donors switch channels and give offline the next year
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The Crea0ve
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Billboard
Banner Ads
Space Ad
FSI and Q-‐zip
Direct Mail
Landing Page
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Integrated Engagement Increases Loyalty
New Donor Renewal Rate
Legacy Internet Enabled
34.4%
50.9%
Legacy Internet Enabled
$96
$187
Legacy Internet Enabled
$314
$694
Donor Value 12 Months
Life0me Donor Value
+48% +95% +121%
PLANNED GIVING
The Texas Division ini0al pilot Survey was mailed in September/October 2010.
Planned Giving Survey Project
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Planned Giving Survey Project • 3,983 responses • 44 new planned gibs iden0fied -‐ $13 million • Investment -‐ $83,593
Year-‐End Strategy – What to do right now!
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20% of Online Giving in December
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Engage Website Visitors
• Keep Content Fresh • Clear call to ac0on • Prominent Donate Now BuWon
• Use images/video to tell a story
• Include address, phone and email contact informa0on
• Simple/Effec0ve Dona0on Process
• Strong Thank You Process • Op0mize for Mobile
• Improve SEO
• Mul0ple list building areas (newsleWers, alerts, pe00ons, store, etc)
LYBUNT
3,095 Donors
$400,442
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The Match
Iden0fy a Matching Gib NOW
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Video Strategy • Videos on a pace to account for half of all web
traffic by 2014.
• Video in an email can drive a 24% higher average gib.
• Include dona0on and registra0on links in video.
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SeaWle Children’s Hospital
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“They may forget what you said, but they will never forget how you made them feel."
THANK YOU!
[email protected] @chipgrizzard 678.427.9716 www.grizzard.com
Chip Grizzard CEO [email protected] @chipgrizzard 678.427.9716 www.grizzard.com
Oct. 30 Grizzard Webinar: “Turning Silver into Gold: Onboarding New Donors” Register at grizzard.com
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