group fundraising: how does it work and what's out there?
DESCRIPTION
Change.org founder Ben Rattray's presentation at the 2008 Nonprofit Technology ConferenceTRANSCRIPT
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What is Peer-to-Peer Fundraising?
Vs.
Peer-to-Peer FundraisingTraditional Fundraising
Nonprofit
Potential Donors
Nonprofit
Donors
ImpersonalOne-wayExpensive
PersonalInteractiveInexpensive
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History of Peer-to-Peer Fundraising
Has always been aroundHouse partiesWalk-a-thonsCanvassing
But, limited useNot easy to collect moneyDifficulty asking people in personNo ongoing communication
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What’s Different Now?
Anyone can start a campaign
Easy to invite friends, rapidly spread the message, and collect money
Create a community
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Why is Peer-to-Peer Fundraising Powerful?
The power of personal connections
Magnified impact
Social recognition
Result: better engagement & giving experience
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Tools for Peer-to-Peer Fundraising
(1) Fundraising Pages
(2) Fundraising Widgets
(3) Leveraged Communications
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Tools: Fundraising Pages
Serves as a personal webpage/donation pagePhoto / message / goal / list of donors and comments
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Tools: Widgets
Effectively a mini fundraising page Can be put anywhere on the web87 million people have used a widget online
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Tools: Leveraged Communications
(i) Email (ii) Blogs (iii) Social Networks
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Sources for Fundraising Tools
Exclusively for Fundraising
Social Networking & Fundraising
New Giving Channels
Traditional Providers
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Examples of Successful Campaigns
Robin Maxwell Raised $18,000 from 1078 donorsReceived $10,000 matching donationBeneficiary: local MS Chapter
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Examples of Successful Campaigns
Beth Kanter & Michele MartinRaised $41,000 from 1,650 donorsReceived matching grant of $50,000Beneficiary: Sharing Foundation
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Examples of Successful Campaigns
Amy Eldridge, Love Without BoundariesRaised $94,000 from 4,115 donorsReceived matching grant of $50,00040 volunteers
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What Can I Expect?
Most campaigns don’t work this wayNetwork for Good: 20 people raised 30% of funds
Dol
lars
Rai
sed
People0
$0
1000
$50k
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An Interlude on ViralityThis is Viral:
The average new member recruits > 1 additional member
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An Interlude on ViralityThis is NOT Viral:
Exponential increase vs. Exponential decay
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Keys to a Successful Campaign
1. The Messenger
2. Compelling story
3. Photo or video
4. Catalyzing event
5. Specific ask
6. Blog support
7. Passion
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Do Organizations Have a Role?
Is extra-organizational fundraising superior?
Driven by compelling examples of money raised
But, these are (1) hard to replicate en mass, and (2) oftentimes helped by the organization
Nonprofit
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Presidential Campaigns
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What Can Organizations Do?
(1) Ask people to fundraise for youAdd a “fundraise now” button on your website
Create a fun/compelling campaign
(2) Communicate with and thank fundraisersSend personal thank-you notes
Give public recognition
Create a newsletter just for fundraisers
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The Future of Peer-to-Peer Fundraising
Will this be transformative or marginal?
Needs to be deeply integrated into nonprofit strategy
What will it take? Improved tools or improved practices?
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The Past vs. The Future
Vs.
Networked ModelCurrent Model
Nonprofit
Nonprofit
