upgrading your regular (monthly) donors

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  1. 1. Upgrading Your Regular Givers Unlock your value potential Fiona McPhee PROUDLY SPONSORED BY
  2. 2. Regular Giving Market Growing Value: Upgrading Growing Value: Outside of Upgrading
  3. 3. Bequest Cash Child Sponsorship Regular Gift Event Other $0 $100 M $200 M $300 M $400 M $0 $100 M $200 M $300 M $400 M 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Income Bequest Cash Child Sponsorship Regular Gift Event Other
  4. 4. Income by Year, By Year of Recruitment 0 50000 100000 150000 200000 250000 300000 350000 400000 450000 20082009201020112012201320142015 Volume Recruited
  5. 5. $0 $10 $20 $30 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Average Gift Average F2F 2015: $30 Average Non-F2F 2015: $26 Average Face to Face RG Gift - by year
  6. 6. -0.108% 8.44% 8.12% 7.35% 25% YoY change Face to Face Phone Online Media Direct Mail 0% 10% 20% 30% 40% 2009 2010 2011 2012 2013 2014 2009 2010 2011 2012 2013 2014 2009 2010 2011 2012 2013 2014 2009 2010 2011 2012 2013 2014 2009 2010 2011 2012 2013 2014 Attrition Rate Face to Face Phone Online Media Direct Mail Recruits 0 100 K 200 K 300 K Recruits Year 1 RG Attrition from starters - by year and channel
  7. 7. 6 years giving upgrade rate 60%
  8. 8. 6 years giving upgrade rate 35%
  9. 9. Proposition Promotion Passive recruitment Active recruitment Retaining Growing
  10. 10. Strategy Channels &Technology Operations Campaigns
  11. 11. Who are these regular givers? F2F Two Step Converted Cash Converts All Others
  12. 12. 0 10 K 20 K 25 50 75 100 Regular Giving Donors - by age
  13. 13. GROWING STARTS WITH KEEPING
  14. 14. Communicate to Grow Declines management Cancellation Management
  15. 15. Communicate to Grow Acquisition On- boarding Engagement Retention Re-engage Strategy
  16. 16. Communicate to Grow Acquisition Source channel Channel data collection Proposition Donor Demographic On Boarding & Engagement Declines Management Proposition Channel usage Engagement Retention Declines Management Proposition Channel usage Ongoing Engagement Demonstrating ongoing value Preference management Strategy
  17. 17. Decline Management Reprocess Credit Card right away Contact Direct Debit Donor to request permission to reprocess (right away / double next month) Phone SMS Email Do not hold or cancel a decline Minimum 3 months of attempts Reprocess Direct Debit right away Reprocess Direct Debit right away Channels & Technology Operations
  18. 18. Cancellation Management Good Data Capture = Reactivation success Donor Save Program Amount downgrade Payment holiday max 3 months Change payment type Change payment date Avoiding DO NOT CONTACT as an outcome but have contact plan OperationsStrategy
  19. 19. INCREASING VALUE Upgrade Reactivation Cross Sell Strategy Campaigns
  20. 20. 0% 20% 40% 2009 2010 2011 2012 2013 2014 2015 Direct Mail Face to Face Online Phone Four year range: 74% to 4% RG Upgrade Rate - by recruitment channel and year
  21. 21. Channels Phone Largest volume of upgrades Highest response rates Can negotiate increase level Mail Low response rates Set amounts SMS Establish as a channel What is a way to engage in the conversation?
  22. 22. Phone Insight Mix of acquisition sources changing Longevity of donor relationships increasing Info on previous contacts is growing
  23. 23. Recruits by Source Do you track your upgrade program performance by recruitment source? Contact rates, response rate and ROI can vary considerably RG volume are still being driven by F2F, however as a proportion of all channels it has remained relatively consistent RG recruits from TM however has increased to over 13% as a proportion of all channels
  24. 24. Acquisition Source Mix 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% F2F - Supplier A F2F - Supplier B TM - Supplier A TM - Supplier B Source & Supplier Impact Contact Rate RG % IPB 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 0 5000 10000 15000 20000 25000 D2D DM F2F Other TM WEB Source Impact loaded RG%
  25. 25. Age of donor pool
  26. 26. Previous Non Contacts Impact on Future Penetration For aging programs the proportion of non contacts continues to grow, impacting overall contact rate This can however be planned for and an informed decisions can be made
  27. 27. Previous Nos
  28. 28. Overview of Upgrades Best opportunity to increase value, also has positive impact on attrition Upgrades Ask Strategy Segmentation Contact Rates Campaigns
  29. 29. Overview of Upgrades Best opportunity to increase value, also has positive impact on attrition Upgrades Ask Strategy: Balance repsonse and value Segmentation: Variable analysis, model it, frequency of ask impacts Contact Rates: Recruitment source, age, frequency impact Campaigns
  30. 30. Early - 4-6 months test it; Then every 12 months test it; Ask more often Timing your upgrade ask
  31. 31. Charity A: ~40k RGs Year 1 Year 2 Year 3 # Campaigns / Batches 1 2 5 Conversations 6,960 12,828 19,685 Upgrades 2,288 4,840 5,827 Yr 5 Net Income $1,086,000 $2,719,000 $2,907,000 Charity B: ~16k RGs Year 1 Year 2 # Campaigns / Batches 1 2 Conversations 5,174 10,901 Upgrades 2,070 4,197 Yr 5 Net Income $1,141,000 $1,977,000
  32. 32. End of Year Receipts Campaigns Ask RG Avg Gift RG Annual Income RR% ROI Cash Ask $16.33 $3,528 5.4% 2.24 React $15.20 $1,824 0.5% 0.29 Upgrade $9.69 $15,932 0.9% 0.61 TOTAL 1.26
  33. 33. Campaigns Yes, I would like to support WWF- Australia. I would like to increase my regular monthly gift. Please increase my current monthly contribution of $35 by: $5 per month $8 per month $12 per month Surprise us $_______ per month And/or I will make a one-off donation of $_________
  34. 34. Auto Upgrading: Opt in / Opt Out At sign up At Upgrade Auto Upgrade PRICE PROPOSITION Campaigns
  35. 35. Upgrades Data Capture is critical source, contact history, response history Have a proposition whats the impact of giving more? First approach Too soon? Not soon enough? Multi channel what could you add? Ask at least annually sooner? Test ask levels / multipliers segment to test Can Auto Upgrade work for you?
  36. 36. ASKING TO INCREASE ISNT ALL THERE IS
  37. 37. Reactivations Viable strategy to recruit at better return than acquisition Segmentation Exclusions Ask Strategy Strategy
  38. 38. Reactivations Viable strategy to recruit at better return than acquisition Segmentation: needs to be dynamic, ask stratgey will impact Exclusions: to optimise ROI, Passive cancels do better than active Ask Strategy: Adjusted year on year to maximise value at higher amount than previous without pushing yes below target
  39. 39. Reactivation Response Rates of 10% to 16%. Passive can get 25% to 30% Donor cancelled will get 6% to 12% Generally include up to 48mths Can go back as far as 108mths for charity cancelled and 72mths for donor cancelled The further you go back however the lower the overall RR will be Generally get people back on board at 75% of their original gift. Test 0 pay reactivation Strategy
  40. 40. Have a proposition Know why they cancelled & when, and what else they may have done in between Multi channel Warm them up e.g. digital with phone follow up Campaigns
  41. 41. F2F advocacy, Peer-to-Peer, digi survey Others cash, advocacy, survey Cross Sell Strategy
  42. 42. Its not just about the Regular Gifts they make Cash Donors converted to RG will keep giving cash
  43. 43. Its not just about the Regular Gifts they make They will do other things emergency response, activism, DM appeals (profiled)
  44. 44. Asking for Cash Strategy Im asking for your help again because your extremely generous, on going support for St John is already making a huge difference to the community in and around Wanaka. As someone who gives a regular, monthly gift to St John, you are part of Team Green a group of our most loyal donors providing critical backup to our frontline heroes in the form of lifesaving equipment, on going world-class clinical training, frontline support services and vital ambulance resources. Your kindness is astonishing and I hope you can see from Jordans story how your support helps keep families together. By being a vital part of Team Green, youve proven that you dont just understand how important St Johns frontline work is, youre also prepared to take action when its needed. And, right now, I really need your help. An additional gift from you today will help make sure that St John can carry on providing all these amazing services so that our ambulance officers can save lives every day
  45. 45. Its not just about the Regular Gifts they make Non-F2F are great bequest prospects
  46. 46. 0% 1% 2% 3% Direct Mail Othe r Medi a Online Phon e Faceto Face ConfirmedBequest Rate Conf BQ Penetration Active Regular Givers 0 200 K 400 K 600 K ActiveRGDonors Regular Giving Pledge BQ rate - by recruitment channel
  47. 47. GOING BACK TO THE START
  48. 48. Proposition Does it support asking for more? Clash with cash? Upgrade proposition Ability to feedback / show impact Downgrade alternative to retain (downgrade product?) High Value alternative? Strategy
  49. 49. Its not just about the Regular Gifts they make They have High Value Potential
  50. 50. $0 $10 M $20 M $30 M 20062006200620062006 20072007200720072007 200820082008200820082008 200920092009200920092009 201020102010201020102010 201120112011201120112011 201220122012201220122012 201320132013201320132013 20142014201420142014 20152015201520152015 Income $100K+ $25K-$100K $4.8K-$25K $1.2

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