Posts Tagged ‘annual donations’

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Holiday Fundraising Roundup

November 18, 2010

‘Tis the Season!  It is mid-November, which means your e-mailboxes and snail mailboxes will soon be stuffed with a cornucopia of Annual Appeals from your favorite charities.

And if you are a fundraiser, you are likely already up to your ears in sorting through mailing lists, drafting compelling letters, and proofing designwork as it comes back from the printer.  Ah, the smell of blueline proofs– it’s like gingerbread for the development department.

I am not the only one ruminating on the coming weeks of appeals, judging from the wealth of interesting blogging that is going on about it these days!  A little holiday goody for you all, as you wrap up your own end of year campaigns: a collection of some fascinating blogposts on End of Year Fundraising.  Grab your egg nog, and start clicking!

Frogloop: Women Rule the Philanthropic Roost

A wonderful piece on why you should actively target your women constituents. Not only are women proven to be more generous donors on the whole, they are the holders of the charitable pursestrings in most households! At the bottom of this article, there are links to others with tips on exactly how to target women donors effectively.

donorpowerblog: Holiday Conundrum

A thoughtful piece on what the author calls the premium arms race:  calendars, labels, magnets, etc. as free giveaways to attract donors.  It poses a great question to reflect on: “How meaningful are our donor cultivation actions?”

the Fundraising Coach: Membership Dues vs. Annual Fund

A nice look at the benefits and drawbacks of memberships and donations, and how to maximize income for your nonprofit by recognizing the role of each.  Also– it was written by the Director of Development for the Baseball Hall of Fame, which is pretty cool.

GiveWell: The Process of Giving

A touchstone for all of us as we flurry through strategy and lists this season: a story from one donor on why he gives, and how he decides to do so.  It makes you realize just how your efforts are perceived on the other end– at least through the lens of this one donor.

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Tapping Donor Generosity in Hard Times: Not as Tough as You Think

October 20, 2010

Christmas movies may, in fact, teach you everything you need to know about the warm, generous feeling that can overtake an un-wealthy donor and make them happy to support your organization at a level higher than you expected.   Sounds good, right?  If you ever doubted your ability to get substantial gifts from Average Joes and Janes, don’t take my word for it.  (Or Frank Capra’s.)  Take a look at the new study published in the Journal on Consumer Research suggesting that the old truism of the close-pursed rich and the generous working class is actually… well, true.

The stereotype is simple and delightfully available almost twenty-four hours a day during December on Turner Classic Movies.  In one corner there is a vile, stingy attitude toward others coupled with a desire for self-aggrandizement.  We shall call this “Scroogitude.”  In the other corner there is empathy and a kind eagerness to part with the last of one’s meager wealth to help family and friends in times of need.  We shall call this “Baileyism.”

These two stereotypes showed up in a study which divided Northwestern University students into “boss” and “employee” roles.  The boss group was empowered by the research team prior to the test by recalling past successes, while the employee group was made to think of times when they had been powerless and controlled by others.  After this simple preparation, one of the researchers’ tests for both groups was an auction for items which held no element of prestige or status: a t-shirt and a mug.  Both groups were given $15 and the same instructions.

The results? The boss students demonstrated Scroogitude to perfection: they bid an average of $7.10 when they were buying the item for someone else, but $12.08 when they were buying for themselves.  In contrast, the employees were straight out of Bedford Falls: they bid $10.81 when they were purchasing for someone else, but only $6.49 when buying for themselves.

The results from this one test were repeated, to various degrees, throughout the other four tests in the study.  I have a hard time calling the results shocking in themselves, since they adhere to some pretty strong fictional stereotypes.  Then again, the fact that it IS so similar made me stop and think about how I (and many of us) reach out to donors.  It seems like everyone is going through some lean times right now, and that makes the potential Baileyism of middle-class donors vital for our causes and our NGOs.  The focus of our fundraising cannot only be to empower our reliably generous, wealthy supporters.  Perhaps in times of need, we have to look especially to the unempowered: that is, people who could have a little bit of empathy for the clients we serve.

So as you start constructing your annual appeal this year, make your case, and make it strong.  But here are some tips that might help you bring out the Baileyism and generate some bigger gifts than usual from the Bob Cratchets on your list:

1. Remind Donors that Giving is a Form of Power

Helping others brings with it a feeling of power, control, and satisfaction– never so much as when you are feeling particularly powerless yourself.  In other words, middle class folks feeling a real pinch at home may actually give more generously than before and feel even better about it.  Call it empathy, kindness, Baileyism– but reminding donors that they are taking control by giving is always a good idea.

2.  Don’t Suck Up

According to this study, the reason that empowered, wealthy people spend is out of a sense of self-care and self-importance.  As any self-respecting Development Director can tell you, framing a giving conversation with a typical large donor is about finding a gift amount and purpose which is meaningful and relevant for THEM.  That’s not a bad thing!  However, if you are target-marketing to non-wealthy constituents, ones with more modest means who may be crunched by the economy at the moment, appealing to self-importance is not going to get you the same results.  The fact is, if people are in a place of sacrifice already within their own home and family, then a straightforward appeal to their sense of duty and sacrifice to accomplish something good with your organization may be a much wiser tactic.

3. Giving Makes You Happy

This is no new news!  However, the study pointed out an interesting fact: both high and low power groups report feeling better after buying for someone else rather than themselves.  In whatever appeal you make, leave no room for doubt: find stories of donors who are ecstatic to have made a difference and spotlight them.  Whether it is a wealthy individual or an Average… errr… Bailey, tailor your choice to the constituents you are reaching out to.  And don’t let your potential donors forget another true truism: it is better to give than to receive.

4. Target Market Research

Last but not least, remember:  those Sundays you spend watching old movies and feeling all nostalgic and warm inside?  It’s called working from home.

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Talking the Real Economy

January 22, 2010

Just this week, the Nonprofit Quarterly debuted a new feature for 2010: The State We’re In.  The premise is a great one: reports we hear about the economy bouncing back often don’t seem to be possible, given what we see happening to real people.  Unemployment is rampant, which means there is still a tremendous need for services and a dip in donations.  If the economy is improving, why can’t we see it?

That is where this feature steps in: it will follow the impact of stimulus money and the American Reinvestment and Recovery Act (ARRA) funding on state economies and talk about what that means specifically for nonprofits.

Sound dry?  Kind of.  But NPQ does a great job of reducing the info to three key indicators: the state’s budget deficit, the state unemployment rate, and the state stimulus package.  Given these three factors, each state has its own particular weather report.  High levels of economic distress mean stormy times for nonprofits.

But to me, the most interesting feature is a social networking one.  Nonprofits can log in, share stories, and learn what others in the state are doing to successfully combat these economic challenges.  There are only 14 states at the moment, but judging from the few I checked out, this has the potential to be a great and unique source of on-the-ground intel about how the “real” economy shapes up in 2010.  Check it out here!

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Giving BIG

December 11, 2009

I was a bit blown away by an online seminar I participated in last week.  The theme was giving BIG.  As in, giving away to charity as much as or more than you keep for yourself to live on.  The concept intrigued me, and I thought… err… there is no way that masses of people would do this!  A few altruistic angels, but… I just couldn’t get my head around it.

Take, for example, one of the seminar participants, Tom Hsieh.  He and his wife have a one-year-old and live in L.A. with an average yearly income of $200,000.  Now the kicker– the Hsieh family only lives on the median household income for America ($46,000), and gives the rest away to charity every year.  That’s three quarters of the family income earmarked for charity and a commitment to philanthropy as a way of life.

After listening to Tom speak about how he arrived at his personal decision to live within modest means and make a huge impact on the world around him, I started to think it was possible.  Possible that as a development professional, you could think of this as a fundraising tool by appealing to a donor’s desire for charity as a way of life– not just for planned giving with future assets, but for giving NOW.

There was another philanthropist in the discussion, Anne Ellinger.  She is not only a big giver herself, she is an expert in the art of big giving.  Ms. Ellinger and her husband founded a nonprofit called Bolder Giving and she actively encourages donors to examine how much they can give, and how big giving can play a role in their lives.  According to Ms. Ellinger, the process starts with some self-examination.  It takes courage to strike out on a path off the norm, to commit to giving so much when you don’t see yourself as a Rockefeller.  The first step for giving big is to decide what your goals are for your giving, and examine what you value and what you can commit to in order to accomplish these philanthropic goals.

So, in the end, it sounded familiar– speaking with donors about what they want to accomplish as philanthropists rather than attacking them with a sales pitch about your nonprofit.  This is a standard and successful approach for donor development, to be sure.  What is new and fresh, however, is the perception that anyone can be a philanthropist.  Whether someone makes $50,000 a year or millions, that is inconsequential in a way.  The important thing is helping them find a personal strategy for giving at whatever bold level suits them and their goals.

I know that this discussion certainly opened my mind to how non-trust-funded folks could be encouraged to examine their own role as philanthropists, not just donors.  If you are interested in learning more, take a look at the discussion thread here, and check out Bolder Giving for its great resources page.  And as you approach the donors in your own files in the upcoming year, be BOLD!  It may just open up a whole new world of support for your organization.

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